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Volvo CE to acquire ‘construction and mining equipment adaptor’ CeDe Group

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Volvo Construction Equipment is to acquire special application partner CeDe Group for an undisclosed sum, the Sweden-based company has said.

CeDe Group, based out of Malmo, Sweden, has a good reputation in the Nordic region as a low-volume adaptor of construction and mining machinery for special applications, according to Volvo CE. It has worked with several original equipment manufacturers (OEMs), including Volvo CE and its dealers, developing new bodies for haulers (eg fuel, water, waste), rail conversions for wheeled excavators, as well as conversions for underground mining applications.

The deal, which is expected to come into force by mid-March, will include CeDe’s intellectual property, operations, other assets and staff of around 45 full-time employees. As the annual volumes produced are relatively low, the deal will have no material effect on the income or financial position of Volvo CE, the company said.

Interestingly, CeDe, formed in 2000, can trace its roots back to Volvo’s original excavator business, Åkerman.

“Under Volvo CE ownership, the vision is that CeDe will remain an agile, entrepreneurial, standalone business,” Volvo CE said. “Volvo CE will make available its considerable competences to the company and add additional resources to allow it to expand its market reach and customer bases, becoming a European leader in this specialised field.”

A strengthened partner will also support Volvo CE’s objectives of expanding its product offering into new segments and applications, as well as providing a partner who can deliver low volume prototypes and production runs, Volvo CE said.The company will continue to provide and expand its engineering services to non-Volvo CE customers, it added.

Volvo CE President, Melker Jernberg, said: “This acquisition makes sense on a number of strategic levels. CeDe has already proven that it has a depth of engineering talent in adapting our machines for specialised applications. This closer relationship will allow Volvo CE to grow our product offerings while, at the same time, boosting CeDe’s ability to expand into new markets and segments, both with Volvo CE and its other OEM customers.”

CeDe Group’s Chief Executive, Krister Johnsson, said: “We are extremely pleased to be joining the Volvo CE family of companies. With our already long and good relationship with Volvo CE and deep understanding of its products, we are excited at the opportunities to develop our services and expand our reach into new markets.”

Volvo CE sets date for electrification of compact wheel loaders and excavators

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Volvo Construction Equipment has announced that, by mid-2020, it will start to launch an electric range of compact wheel loaders and compact excavators.

In what the company calls “a pioneering commitment to future technology”, Volvo CE says it will stop new diesel engine-based development of its EC15- EC27 range of compact excavators and L20-L28 range of wheel loaders by this date and move forward with its new electric range.

“With this move, Volvo CE is the first construction equipment manufacturer to commit to an electric future for its compact machine range,” the company says. “This follows an overwhelmingly favourable reaction from the market after the successful unveiling of a number of concept machines in recent years, and by working closely with customers.

“This move is aligned with the Volvo Group’s strategic focus on electromobility in all business areas.”

Volvo CE, last year, carried out a trial of prototype electric machinery during the Electric Site project (pictured) at Skanska’s Vikan Kross quarry near Gothenburg, Sweden. This included the use of much larger prototype electric-hybrid wheel loaders and dual-powered, cable-connected excavators.

The first 10 weeks of the trial saw a 98% reduction in carbon emissions, a 70% reduction in energy cost and a 40% reduction in operator cost.

The first of the company’s new electric machines will be unveiled at the Bauma exhibition in April, followed by a staged market-by-market introduction and ramp up in 2020, the company said.

“While the company stresses that diesel combustion currently remains the most appropriate power source for its larger machines, electric propulsion and battery technology is proving particularly suited to Volvo’s smaller equipment,” Volvo CE said. “With research and development investment now focused on the rapid development of its electric compact wheel loaders and excavators, Volvo CE is taking a step towards diesel-free compact equipment in the future.”

Volvo CE President, Melker Jernberg, said: “Volvo CE is delivering on its commitment of ‘Building Tomorrow’ by driving leadership in electromobility and delivering sustainable solutions that support customer success. The technology we have been developing is now sufficiently robust and this, together with changes in customer behaviour and a heightened regulatory environment, means that now is the right time to commit to electromobility in our compact equipment ranges in the future.”

Volvo CE and Skanska Electric Site project cuts carbon emissions and costs

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A 10-week research project electrifying and automating the majority of equipment at Skanska’s Vikan Kross quarry, near Gothenburg, Sweden, has seen a 98% reduction in carbon emissions, a 70% reduction in energy cost and a 40% reduction in operator cost.

The Electric Site research project, conducted by Volvo Construction Equipment and its customer Skanska, were even better than expected, the two companies said. As a result, the test period has been extended until the end of the year.

IM has been on site at the project today and witnessed the machines in operation.

“The results also indicate that the Electric Site project takes a big step towards helping Volvo CE achieve its future vision where work sites are 10 times more efficient, with zero accidents, zero unplanned stops and zero emissions,” Volvo CE said.

Together, these results support the potential for a 25% reduction in total cost of operations, Volvo said, explaining the reduction in total cost of operations is just a prediction at the moment.
“As the prototype machines are part of a research project and are not commercially available, it is impossible to give a guaranteed figure,” the company said.

Uwe Müller, Chief Project Manager for the Electric Site at Volvo CE, said: “Over the last 10 weeks, we’ve made incredible progress, learnt a lot and seen huge potential in the Electric Site solution’s environmental, efficiency, safety and cost benefits.

“In fact, we have decided that we want to learn more, so we will extend our test period with Skanska until the end of the year. The results we have seen so far confirm that this research project is a step towards transforming the quarry and aggregates industry and creating emission-free quarries.”

The Electric Site project aims to electrify each transport stage in a quarry – from excavation to primary crushing, and transport to secondary crushing. It incorporates electric and autonomous prototype Volvo CE machines, new work methods, and site management systems, which together form a complete site solution. New technology encompasses machine and fleet control systems and logistic solutions for electric machines in quarries.

Anders Danielsson, President and CEO of Skanska, said: “With climate change reshaping our industry, we need to find new, sustainable solutions and build partnerships with organisations that have different competencies.

“Our ambition is that this collaboration with Volvo CE will help us and our customers to reduce our carbon footprint. The power of partnership will make it happen.”

Melker Jernberg, President of Volvo CE, said: “At Volvo CE, we believe in a sustainable future and we are doing our best to build the world we want to live in. The Electric Site is one example of how we are trying to achieve this. With this research project we are combining intelligent machines, automation and electro-mobility to challenge traditional ways of working in the quarrying industry and explore new alternatives.

“We will now further mature the technologies involved and the reliability of the concept. Developing, testing and validating prototype machines with a customer at an early stage in the process speeds up development and ultimately brings more value to us and our customers.”

The Electric Site project involves eight HX2 autonomous, battery-electric load carriers, which transport the material from the primary mobile crusher up to the secondary static crusher. When it came to energy use per tonne, the HX2s proved they could help Volvo CE take a big step towards achieving its future vision where work sites are 10 times more efficient, the company said.

The second-generation prototypes incorporate shared technologies and components from the Volvo Group. They use a lithium-ion battery to power two electric motors which drive the machine; the hydraulics are driven by an additional electric motor. The HX2 is fitted with a vision system, which allows it to detect humans and obstacles in its vicinity. It can follow an adjustable, pre-programmed GPS path.

The LX1 prototype electric-hybrid wheel loader delivered more than a 50% improvement in fuel efficiency at the quarry, as well as significant reductions in emissions and noise pollution, compared with its conventional counterparts. Its job was to organise the piles of material at the site.

The LX1 is a series hybrid that incorporates a driveline that consists of electric drive motors mounted at the wheels, electric-driven hydraulics, an energy storage system, a significantly smaller diesel engine and new machine architecture, including a new design of the lifting unit. It’s this combination that enables the substantial gain in fuel efficiency.

The EX1 70 ton, dual-powered, cable-connected excavator prototype loaded the primary crusher at the quarry. The base machine for the EX1 is a Volvo EC750 crawler excavator that has been upgraded to incorporate an electric motor in addition to the diesel engine. At the quarry, the machine was plugged into the grid, so zero emissions were emitted.

If the cable is connected, the EX1 will automatically start in electric mode. If not, it will start in diesel mode. The EX1 is operated in exactly the same way as a conventional Volvo excavator.