Rockwell Automation acquires Hiprom, a leading process control and automation systems integrator

Acquisition will potash crusher accelerate growth in the Sub-Saharan region and the global mining and mineral processing industry - Rockwell Automation has agreed to purchase Hiprom, a leading process control and automation systems integrator headquartered in Johannesburg, South Africa. Hiprom customers include the top global mining firms with precious metal and coal operations in the Sub-Saharan region.

Hiprom’s management team and all its 100 employees will join the Rockwell Automation Systems & Solutions business unit.

“This acquisition accelerates the growth of Rockwell Automation’s business in the Sub-Saharan region and further expands our customer presence in the global mining and mineral processing market,” said Hedwig Maes, President of Rockwell Automation’s Europe, Middle East and Africa region.

“Hiprom customers will quarry crusher continue to receive the high level of service they currently enjoy, and gain more direct access to the complete portfolio of Rockwell Automation products, services and solutions,” said Hein Hiestermann, Hiprom Managing Director and CEO. ”Rockwell Automation customers will benefit from the expanded portfolio of application solutions, expertise and delivery capacity, specifically within the global mining and mineral processing market.”

”Strategically, this acquisition further strengthens our global project management and delivery capabilities and adds critical mass for our delivery of customer solutions in the rapidly growing Sub-Saharan market as well as globally in the mining, metals and minerals industries,” said Terry Gebert, Vice President and General Manager, Rockwell Automation Systems & Solutions business. ”We look forward to a successful integration of the Hiprom domain expertise, project management and engineering talent into our global systems and solutions team.”

“Due to the improving global recycling crusher economy and increasing worldwide consumer demand, energy and commodity metal prices should continue to rise in the long-term, which will result in additional capital and operational expenditures for new and retrofit automation projects,” according to Craig Resnick, Research Director, ARC Advisory Group. “The acquisition of Hiprom should help Rockwell Automation to best leverage these market trends, as well as add some complementary geographic and vertical industry capabilities that will benefit its entire solutions portfolio.”

Rockwell to restart Ventersdorp diamond operation

JOHANNESBURG (miningweekly.com) – Loss-making alluvial diamond junior Rockwell will recommission its impressive rebuilt Tirisano diamond plant near Ventersdorp in March, which will boost crucial volumes and help to smooth out the company’s currently variable cash flow cycle.

Rockwell COO Graham Chamberlain and Rockwell CFO Gerhard Jacobs tell Mining Weekly Online that a portion of the company’s fixed costs will be lowered once it ratchets up from being a three-operation company to being a four-operation one.

“We’ve got Tirisano coming on board,” says Chamberlain of the March restart of the “bridal” diamond operation in North West province, which Rockwell acquired from Etruscan Diamonds for R33,5-million in shares nearly a year ago.

Rockwell, barite ore crusher which is resuming mining in Tirisano’s shallow ore regions before developing the water-filled 400 m long and 64 m deep openpit, sufered a loss of $1,4-million in the three months to November 30.

It says that it has sufficient working capital and reserves to maintain operations through breakeven point and sufficient cash and working capital to fund the continuing losses until then.

The rebuilding of the R17,7-million first phase of Tirisano’s modified plant is expected to set a new benchmark for the alluvial diamond-mining sector and capital requirements for the second phase are being calculated.

The Ventersdorp orebody has a consistent grade and average stone size, which complements the company’s alluvial Vaal river and the Orange river deposits, where there are large nugget effects.

“You will go for a month in the Vaal and Orange areas at depressed grade, and then you will have a super elevated grade at a later time,” Chamberlain explains to Mining Weekly Online.

“Tirisano’s consistent production should smooth things out for us, particularly from a cash flow point of view. We’re entering into a phase of being debt free, and we’re in a position to grow,” he says, pointing to not only Tirisano, which will begin producing imminently, but also the Wouterspan project.

The planned capital raising may now be under different structures.

“Whether it will be more or less than the $30-million will be made at the appropriate time,” Chamberlain says.

Dr John Bristow, who quit suddenly as CEO late last year, will continue to provide input in a nonexecutive role doing special assignments. Meanwhile, a search is on to find his successor, Rockwell chairperson David Copeland says.

Strategies baryte crusher have also had to be put in place to deal with issues at Rockwell’s three longer-standing Saxendrift, Holpan and Klipdam operations.

Heavy rains have, however, put a dampener on the proactive establishment of Saxendrift’s de-sanding plant, which was meant to mitigate the negative impact of having to move into an area of higher sand content.

The plan was for the de-sanding plant to remove the inhibiting higher sand content, but its introduction ran into the fall 105 mm of rain in 24 hours.

Output in the current quarter to end-February, also hit by the December/January holiday recess, will thus be lower.

But a rough diamond inventory on hand will help to boost revenue.

The transfer of ownership of Tirisano to Rockwell is progressing “reasonably well”, says Chamberlain, adding that he sees no further need for concern following positive communication with the Department of Mineral Resources.

“We don’t envisage any further hiccups.”

Rockwell reported a 3% quarter-on-quarter revenue to $11,1-million for the three months to November 30.

The average price achieved in the third quarter of fiscal 2011 was $1 566/ct compared with $1 048/ct in the previous three-month period, and the operating profit at $1,8-million compared with the operating loss of $614 000 in the second quarter.

On a fiscal year-to-date basis, both carat production and prices received have increased.

Rockwell produced 22 519 carats of diamonds in the nine months to November 20, compared with 19 920 ct produced during the same period in the previous year.

Four tender sales of rough diamonds have been held, and regular sales of special diamonds exceeding ten carats were sold for beneficiation.

The higher price trend for better quality stones continued, particularly for diamonds with good colour and clarity.

The average price achieved over the nine months of fiscal 2011 of $1 345 a carat, well up on the $969 a carat received in the previous year.

Rockwell recovered eight large gemstones from its Holpan, Klipdam and Saxendrift operations in the three months to November 30, bringing the total number of plus 50-carat stones recovered in its current fiscal year to nineteen.

These stones, sold into the company's joint venture with Steinmetz group, will provide additional profit-sharing revenue once polished and sold.

Flawless Diamond Trading House, owned 20% by Rockwell, provides the sales platform.

Flawless is integrating a diamond-cleaning technology first that is expected to enhance the appearance of rough diamonds presented for sale.

The recovery of the international diamond market gained momentum with prices continuing to trend towards 2008 levels and jewellery retail sales have been higher than the expectations of major retailers, the company says.

These sales will support a reduction in polished inventory and, consequently, could fuel the trade of rough diamonds.

The price recovery of rough diamonds has outpaced polished stones, as a result of high polished inventory levels, however, polished prices improved in November 2010, particularly in the three-to-four-carat range, and creating optimism that the fundamentals are in place for polished stone prices to close the gap with rough diamonds.

The improved prices of rough diamonds have contributed to the improving performance of Rockwell, which is increasing production volumes to meet perceived shortages in the secondary market.

A total of 8 404 ct were productions at the Holpan, Klipdam and Saxendrift operations and the Klipdam Extension bulk sampling project in the period, up from 7 963 ct in the corresponding quarter last year.

Tender sales of $10-million plus $800 000 of returns from the beneficiation profit share resulted in diamond revenues of $10,8-million compared with $12,9-million for the previous corresponding period.

GEM DIAMONDS AWARDED MINING LICENSE FOR GOPE DIAMOND DEPOSIT

The Mobile Conveying Services government of Botswana has awarded a mining license to Gem Diamonds Limited's wholly owned subsidiary, Gope Exploration Company, for the Gope diamond deposit.

The mining license has been granted for a period of 25 years, during which time the company says it envisages a phased approach to the construction of the mine.

"This is the first step towards the development of the Gope deposit into a viable producing mine...," says Clifford Elphick, Gem Diamonds Chief Executive Officer.

According to Elphick, the Gem Diamonds board will shortly be looking to approve construction of the initial phase at Gope, which aims to start production in 2013 "in order to begin to take advantage of the rising rough diamond market."

After an initial period of mining, the miner says that production capacity will be scaled up to a higher steady state. The life of mine at Gope is currently estimated to be in excess of 30 years.

Integral Conveying Equipment-Ciros Mining Crusher to the mining license approval process was the approval of the Environmental Impact Assessment (EIA) by the government of Botswana, which was obtained in late 2008.

"Gem Diamonds remains committed to implementing sustainable solutions to the environmental and community related issues in the Central Kalahari Game Reserve and we embrace the opportunity to continue our work with the project's affected communities and other interested parties to ensure that the benefits of the Gope asset are realised for the community as a whole," says Elphick.

Gem Diamonds will release details of the mine plan and the relevant staged capital expenditure in March, when it publishes its 2010 results.

Strong commods, banks lift FTSE, Burberry leads

LONDON: Britain’s top Screening Equipment share index rose on Tuesday, led higher by Burberry as investors cheered an upbeat trading update from the luxury goods group, while buyers came in for banks and commodity stocks.
By 1222 GMT, the FTSE 100 index was up 67.72 points, or 1.1 percent, at 6,053.42.
Burberry topped the blue chip leader board, up 4.3 percent, after forecasting full-year profit at the top end of market expectations, as it beat expectations with a 27 percent rise in third-quarter revenue. Brewer SABMiller added 1.7 percent after it beat forecasts with a 3 percent rise in quarterly volumes, boosted by growth in Africa and Asia, and said it saw continued improvement in economic conditions in many of its emerging markets.
And Rio Tinto climbed 1.7 percent after producing record volumes of iron ore in the October-December quarter and for 2010 as a whole to meet surging Chinese demand and cash-in on soaring prices, though coal output was disrupted by Australian floods.
“There have been some good corporate earnings ... and a very strong Asian session, all of which have contributed to a nice rally today, so we’re knocking on the door of resistence around 6,050,” Angus Campbell, head of sales at Capital Spreads, said.
“There’s a bit of hope from the European finance ministers meeting as well, which was relatively encouraging. They’re all making the right noises, that they need to extend the fund, so banks are a little bit stronger as well,” Campbell said.
European Ciros Mining Crusher policymakers will eventually boost the firepower of their euro zone bailout fund by 260 billion euros, according to a Reuters poll of analysts who rated it as fairly effective in tackling the bloc’s debt crisis. Miners provided much of the support for the index as metals prices rose on a weaker dollar. On the downside, GlaxoSmithKline shares extended losses, falling a further 2.3 percent after shedding 1.6 percent on Monday when the drugmaker announced a 2.2 billion pounds ($3.4 billion) legal charge that will wipe out profits in the fourth quarter. reuters

Coal tender fraud: angry investors pack court as accused arraigned

Gravity Separation PRETORIA — A man who allegedly fleeced investors of millions of rands when they invested in a business supplying coal to Eskom, appeared in the Pretoria Commercial Crimes Court yesterday.

Steve Pinky Mnguni had his bail application postponed to January 24 to allow him to give his lawyer further instructions. The state did not object.

The courtroom was packed with angry investors, some of whom had put money they had loaned from banks into the business.

Mnguni had allegedly Grid Ball Mill claimed to have been awarded a tender to supply coal to Eskom. He allegedly lured people to invest in a trucking business to transport the coal. A Hawks investigation had since determined that Eskom never awarded him a tender.

He allegedly also ran a parallel scam in which he claimed to have been selling shares in investment services company PSG. Police had been trying to find him since last year, after he allegedly conned 204 people and made around R30 million.

Mnguni appeared alongside his wife Nadima Leya Masanabo, who is accused number one. She handed herself to police when Mnguni was arrested at his office on January 7 in Garsfontein, Pretoria. Masanabo was granted R30 000 bail at her previous appearance last week.