Thursday, August 13, 2009

DMS STRIKES RICH SEAM WITH FIRST ATLAS COPCO COALTRAM SALES


Mining services group Diversified Mining Services Limited (DMS) has achieved a major breakthrough in the development of its underground coal business with the first delivery of its Australian-made Atlas Copco Coaltram CT10 underground coal utility vehicle.  

The DMS Underground division has sold three of the vehicles to Hunter Valley-based miner Donaldson Coal for use at its mines near Maitland in New South Wales. 

The sales follow more than three years and $25 million of research and development. Formal approval for use by the New South Wales Department of Primary Industries was achieved in May, 2009.

DMS Managing Director Terry Young said the sales were a positive sign that the business would expand rapidly and allow the company to further diversify its operations in the maintenance and support of open cut and underground mining.

“The partnership between DMS and Swedish mining equipment giant Atlas Copco is an enormous asset to this business that has taken many years of painstaking work to develop,” Mr Young said.

 “With approvals now received in Australia and international approvals for the Atlas Copco Coaltrams expected soon, we are confident that this business will continue to grow strongly and broaden our revenue base.”

The agreement with Atlas Copco allows DMS Underground division - formerly called the Anderson Group of Companies - to produce and supply the world coal market with the Coaltram vehicles, which will be sold and supported in Australia and New Zealand exclusively by DMS Underground and internationally through the global Atlas Copco network.

The low-profile vehicles, in combination with a variety of interchangeable attachments, can perform a wide range of utility functions underground including loading, lifting, materials handling, drilling and bolting, longwall shield relocation, cable handling, grading and dozing. 

The two vehicles – the CT13 and smaller CT10, were developed by a dedicated team of seven engineers and over 20 support staff over a period of three years, with all of DMS’ designs and modifications approved by Atlas Copco.

DMS General Manager of Coaltrams Craig Anderson said the Coaltrams, the CT13 and the smaller CT10, represented the pinnacle of modern underground engineering. 

“The Coaltrams incorporate new technology, safety and operator comfort never before seen in an underground coal environment,” Mr Anderson said. “They are also fitted with the latest electronically controlled Tier 3 based low emission diesel engines with greatly reduced diesel particulate matter and are more compact than comparable vehicles yet provide excellent stability due to their low centre of gravity.”

DMS was formed in 2007 to establish a new alternative for large-scale mining operations in the Australian coal industry where the services sector remains highly fragmented and dominated by small to medium-sized companies which lack the resources to seize the opportunities available.

Under share purchase agreements, DMS, an unlisted public company, acquired six separate businesses through a combination of debt and equity.

The acquired businesses are Anderson Group of Companies, Ausgroup Industries, Ausscaffold, East Coast Engineering, AllSteel Fabrications and MachineTek Engineering.

Most of the acquired businesses are focused on servicing the coal industry with a particular focus on Queensland’s Bowen Basin with some operations in the New South Wales Hunter Valley. DMS businesses already hold preferred supplier status with most major mining companies.


No comments: