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Growth, emerging contractors positive on exploration

EXPANSION PLANS
Goscor Earth Moving is working towards increasing SANY’s presence in the South African market

EXPANSION PLANS Goscor Earth Moving is working towards increasing SANY’s presence in the South African market

18th October 2019

By: Khutso Maphatsoe

journalist

     

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New contractors entering the industry with “lucrative contracts” present an opportunity for the exploration industry to grow, Goscor Earth Moving (GEM) sales executive Murray Leith tells Mining Weekly, referencing the 14.4% growth in the mining sector during the April to June 2019 period.

“There are opportunities for GEM and equipment manufacturer SANY to make big strides, and we are excited about it,” he says, adding that GEM is working on establishing relationships with new contractors and engaging with them on the company’s full offering.

GEM has exclusive dealership rights for SANY earthmoving and compacting equipment in South Africa. GEM imports the equipment from SANY’s overseas factories for distribution to clients in the local market.

“The opportunity for us lies in helping the contractor grow their business with superior equipment solutions and aftermarket service. Through this, a relationship is formed, which we aim to develop and maintain for the foreseeable future.

“The growth is not only good for the business but also the economy,” Leith comments.

He adds that one such contractor that is running a chrome-mining operation in Burgersfort procured two SANY SY335C medium excavators from GEM in August.

“The SANY excavators have been tested in all South African mining applications with great success. When buying a SANY excavator, we aim to provide comfort to the customer in knowing that it’s not just a piece of equipment they are receiving but a business solution.

“Through this outlook, we help the customer become more profitable and ultimately introduce more of our excavators into the mining industry,” Leith stresses.

“Emerging contractors are always looking to take on new equipment, which is where our access to finance is a major advantage for us. It is our responsibility to meet client requirements with the best solutions possible.”

The SANY SY335C medium excavator features an auto-deceleration system that reduces fuel consumption by between 5% and 10%. When an operation stops for 3.5 seconds, the engine speed drops automatically to idle level, and maintains this idling state.

The high-quality components, including the Isuzu 6HK1 engine, Kawasaki hydraulics, as well as KYB drive motors, assist in increasing the excavator’s longevity, adds Leith.

GEM’s offering of SANY excavators include the 50 t SY500 and the 76 t SY750. The machines are versatile, making them suitable for use in the construction and mining industries.

GEM is working towards increasing SANY’s presence in the South African market by introducing the machinery in mining operations, and other industries and applications.

Leith notes that the company’s main focus is to offer clients a superior aftermarket service, which includes sending technicians to site to service the machines every 250 hours.

“A tracking unit in the machine monitors and relays the number of machine hours to us, alerting us as to when a service is due. “Based on the system report, we send out a quotation to the client and, once that is settled, we send a technician out to perform the service.”

Technicians are on standby 24/7 in case of a breakdown and are sent from a branch closest to the site, Leith says. GEM has nine branches across South Africa.

Challenges

Leith says one of the challenges for GEM is the perception that SANY machinery, being Chinese-manufactured, is of lower quality, specifically in terms of durability and longevity.

Further, the previous distributor’s service of SANY machines was not up to standard, which tainted the reputation of the SANY brand among some clients.

“Since GEM took over as the new distributor, we’ve really focused on getting that part of the business right.”

He says that GEM has invested extensively in the business and believes that the company is reaping the rewards of its investment and overall strategy.

Edited by Nadine James
Features Deputy Editor

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