Exxaro, Barloworld partner to help contractors acquire equipment
Diversified miner Exxaro Resources and industrial equipment provider Barloworld Equipment (BWE) on Wednesday signed a memorandum of understanding (MoU) to formalise a partnership that will see contractors gain access to mining equipment at competitive rates and terms.
The three-year, nonexclusive partnership aims to assist contractors working on drilling, blasting, loading, hauling and coal handling operations for Exxaro.
Previously, the mining company noted that contractors that were awarded work lacked the means to buy or lease the necessary equipment for project execution.
“Exxaro has committed to an enterprise and supplier development programme to grow the South African economy within the sector and bolster efficiencies in areas where we operate.
“This partnership enables us to empower and support appointed contractors to produce the best quality work,” said Exxaro CEO Mxolisi Mgojo.
The partnership looks to capacitate Exxaro’s contractors to build an effective equipment management capability to support the efficient delivery of projects.
The partnership will also help contractors find ways to minimise the capital and operating costs of equipment, by enabling direct dealings with BWE as an authorised distributor and reseller of equipment.
“This partnership with Exxaro will allow emerging contractors to better participate in major projects. As the exclusive dealer for Cat earthmoving machines and power systems in Southern Africa, we will give Exxaro’s contractors greater access to equipment, financing and training,” stated BWE Southern Africa CEO Emmy Leeka.
Exxaro looks to enter into similar partnerships with other equipment suppliers, including Komatsu, Volvo and Bell, besides others.
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