Month: December 2021

DISTRIBUTION DEAL CREATING SYNERGIES IN CENTRAL ASIA

Posted on by Jari Silver

As far as mineral reserves go, Kazakhstan is in the top twenty in the world, and mining comprises almost one-third of the country’s export earnings. No wonder then that the competition in the sales of all mining-related goods, including drilling tools, is very tough. Robit secured a distribution deal with a key player in the region.

As a major global exporter of minerals, Kazakhstan benefits from its central geographical location between Europe and Asia. This is also reflected in the name of the largest company supplying machinery and equipment for mining and construction in the area: Eurasian Machinery LLP.

With more than 600 employees, Eurasian Machinery provides customers with high-quality technical services through ten centers in Kazakhstan and Kyrgyzstan. Besides being the official distributor of Hitachi Construction Machinery – their spearhead product line – they also supply the industry with machinery and equipment from a host of other high prestige global brands. As of August 2021, these include Robit.

George Apostolopoulos, Robit’s VP, Global Sales, is thoroughly familiar with the Central Asian market and sees great synergies for Robit in the exclusive distributor agreement with Eurasian Machinery.

“Eurasian Machinery have a strong reputation in the Kazakh market. They have done an excellent job with the Hitachi Construction Machinery brand and have placed themselves among the preferred suppliers for the country’s mining industry. They are present with equipment and service contracts in most of the mines in Kazakhstan and Kyrgyzstan”, George says.

“Customer satisfaction is driving their efforts and they are providing high-quality services to the industry. A high-tech Component Repair Center in Karaganda serves the purpose very well.”

“This is a very significant deal for Robit as the Kazakh mining market is among the biggest in the world. It’s the 2nd largest within our East sales area after Russia. It could provide significant leverage for our sales; big opportunities exist for our Top Hammer products both underground and surface, as well as our Down the Hole offering.”

“There is some tough competition in this market not only from the traditional players but also from low-cost suppliers. This makes it particularly important for us to have a renowned and well-represented distributor in this market”, George concludes.

Picture: A view over the steppes from a chalk mountain in northern Kazakhstan.

AUSDRILL AND ROBIT: A LONG-TERM RELATIONSHIP DOWN UNDER

Posted on by Jari Silver

Mining has long been a key driver of the Australian economy. With more than 350 operating mines, it is one of the world’s leading producers of iron ore, lithium, gold, lead, bauxite, uranium, and zinc, to name but a few, making it a very attractive market for a company like Robit.

Thanks to the acquisition of Drilling Tools Australia (DTA) in 2016, the country is a domestic market for Robit, with customer relationships reaching back to the DTA days. One of these long-standing partners is Ausdrill, one of the largest drilling services providers in Australia, founded in 1987.

We talked to Mark Hercik‑Saul who started with Ausdrill in 2003 as an Offsider, worked his way to Driller to Supervisor to Superintendent and is currently Project Manager for RC regional, looking after some ten RC (Reverse Circulation) drill rigs for various clients in Western Australia and South Australia. Mark has been using Robit’s Down the Hole (DTH) hammers for years.

“Our preferred hammers of choice from Robit are the DR 55 and DR 53, mainly for their downhole reliability, performance, and durability to wear. We have continuous online and in-field support from Robit with any issues that may develop with any of their products. For quality products, the prices are also competitive”, Mark says.

In a busy market like Australia, availability must be a key issue when it comes to drilling consumables. How has Robit been performing on that front?
“We have been working closely with Robit to tailor our frequently ordered parts to meet the demand/ supply to all of our sites. This has been challenging over the last couple of years with Covid-19 restrictions in play, but having local manufacturing close by, I feel the communication has grown stronger through this time”, says Mark.

From your vantage point, what’s the future outlook for the Australian mining sector? What kind of role do you see Robit could play in it?
“Mining is definitely booming, and since the Australian economy is strong at the moment, the demand to keep up supply for all drilling products is high. I think Robit will have an important role in the future by keeping proactive with their site support, which to me is the key to having good relationships and trust between suppliers and companies. They also should be open to new innovations and designs combined with competitively priced products”, Mark concludes.

Picture: An Ausdrill RC drill rig at work at Woodie Woodie Manganese mine, Pilbara, Western Australia

NEW AFTON SWITCHED BACK TO ROBIT TOP HAMMER TOOLS

Posted on by Jari Silver

Two branches of the Thompson River run through the ruggedly picturesque landscapes of south-central British Columbia, to meet at the eastern end of Kamloops Lake. The town of Kamloops was founded there as a fur trading post 200 years ago. Today, Kamloops is a thriving city with rich copper and gold deposits nearby.

Afton mine, situated 10 km west of Kamloops, was originally an open-pit gold and copper mine, in operation throughout the 1980s and 90s. New Gold,a Canadian mining company, acquired the mine and restarted production in 2012, now as an underground mine called New Afton. Last year, New Afton produced 64,000 ounces (some 1,800 kg) of gold and about
33,000 tons of copper.

New Gold had been using Robit’s Top Hammer (TH) tools in New Afton for years. However, in early 2019, through ownership changes at the supplier, New Afton switched to another brand of TH consumables. Over the course of the year, it became evident that the performance of the TH Tools did not meet the Mines expectations. In 2020, Ryley Renneberg and Cody
MacLeod from the Sales Division of Pinnacle Drilling Products (Pinnacle), Robit’s Canadian distributor, decided it was an opportune time to reach out to New Gold.

“We arranged an in-person meeting with New Gold’s production mine manager. We listened to their problems with their new brand of TH tooling and discussed how we might be able to help out. New Gold had been happy with Robit before and they knew the production performance well, so this really helped progress things forward. It turned out to be the start of a great relationship between Pinnacle and New Gold”, Ryley reminisces.

“We reassured we could have a seamless transition and were able to support New Gold through the ramp-up period, not to mention this pandemic situation and the global supply chain crisis.”

For Robit, the first purchase order in the spring of 2021 meant a need for a serious production ramp-up of TH tools.

Says Mikko Vuojolainen, Robit’s Vice President, North America: “It’s always a critical period when a customer switches supplier. The new supplier must be able to deliver 100% availability. In this case, our TH production lines were already fully booked so we needed to get creative. We divided the products into two groups: those we can start delivering two months post order, and those we can start delivering four months post order. It worked out perfectly.”

Since August 2021, New Afton is back to using Robit’s TH tools in their underground operations. The New Afton deal can also help propel the Pinnacle-Robit business partnership forward.

“It brings us leverage into the mining industry within North America. I believe it’s going to open many other opportunities for us to challenge the ‘big three’ in the market”, says Ryley Renneberg.

Picture: Kamloops Lake on a frosty winter day.