SEW-EURODRIVE South Africa is expanding its presence and capabilities in the African market with a new Service and Repair Centre. (Image source: SEW-EURODRIVE)

As part of its strategy to ‘close the loop’ in its service offering, SEW-EURODRIVE South Africa, a specialist in drive and control technologies, has broken ground on a new 17 000 m² Service and Repair Centre

The establishment of the state-of-the-art facility plugs the gap for expert repair services for gearboxes in Africa.

Having moved into its contemporary 26 000 m² headquarters complex in Aeroton, Johannesburg, in early 2022, which represented Phase 1 of its investment drive in South Africa, SEW-EURODRIVE has commenced Phase 2 of its local expansion drive. Following the turning of the first sod on 2 September 2024, groundworks commenced the following week with completion of the project expected by November 2025 and occupation in early 2026.

Having invested R500 million in the new headquarters complex a few years ago, the ±R384 million investment in a new Service and Repair Centre right next to the head office signals SEW-EURODRIVE’s commitment to servicing customers in Africa and reflects the company’s confidence in the future of South Africa and the African continent in general.

Raymond Obermeyer, Managing Director of SEW-EURODRIVE South Africa, says the new facility – to be built on a 27 935 m² site area with 17 000 m² under roof – represents the company’s largest investment post the COVID-19 pandemic. It also forms part of SEW-EURODRIVE’s €1 billion investment in the expansion of its service capabilities in various markets across the world in 2024 alone.

Commenting on the reasoning behind this massive investment, Obermeyer explains that as a market leader in planetary gearboxes with over 40 years of trading in South Africa, SEW-EURODRIVE recognises the need to enhance its capabilities to service and repair millions of units in the region. As a leading global Original Equipment Manufacturer (OEM), the company’s expertise positions it to meet the growing demand for repair services in Africa.

“Currently, our competitors in the gearbox market primarily focus on selling equipment with a limited offering of the necessary repair and support services,” says Obermeyer. “This gap presents a significant opportunity for SEW-EURODRIVE South Africa to not only service our own products but also to repair competitors’ equipment, thereby increasing our market share and fostering sustainable growth.”

According to Obermeyer, major players in the gearbox repair market are often private companies offering services that most OEMs neglect. By establishing its own Service and Repair Centre, SEW-EURODRIVE South Africa can minimise reliance on external contractors, reducing risks associated with quality control and service delivery.

The new facility’s workshop will offer full service and repair capabilities such as sand blasting, spray painting and stripping of products. It will also contain a fabrication section to manufacture baseplates, guards and steelworks.

In addition, it will have a full motor repair department for motor rewinding, as well as offering assembly and repairs with burnout ovens and rotor balancing. This will be complemented by state-of-the art load test facilities.

Moreover, a storage facility and a fully operational 30 bay assembly area will give SEW-EURODRIVE South Africa the capacity to assemble in excess of 300 repaired units per month.

“The new Service and Repair Centre offers us enhanced capabilities. The decision to expand our operations includes manufacturing of all steel products and providing comprehensive repair and rewind services for our own products. This vertical integration allows us to maintain control over quality and service standards, reinforcing our commitment to excellence and sustainability,” says Obermeyer.

The new centre, he adds, now enables the company to offer a full suite of services in its quest to ‘close the loop’. By doing so, SEW-EURODRIVE South Africa aims to deliver the complete SEW-EURODRIVE experience, ensuring that its customers receive top notch service and quality throughout the value chain. This is particularly important in the mining value chain where mines have a clear focus on reducing their operating costs and total cost of ownership.

Obermeyer expects the new facility to create 80 to 100 job opportunities, adding to the 100 created as a result of the Phase 1 expansion. He, however, notes that these opportunities will be for highly sought after skills which are often in short supply. To bridge the technical skills gap, the new Service and Repair Centre will house a larger DriveAcademy, significantly upgrading the current 1 500 m² training facility located at the headquarters’ complex. This will be complemented by SEW-EURODRIVE’s information technology centre.

“The establishment of the new Service and Repair Centre is a strategic move to enhance our service offering, address market gaps and strengthen our position as the leading gearbox OEM in South Africa. This investment not only secures our legacy but also paves the way for future growth and innovation,” concludes Obermeyer.

CMAG and Africa Finance Corporation to lead Mining Indaba panel on boosting investment in Africa's critical minerals sector. (Image source: Adobe Stock)

The Critical Minerals Africa Group (CMAG) is set to co-host a side event at this year’s Investing in African Mining Indaba in Cape Town

As an advocacy group dedicated to strengthening Africa’s role in global critical minerals markets, CMAG aims to position the continent at the center of international policy discussions.

The event, co-hosted with the Africa Finance Corporation and chaired by CMAG’s chief strategy officer, Olimpia Pilch, will convene industry experts to explore strategies for driving investment in Africa’s critical minerals sector.

Discussions will focus on the strategic significance of critical minerals for Africa, the impact of global demand on market dynamics, and the role of a diversified energy mix in the continent’s clean energy transition. Panelists will also examine ways governments can mitigate investment risks, lessons from successful projects worldwide, and actionable strategies for Africa to leverage its natural resources and strengthen its position in global supply chains.

Olimpia Pilch, CMAG’s chief strategy officer, stated, “There are plenty of ambitions on the African continent when it comes to extracting critical minerals, however, there are also plenty of misconceptions and a distinct lack of granular roadmaps on how to get there. Financing new critical minerals projects is challenging due to price volatility, geopolitical and political risk, and limited ex-China customers, among technical and technological obstacles. Specialist finance is constrained, and different types of financiers are needed at various stages of project development, further complicating project delivery.”

“I am excited to host this panel and discuss the realities of attracting African and foreign finance into critical minerals projects on the continent. We will dive into the current barriers and what needs to change if Africa is to utilise its abundant mineral wealth to generate growth and to help nations industrialise.”

CMAG’s CEO, Veronica Bolton Smith, added, “We are very much looking forward to co-hosting this event at Mining Indaba. One of the key themes of this year’s event is ‘maximising on Africa’s critical minerals endowment.’ This clearly aligns with CMAG’s goal of helping to create resilient, diversified supply chains that benefit the communities in which they are extracted – and to facilitate market entry for international players, to the benefit of all parties.”

“Africa needs investment if it is to unlock the full potential of its critical minerals. Conversations like this, and the actionable insights which come from them, play a crucial role in bringing that investment about.”

Mining smarter: Synergy’s path to green funding success. (Image source: Synergy Consulting)

Achieving ESG targets: How Synergy Consulting supports miners in reducing emissions and securing finance

As the world pivots towards prioritising environmental, social, and governance (ESG) standards, mining companies are under increasing pressure to align their practices with corporate sustainability goals. 

With the elevated scrutiny around their carbon footprints as well as the global call towards a cleaner future, miners have been presented with the formidable challenge to adopt innovative strategies to not only enhance their ESG credentials but also ensure long-term operational viability. This is where Synergy Consulting, an international financial advisory firm with deep expertise in helping firms create actionable emission reduction roadmaps using financial products and investments, comes into play.

Understanding Scope 1 and Scope 2 emissions

Scope 1, 2 and 3 emissions are different ways of categorising the sources of a company’s greenhouse gas (GHG) emissions.

Scope 1 emissions are direct GHG emissions that occur from sources owned or controlled by a company, such as diesel combustion in mining equipment. On the other hand, Scope 2 emissions come from the generation of purchased energy, which is often significant in mining operations due to their high energy demands. Scope 3 emissions effectively comprise of all the emissions not included within Scope 1 and Scope 2 emissions (thereby encompassing a company’s whole value chain).

Synergy Consulting’s role

Synergy Consulting specializes in helping miners achieve their targets through tailored strategies aimed at emissions reduction. Synergy’s comprehensive approach leverages its vast experience of providing financial advisory services and combines its technical expertise, industry experience and access to financial resources to provide an executable blueprint to mining companies to overcome both environmental challenges and capital hurdles.

1. Identifying emission reduction opportunities

Our team of sustainability experts conducts a holistic assessment to pinpoint specific improvement areas for emission reduction within your operations. Synergy’s approach includes a bespoke analysis of the business model to ascertain the right framework and approach to further your ESG objectives. Based on the thorough business-model analysis, Synergy shall provide an implementable strategy towards achieving your emission objectives whether it's through transitioning to renewable energy sources, upgrading equipment to more efficient technologies, or implementing carbon capture solutions.

2. Developing and implementing a roadmap

At Synergy Consulting, we understand that each mining operation is unique. We collaborate with your team to create a customized emission reduction roadmap that shall establish tailored KPIs which shall facilitate the emission reduction goal in a structured and constructive manner. Our experts shall help you set clear targets (at different organizations levels) and timelines to guide the entire process. This systematic approach not only simplifies the implementation process but also helps garner buy-in from all stakeholders.

3. Leveraging financial solutions

Synergy Consulting excels in arranging finance for mine development, valuations, and mergers & acquisitions (M&A). We facilitate access to various funding sources, including green financing, private equity, and institutional investors specifically interested in supporting companies committed to sustainable practices. Our strong network as well as track-record of executing projects across different geographies can help you secure the capital needed to implement your emission reduction strategies effectively.

4. Valuation and M&A advisory

As the market for sustainable mining practices grows, the interest in environmentally responsible investments has surged. With investors around the world starting to add a “green premium” to their valuations, it is becoming imperative to miners to showcase their ESG capabilities to attract investors’ interest. Synergy Consulting provides expert advisory services in mine valuations and M&A and can help you navigate the complexities of acquisitions or divestitures with an emphasis on ESG performance. This not only enhances your attractiveness to potential investors but also ensures that your strategic decisions align with broader sustainability goals.

With the mining industry facing an inevitable shift towards climate-friendly practices, its future is inextricably tied to effective ESG strategies, particularly in reducing emissions. Synergy Consulting is dedicated to helping miners navigate this landscape by providing tailored solutions that drive efficiency, secure the necessary funding, and achieve meaningful sustainability targets within designated timelines. Together, we can pave the way for a mining industry that is not only profitable but also responsible and sustainable.

For more information on how Synergy Consulting can assist your mining operation in achieving its ESG goals, please contact us today.

GTMI ensures mining tailings safety, environmental protection, and independent facility assessments. (Image source: Adobe Stock)

The Global Tailings Management Institute (GTMI), an independent organization dedicated to improving the safety of mine tailings facilities globally, have been recently launched

Established by the International Council on Mining and Metals (ICMM), the United Nations Environment Programme (UNEP), and the UN-supported Principles for Responsible Investment (PRI), the GTMI is a multi-stakeholder initiative with a mission to advance safe and responsible tailings management.

Headquartered in South Africa, the GTMI will focus on ensuring zero harm to people and the environment by overseeing independent assessments and certifications of tailings facilities. Its efforts will span the entire lifecycle of these facilities, providing a robust framework for safety and accountability.

A primary responsibility of the GTMI is to manage the implementation and adherence to the Global Industry Standard on Tailings Management (GISTM). This Standard requires companies to prioritise safety and improve transparency through public disclosures. The GTMI will coordinate an assurance framework through which qualified third-party assessors will audit and certify tailings facilities against the GISTM.

The GTMI’s creation was guided by an international advisory panel comprising diverse stakeholders.

Mission and Objectives of the GTMI

The GTMI’s core mandate includes managing the assurance framework, raising awareness, encouraging GISTM adoption, and promoting best practices in tailings management. It will also provide transparent updates on auditing outcomes.

“The GTMI is an essential component of the global framework to achieve zero harm from tailings dams,” said Adam Matthews, chief responsible investment officer at The Church of England Pensions Board, representing PRI. “The credibility of the GISTM depends on stakeholder confidence in facility compliance. Updates to the Standard will incorporate lessons learned from implementation, and public disclosures will ensure ongoing transparency.”

“UNEP is committed to minimizing the environmental and health impacts of the mining and metals value chain,” said Elisa Tonda, chief of resources and markets at UNEP. “The multi-stakeholder governance of the GTMI is vital for fostering transparency, accountability, and trust, contributing to a more responsible mining industry.”

Call to Action for Stakeholders

The GTMI invites all mining companies to sign on as participants, committing to implement the GISTM and undergo independent audits and certifications. Other stakeholders are encouraged to support these efforts and collaborate on advancing tailings safety.

Becoming a signatory demonstrates a strong commitment to responsible management, potentially improving relationships with regulators and communities, enhancing investor confidence, and offering better access to insurance options.