Enaex reached an agreement with Sasol limited to become controller partner in its explosives and rock fargmentation division
ENAEX S.A., a subsidiary of the Sigdo Koppers Group has reached an agreement with Sasol Limited, an integrated energy and chemical company, to become a strategic partner for its explosives and rock fragmentation division.
The agreement signed today, after a negotiation process initiated last July, considers ENAEX S.A. to take part in the business as the controlling partner of this firm, which would be formed by spinning off certain assets and associated activities within the current explosives value chain of the Base Chemicals business of Sasol South Africa Limited. This new “Joint Venture” company which will include the associated business activities in both South Africa and the rest of the countries in Southern Africa. The Explosives division has over 1,000 employees, produces more than 350 thousand tons of explosives per year and have an approximate revenue of 250 million US$.
Sasol Limited, listed on the Johannesburg Stock Exchange and New York Stock Exchange, is an international integrated chemicals and energy company, based in South Africa with a presence in 31 countries with more than 31,000 employees. Sasol was founded in 1950 and is today a participant in the Explosives Industry in South Africa, with a presence in Namibia and Lesotho.
Juan Andrés Errázuriz, ENAEX S.A. CEO noted, “Having successfully completed the process to become a strategic partner of Sasol is a very relevant milestone for Enaex. By this, we have taken a big step in consolidating our company in international markets and expanding the value offer for our customers. Additionally, Errázuriz highlighted the significance of the African market for Enaex: “Because of its size, Africa is currently the third largest explosive market in the world and has significant growth potential. Towards its progress we can contribute with the extensive knowledge, technology and innovation that we have been developing in the rock fragmentation industry for mining”, he said.
This operation is part of the strategic plan of ENAEX S.A. to continue strengthening its international presence in the most important mining regions of the world and is subject to any necessary approvals from public authorities.
ENAEX S.A. has over 98 years’ of experience in the explosive business and is the third largest industrial grade ammonium nitrate producer in the world; furthermore, Enaex is market leader in comprehensive blasting solutions in Chile and the rest of Latin America. Enaex has subsidiaries in eleven countries, including Argentina, Perú, Brazil, Colombia, France, USA, Mexico and Australia, and exports to more than 40 countries all over the world. The company owns three productive plants -including the world’s largest ammonium nitrate production complex, with a production capacity of 850,000 tons per year-, 60 on-site service plants and more than 200 hundred mobile mixing units. Enaex provides blasting services to the largest mining companies with operations in Latin America, such as Antofagasta Minerals, Anglo American, Codelco, BHP, KGHM, Glencore, Vale, Yamana Gold and Teck, among others.