Chilean global mining supply company ME Elecmetal has bought one of SA’s oldest and most established family owned foundries, Prima Foundry, for an undisclosed amount.
Under the deal the foundry will be renamed ME Elecmetal Prima.
“ME Elecmetal is committed to the long-term success of ME Elecmetal Prima and to helping grow SA’s and Africa’s industrial and mining sectors. To this end, the newly formed and integrated ME Elecmetal Prima will draw on the experience, expertise and skills of both companies to grow and expand the production levels at the foundry,” the South American company said in a statement.
“ME Elecmetal’s global expertise and commercial capacity will help ensure that this growth strategy is realised in line with mining customer needs across the world. ME Elecmetal continually invests in alloy and materials development along with other technological solutions to ensure that we deliver cutting edge integral solutions that add value to our mining customers.”
Prima traces its roots to 1937 when two partners — Alexander Dingwall and William Price — decided to start a steel foundry that would supply SA’s growing mining industry.
ME Elecmetal, which has seven metallurgical plants in countries such as the US, Peru, China and Zambia, said on Wednesday the purchase of Prima Foundry in Benoni, Gauteng, is part of the group’s vision to expand its ability to provide integral solutions to mining operations throughout the world.
“We are confident that ME Elecmetal’s integration of the world-class Prima Foundry into our global footprint will enable us to support the sustainable growth and development of the mining sector in SA, Africa and beyond,” ME Elecmetal’s chair Baltazar Sánchez said.
“ME Elecmetal looks forward to strengthening its presence in SA and to play a role in helping to drive economic growth and job creation in the country. We look forward to engaging with various stakeholders to help make sure that this new venture is a success for all involved.”
The deal will see the foundry supply steel and manganese liners for use in mining processes principally in SA and the continent, but also to other global markets.
According to Prima’s website, the company occupies more than 6.5ha of land and has a monthly casting capacity of over 1,000 tonnes. It exports into all of the major mining regions.
It also provides a full spectrum of design, manufacturing and after-sales services, with a focus on the global supply of grinding mill liners and crusher wear parts.
“Prima has been a family business since 1937. Now, in its 88th year of operation, the family is excited to be part of a new chapter unfolding together with ME Elecmetal. We view this as a positive development for the SA industry and believe it to be a great opportunity for Prima and its employees moving forward,” said Prima chair Keith Price.
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