May 30, 2008
Industrial group hunts for yet more specialised engineering opportunitiesBack
Johannesburg|APE Pumps|Eskom|PSV|PSV Holdings|Shell|South Africa|Capital Equipment|Industrial Engineering Group|Abie Da Silva
© Reuse this Specialised industrial engineering group PSV Holdings will be consolidating its manufacturing and corporate footprint around the premises of newly-aquired APE Pumps, in Germiston, but remains on the prowl for yet more engineering acquisiitons.
He added that the company is spending about R8-million on new capital equipment and R1-million on the refurbishment of the facility.
"An approved capital investment programme will, firstly, allow PSV Services to eliminate the outsourcing of machining of material and, secondly, the additional equipment will expedite turn around and delivery times for APE Pumps," said Da Silva.
On other potential strategic acquisitions, he added that the company had sent out a cautionary notice for a specialised engineering business.
"The deal will be finalised in the next two months and we will be in a position to elaborate more."
PSV starts its new financial year on a confirmed order book of R110-million as of end of February.
All current contracts are progressing well and amounts to R250-million, include a five-year pump maintenance and spare supply contract, a three-year petrochemicals service contract and a three-year petrochemicals spares supply deal.
As a result of the massive fuel price increases in South Africa and the fact that many older pumps are not able to cater for a fuel price greater than four digits a litre, it is expected that PSV's Petrologic subsidiary will receive orders for the updating of these old fuel pumps.
PSV has successfully benefited from the cross selling of services to large international clients. The company was recently awarded a contract to manufacture swirl tube separator assemblies under licence for Shell Global Solutions International, becoming only the second company in the world to manufacture these swirl tube assemblies.
The company will continue to exploit opportunities arising from the upsurge in infrastructural and power generation spend in South Africa.
"We remain close to Eskom and are especially excited about their update and extension programmes, some of which we are already tendering for. We are encouraged by opportunities in the market place, which our group will be able to capitalise on," concluded Da Silva.
Edited by: Martin Zhuwakinyu© Reuse this Comment Guidelines
Other Pumps News
Recent Research Reports
Automotive 2014: A review of South Africa's automotive sector (PDF Report)
The report provides insight into the business environment, the key participants in the sector, local construction demand, geographic diversification, competition within the sector, corporate activity, skills, safety, environmental considerations and the challenges...
Construction 2014: A review of South Africa's construction sector (PDF Report)
Construction data released during 2013 hints at a halt to the decline in the industry during the last few years, with some commentators averring that the industry could be poised for recovery. However, others have urged caution, noting that the prospects for a...
Electricity 2014: A Review of South Africa's Electricity Sector (PDF Report)
This report provides an overview of the state of electricity generation and transmission in South Africa and examines electricity planning, investment in generation capacity, electricity tariffs, the role of independent power producers and demand-focused initiatives,...
Defence 2013: A review of South Africa's defence industry (PDF Report)
Creamer Media’s 2013 Defence Report examines South Africa’s defence industry, with particular focus on the key players in the sector, the innovations that have come out of the defence sector, local and export demand, South Africa’s controversial...
Road and Rail 2013: A review of South Africa's road and rail infrastructure (PDF Report)
Creamer Media’s Road and Rail 2013 Report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move...
Liquid Fuels 2013 (PDF Report)
Creamer Media’s 2013 Liquid Fuels report examines South Africa’s liquid fuels market, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing,...
This Week's Magazine
A structured approach, wherein managers personally engage at each level of the project, is necessary to mitigate delays to the workflow on mega construction projects, says State-owned Eskom Kusile power station projects GM Abram Masango. The 4 800 MW Kusile power...
Construction of transmission lines to evacuate power from a regional hydroelectric project in East Africa, which was hanging on the balance following the withdrawal of financing by key partners, is now back on track. After six months of uncertainty, the African...
Three Memorandums of Understanding (MoUs) were signed between South African and Malaysian companies at the Malaysian High Commission in Pretoria on Friday. These MoUs are part of the indirect offsets programme South Africa is providing in return for Malaysia’s...
The South African new vehicle market may well dip to 640 000 units in 2014, says Toyota South Africa Motors (TSAM) sales and marketing senior VP Calvyn Hamman. This is the first prediction that anticipates a drop in the market. To date economists and industry bodies...
Nissan will re-enter the South African minibus taxi industry in March, when the new NV350 Impendulo goes on sale. The 16-seater has been specifically tailored to meet the terms of government’s Taxi Recapitalisation Programme, which aims to replace South Africa’s...