Oct 25, 2013
Black-owned engineering firm gearing up for big railways prospectsBack
Engineering|Pretoria|Africa|Aluminium|Components|Copper|Diesel|Industrial|Locomotives|Pipe|Thos Begbie|Transnet|Africa|South America|South Africa|Black-owned Manufacturing|Copper Foundry|Manufacturing|Railways Utilities|Edwin Dreyer|Infrastructure|Louis Delport|Owen Maroleni|Power|Rail|Locomotives|Pipe|Maryland|Diesel
© Reuse this
The company began trading under the name Delberg Engineering on September 1 and is headquartered at recently expanded premises in Sunderland Ridge, near Pretoria.
Copper foundry group Thos Begbie, which had a major interest in both companies prior to the consolidation and which has retained a 9% stake in the merged entity, facilitated the transaction and its CEO, Edwin Dreyer, has been appointed chairperson of the new company.
The majority of the shares are held by former Corrotherm Special Metals Africa MD Owen Maroleni, who has also been appointed CEO of the merged entity. Delberg Engineering’s former MD, Louis Delport, has taken up the role of COO and also holds a sizable position in the combined entity.
Maroleni says the company will pursue localisation opportunities arising from South Africa’s multibillion-rand infrastructure investment programme, as well as public and private market prospects arising across the rest of the continent.
Prior to the merger, both companies sup-plied components to Transnet Engineering for the assembly of locomotives and wagons being procured by Transnet Freight Rail (TFR), as well as other railways utilities across the continent.
However, since the merger, a further investment of R20-million has been approved to expand the ISO 9001-certified firm’s facilities and position it to handle the workflow that is set to arise from the upcoming award of a TFR contract for 599 dual-voltage electric locomotives and 465 diesel locomotives.
Delport stresses, however, that the company has aspirations to diversify its customer base well beyond the railways sector, as well as the public infrastructure programme.
The enterprise already supplies Corona rings and aluminium weld assemblies into the power sector, and has a portfolio of heating and cooling coils that are used by various industrial facilities across South Africa. In addition, it recently started exporting Monel short-radius elbows to customers in South America.
Dreyer says research and development activities are also being increased in a bid to raise the overall manufactured portion of its sales mix from around 70% currently to over 90%.
“We have taken a leap of faith in setting up this company, mainly because we believe that the infrastructure programme, together with the associated desire to raise local-content levels, will eventually translate into a manufacturing recovery. And we have posi-tioned ourselves to be at the front end of that revival,” Dreyer outlines.
Edited by: Creamer Media Reporter© Reuse this Comment Guidelines (150 word limit)
Other News This Week News
The Competition Commission has appointed Bukhosibakhe Majenge legal services divisional manager, effective April 1. The commission advised on Tuesday that Majenge would take over from Wendy Ndlovu, appointed manager in the office of the Commissioner. Majenge had...
Aim-listed energy provider Ncondezi Energy has been granted an extension for meeting certain conditions relating to the conditional commercial deal signed between it and Electricidade de Moçambique (EdM) for its 300 MW power plant. Ncondezi was establishing an...
Recent Research Reports
Steel 2015: A review of South Africa's steel sector (PDF Report)
Creamer Media’s Steel 2015 report provides an overview of the key developments in the global steel industry and particularly of South Africa’s steel sector over the past year, including details of production and consumption, as well as the country's primary carbon...
Projects in Progress 2015 - First Edition (PDF Report)
In fact, this edition of Creamer Media’s Projects in Progress 2015 supplement tracks developments taking place under the Renewable Energy Independent Power Producer Procurement Programme, which has had four bidding rounds. It appears to remain a shining light on the...
Electricity 2015: A review of South Africa's electricity sector (PDF Report)
Creamer Media’s Electricity 2015 report provides an overview of State-owned power utility Eskom and independent power producers, as well as electricity planning, transmission, distribution and the theft thereof, besides other issues.
Construction 2015: A review of South Africa’s construction sector (PDF Report)
Creamer Media’s Construction 2015 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; the key participants in the sector; local construction demand; geographic diversification;...
Liquid Fuels 2014 - A review of South Africa's Liquid Fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2014 Report examines these issues, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing, competition in the sector, the...
Water 2014: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2014 report considers the aforementioned issues, not only in the South African context, but also in the African and global context, and examines the issues of water and sanitation, water quality and the demand for water, among others.
This Week's Magazine
Projected capital expenditure (capex) in the South African automotive assembly industry should reach a record R7.48-billion this year, says the National Association of Automobile Manufacturers of South Africa (Naamsa) in its 2014 fourth quarter business review. Capex...
After several years of navigating project-threatening red tape and currency fluctuations, the 4.4 MW Bronkhorstspruit biogas power plant, which will supply clean energy to a leading automotive manufacturer in Gauteng, is expected to enter production before June....
South African paper and pulp producer Sappi reported earlier this month that it would build a pilot plant for the production of low-cost Cellulose NanoFibrils, or CNF (nanocellulose) at the Brightlands Chemelot Campus in Sittard-Geleen in the Netherlands.
The long-term outlook for Nigeria is a country that has the potential to be very strong. So affirmed International Monetary Fund (IMF) Nigeria Mission Chief and Senior Resident Representative Dr Gene Leon on recently. "But we are starting from a point of huge...
Poor infrastructure planning and inadequate maintenance are becoming increasingly problematic for new developments and the associated infrastructure required to support such developments. In many urban and rural municipalities, the state of infrastructure has been...