Selling to the Australian Mining and Energy Sector

Australian Mining and Energy updates

Selling to Mining and Energy Sectors Aug 2012

There is a lot of doom and gloom out there at yet if you get focussed there are opportunities. There are still mines that need to maintain, there are still EPCM working on projects, there are still studies being conducted, and there are still projects under way.

Mining News

Xstrata has approved a US$360M expansion for its McArthur River zinc mine in the NT and is constructing a 53MW gas fired power station contracted to Energy Developments with a starting date of January 2014.

Xstrata has its EIS for the proposed expansion of their Newlands Coal Mine available.

Rio Tinto looking towards further expansion of its Northparkes mine.

MMG
has been given approval to begin mining Dugald River zinc mine near Cloncurry after receiving final environmental authority from the Qld Govt.

BHP Billiton approved eight major projects during the 2012 financial year for a total investment commitment of $7.5B (BHPB share). Pre commitment funding of $2.7B was also approved to further progress a series of development options. In response to the challenging external environment the Group has chosen to delay the 2.5Mtpa expansion of Peak Downs that is associated with the Caval Ridge mine development. The 5.5Mtpa Caval Ridge mine remains on schedule to deliver first production in the 2014 calendar year. With 20 major projects currently in execution with a combined budget of $22.8B, BHPB is largely committed for the 2013 financial year. No major project approvals are expected over this time frame.

Metal X announced that it had signed memorandum of understanding with Samsung Construction & Technology to complete an updated definitive feasibility study of Wingellina with a view to the Korean giant then using its global reach to arrange funding for the mine’s development.

Atlas Iron has welcomed the approval for the development of new berths at South West Creek, Port Hedland. The WA Govt and Port Hedland Port Authorities (PHPA) gave Atlas approval for the North West Infrastructure’s right to develop two new berths at South West Creek in Port Hedland.

GVK’s Alpha coal mine, will sell stakes in its rail and port subsidiaries to build the massive mine. Its associated rail infrastructure is given the greenlight by the Fed Govt. The conglomerate needs to invest approximately $10M into the project to build the 500km rail way to connect the Galilee Basin to Abbot Point port.

Lake Vermont coal mine near Dysart will double in size over the next six years.

Paladin Energy has signed a massive US$200M long term off take contract for its uranium.

Upcoming SG Partners Sales Workshop   Syd and Melb

Stop doing the same thing and expect different outcomes – its insanity

If you want people to buy from you on value and NOT on price, if you want quicker sales, if you want people to call you first, if you want them to return your calls, get yourself trained in the latest and most effective sales techniques.

  • Would you like them to tell you how they want to buy from you?
  • Want to become the trusted advisor in the shortest period of time.
  • Want to shorten your sales cycle.
  • Want to learn the 4 sales questions guaranteed to generate more opportunities.
  • Would like to know the 6 qualifying questions that will improve your win/loss ratio.

Contact me if you are interested in sending people to these workshops or you would like to discuss an in-house workshop tailored to your specific requirements.

Energy News

Wind Prospect is awaiting planning and funding approvals for a $500M windfarm at Glen Innes.

TrustPower has awarded an EPC contract to Siemens to engineer, procure and construct the Snowtown II wind farm project proposed at Snowtown, SA. Siemens was awarded a full-fledged turnkey contract for the development of this 144-MW project, which includes the installations of transformers, switch gears and grid connections.

Bechtel said the initial modules have arrived in Australia for the first of three large LNG processing plants it is building on Curtis Island. The 6 prefabricated steel structures, which weigh a combined total of 7000t were built by STP&I in Thailand and transported by barge to Gladstone. A total of 260 modules for the three LNG projects will arrive by sea over the next two years. It marks the beginning of a new phase in construction said Kevin Berg, Bechtel’s operations manager in Gladstone.

GE Energy has announced plans to spin off its oil and gas unit into a separate company. Meanwhile GE Oil & Gas has been awarded a $600M service agreement to maintain the compressor trains and associated equipment at Chevron’s Gorgon gas project.

Origin Energy posted full-year net profit of $980M, up 427 % on last year, partly thanks to the sell-down of a chunk of its stake in the huge Australia Pacific LNG project, APLNG. Underlying profit rose 33% to $893M.

Verve Energy is seeking approval for a 250MW windfarm in the remote Mid West region, 270km nth of Perth. The proposed Warradarge windfarm consists of up to 100 wind turbine.

Sales Tips – Its not about your product

During our training workshops I ask what people within our customer base may be focussed on.

If you want to engage the Mine Manager – what does he want to talk about, what is he focussed on?

If you what to talk to the maintenance manager – what floats his boat?

We have a saying “Selling is not Telling”, sure you know your products F&B, do the people you are talking to want to know all of what you know or just the bit they are focussed on. Get to know what lights their fire.

 Supplier News

Monadelphous Group has scooped up a contract worth $75M with BHP Billiton for construction at its Jimblebar iron ore mine. Monadelphous has delivered its eleventh consecutive year of earnings growth, recording a $137M net after-tax profit for 2011-1

Cimeco has won a $70M contract to design and construct fuel infrastructure for Rio Tinto’s West Angelas and Brockman iron ore mines.

Clough has chalked up a net profit of $50.7M with $1.1B already booked in revenue for the 2013 financial year.

Thiess has been awarded the contract to construct a 4.3km tunnel under The Narrows to connect the mainland to the Santos GLNG LNG Plant on Curtis Island.

Downer EDI has won a $70M contract on the 131MW Mercer wind farm project in Victoria.

NRW have won a construction contract with Rio Tinto at its Cape Lambert port. The contract will see it construct the CLB353 stockyard, conveyor link earthworks, and relocate existing water pipelines and rail formation earthworks.

WDS has been awarded a $12M contract for BHP Billiton’s Dendrobium coal mine. The one year contract is for the provision of underground mining services.

Thiess has won a $2.3B contract to extend operations at Jellinbah Group’s Lake Vermont coal mine.

SDV Australia has won a $97M integrated freight forwarding contract for the construction of downstream LNG plant facilities on the Ichthys LNG project.

Forge has won a $280M contract to deliver power for Rio Tinto in the Pilbara. It has won an EPC contract to deliver a combined cycle gas turbine power station at Cape Lambert.

GE Oil and Gas has been awarded a $600M service contract to maintain the compressor trains and associated equipment at Chevron’s Gorgon LNG project.

East Coast Pipeline has been awarded a $150M contract to install polyethylene pipe for 145 wells at Spring Gully, north-east of Roma as part of phase 1 construction of the Australia Pacific LNG Project.

Ampcontrol, has acquired automation and process control firm Primatec QDA.

Calibre Global will undertake $150M contract for EPCM work for the implementation phase of Rio Tinto Iron Ore’s $1.6B Yandicoogina sustaining project.

KBR has been awarded a project management services contract for construction of the Diamantina 242MW gas-fired power station.

Macmahon Holdings has announced a record after-tax profit of $56.1M for the 2011-12 financial year.

WorelyParson has won $2M in work from the Arrow Energy JV for the preliminary design of about 1150km of pipelines for the Arrow LNG project.

UGL has won a $99.45M contract for work at BHP Billiton’s Jimblebar iron ore mine. Under this contract UGL will provide the fabrication and installation of equipment associated with stockpiles, secondary crushing, scalping and screening and conveyors.

Delta SBD has begun longwall surface builds at BMA’s Broadmeadow mine and Rio Tinto’s Kestral mine expansion. The work at Rio is being undertaken for Caterpillar (longwall).

Construction News

Port of Melbourne Corporation’s $1.6B redevelopment of Webb Dock is one step closer to reality following the awarding of civil and maritime design contracts to Aurecon Australia. The scope of civil works includes detailed design of internal roads, interface buffers site preparation works and services infrastructure. PoMC also advised the appointment of Arup to provide engineering consulting services for the project’s extensive maritime works.

The Maldon to Dombarton Rail Link project in Illawarra will soon be “shovel ready” as the Fed Govt has released $25.5M to complete its planning and detailed design work.

The North West Rail Link in NSW has generated strong national and international interest. 6 consortiums, more than 60 companies, have signalled their intention to bid for the contract to build the twin 15.5km tunnels between Bella Vista and Epping, following calls for expressions of interest. The companies involved are from across Australia and around the world. The next step will be the official calling for tenders in October this year to build the twin tunnels, which will be the longest and deepest rail tunnels in Australia.

Hutchinson Port Holdings has awarded Laing O’Rourke the civil works contract for the Terminal 3 development at Port Botany. Laing O’Rourke has been contracted to deliver civil works for the Terminal 3 development. The contract marks the start of the on-ground works of HPH’s $500M investment for the development of a new container terminal. Laing O’Rourke will construct a $150M civil and rail infrastructure package, representing the first phase of the newly reclaimed Botany Bay expansion.Work for the Port Botany project includes the provision of rigid pavement using onsite concrete batching, high voltage substations and structural support for the heavy duty quay and stacking crane systems. The contract also includes rail sidings, drainage and ground improvements.

SG Partners offers:-

  • sales and customer focus training – refresh and train people on being even more customer and revenue focused;
  • sales team recruitment – ensure people can sell and can manage sales teams;
  • sales team training analysis – we can identify the hunters, farmers, strengths and weaknesses of qualifying and closing within your sales team and define the exact training and support requirements;
  • sales process and engagement consulting – crm, remuneration programs, tender/rfq processes.

Please do not hesitate to contact us if you want to grow your revenue NOW.

http://www.sgpartners.com.au

All information contained in this blog derives from information available within the public domain. SG Partners/Michael Lang take no responsibility for information that may be incorrect at time of collation. Where statements/editorials are made it is on the bases of pure speculation and no malice is intended.

Selling to Mining & Energy Sectors June/July 2012

Selling to the Mining & Energy Sector

Let me put it this way, if you are not getting the sales you deserve in the mining sector, there is something wrong! There is $2.2B worth in the supplier section below alone. Call me to discuss what is going on and let’s see how we can change it. Nothing ventured , Nothing gained!

We are passionate about assisting people maximising their sales efforts within the mining and energy sector.

Sales Tips- The Friendship sale

I interviewed a sales person the other day on behalf of a client. I asked what made him successful – “I become their friend” he replied. He called on them time and time again to become their friend.

This is a very ineffective way of selling and let’s be honest, people do not buy from friends, they buy from trusted advisors, people they respect who can provide solutions in the most effective ways.

Selling on friendship/relationship forming is old and time wasting and brings limited value to the client. It is not sustainable in an industry where people move around consistently in your customer base. Want become their trusted advisor within 2 meetings – see our sales training offer below.

Mining News

BHP Billiton’s $20B plus Outer Harbour iron ore expansion has received Fed Govt approval amid growing signs that it will take precedence over the Olympic Dam expansion which could be held back until 2014, while the Outer Harbour expansion at Port Hedland is on track to be ticked off at board level in the next 12 months.

Gloucestor looking to develop its Rocky Hill open cut coal mine. It currently seeking Fed Govt Environmental approval.

Xstrata has announced it is carrying out studies to extend the life of its Black Star zinc mine. The latest study will run until November and seeks to push the zinc operation’s life beyond 2016, it is part of the miner’s $133M Black Star expansion project it originally announced in 2010, which was dubbed the Black Star Open Cut ‘Deeps’ Project.

Rio Tinto’s South of Embley bauxite mine & port development on Western Cape York has received approval from Qld Govt, the Feds are the next hurdle.

I was public doubting WICET expansion ability to move ahead without heavy weights such as Xstrata signing up, well they have now with a $110M pre-commitment. Looks like we have another port project – fantastic news, WICET is progressing engineering, early works and working with the four producers and the associated infrastructure providers to plan and align
financing of the project.

Bell Bay smelter may have an agreement between Rio Tinto and the Fed Govt to secure its future as it joins PT Henry Smelter in receiving financial support.

St Barbara and Allied Gold have announced the two companies will merge to create a diversified gold miner.

Fortescue and Baosteel have announced a merger of some of their iron ore assets. Under an agreement they will consolidate their interests in the Northstar and Glacier Valley mining leases into FMG Iron Bridge. Fortescue will own 88% and Baosteel 12% of the entity, which is a Hong Kong based subsidiary of Fortescue.

Xstrata has applied to the NSW Dept of Planning to extend the lifespan and workforce of its Ravensworth coal mine. Dubbed the “Underground Mine Modification 9”, it is part of the miner’s gradual development of the Liddell Seam. This infrastructure includes new pit top facilities; conveyors; tailings pipelines; a substation; RCHPP and RCT; and fuel storage facilities, as well as new fire ventilation shafts and goaf drainage well.

AngloAmerican $1.7B Grosvenor mine has received final approval with a mining lease granted by the Qld Govt. It has also lodged their draft terms of reference for their EIS for Moranbah Sth Coal Project.

BHP Billiton has committed $832M to establish a new mining area at Illawarra Coal’s Appin Mine. The construction of the new mining area would include work on new roadways, ventilation infrastructure, reconfigured conveyors and other
services. The development will replace production at the West Cliff mine. It had received “all necessary regulatory approvals”.

Proto Resources confirming work on its Barnes Hill mine will begin by the end of next year. The $70M nickel-cobalt-iron Barnes Hill mine is Proto’s flagship project and is expected to last 26 years producing 250,000Tpa.

Rio Tinto to invest a further $3.7B in its Cape Lambert port. This includes a gas fired power plant, two new berths and related infrastructure. It will also invest to extend the life of the Yandicoogina mine to 2021 and increase its capacity. At Simandou, Rio will invest in detailed design studies, early works and long-lead item, which is primarily port and rail infrastructure. Rio is targeting a staged ramp-up of the mine, leading to production on 2015. The latest announcement does not affect its previously announced $16B capital expenditure package for 2012.

NuCoal Resources has signed a $40M agreement with Mitsui to develop the Doyles Creek underground coal project.

SG Partners Super Sales Clinic

19th & 20th August Brisbane   &   4th & 5th September Perth

Stop doing the same thing and expect different outcomes – its insanity

If you want people to buy from you NOT on price, if you want quicker sales, if you want people to call you first, if you want them to return your calls, get yourself trained in the latest and most effective sales techniques.

Would you like your people to have your customers tell them how they want to buy from your company?

It is all possible. We teach NLP for sales at our workshop. We teach your people how to understand the psychology of sales.

We have trained Outotec, Fuchs, People Resourcing, Hastings Deering, Komatsu, Sargent, Weir Minerals, CQMS, Scope Systems, Hardchrome, MMD, Microfresh, SEME, Kinder, Scantech, Finlay, Vermeer, Pall, Endress, Wampfler and the list goes on.

Whether they are in direct sales, a sales engineering or an internal or customer service role, “Super Sales Clinic” will improve, enhance and create an even better outcome for your team.

Do you want your people to know:-

+ How to Get Your Customers to Spend More Money with you
+ 7 Ways to Sell Against a Lower Price
+ 5 Things to Say to Win Over a Customer
+ 7 Essential Rules for Closing Deals
+ The 9 Most Crucial Sales Skills

Places will be limited to 20. So book NOW.

We look forward to seeing you and your people there.

PS> If attending this workshop increases customer loyalty and improves revenue and profit, SG Partners will be held liable.

PPS> Attendance at this workshop will improve how you interact with people, it will improve your sales process, it will improve how your clients perceive you.

This workshop is a must if you:-

Want to become the trusted advisor in the shortest period of time.

Want to shorten your sales cycle.

Want to learn the 4 sales questions guaranteed to generate more opportunities.

Would like to know the 6 qualifying questions that will improve your win/loss ratio?

Click here for more details

Energy News

Woodside’s four Browse Basin project partners have let slide their pre-emptive rights to a $1.95B stake sale to Mitsubishi and Mitsui

Santos CEO said the company had identified coal-seam gas in Indonesia as a key part of its longer- term growth plans.

Origin Energy and its partners will push ahead with stage two of their $23B LNG projects. The JV, also involving the ConocoPhillips and Petrochemical Corp have agreed to expand their APLNG project to two trains, or processing units. First production of gas is expected in 2015

Sales Team Recruitment

We are currently searching for:-

  • BDM, Fabrication, Brisbane
  • BDM, Industrial Products, Melbourne
  • BDM, Pumps, Mackay
  • BDM, Pumps, Perth
  • BDM Automation, Perth
  • BDM Software, Perth
  • BDM, Recruitment, Brisbane

If you are searching for great sales people, sales managers, we are experts are finding, screening and knowing what it takes to be successful in engaging with your customers – give us a call 07 3852 5454 or michael@sgpartners.com.au

Supplier News

Mitsui & Co. has acquired a massive stake in National Plant & Equipment for more than $100M.

GW Hyder has been awarded by Xstrata the design of the surface materials handling for Stage 2 of Moolarben Coal Complex. The scope of work includes design of four new conveyors totalling 7km, a 500t capacity crushed coal surge bin and chain feeder, a truck dump hopper with apron feeder and primary crusher, and one new and one relocated rejects bin. In addition, GW Hyder will perform a pre-feasibility study for Xstrata Coal at its coal handling plant in Oaky Creek. GW Hyder will also provide detailed design of an emergency clean coal stockpile reclaim system for Coal and Allied’s Mount Thorley.

Hitachi expects its global sales of mining equipment to reach a record this year as customers press ahead with projects in resource-rich countries. Sales from mining companies may surge by a third to $2.5B in the year to March. In fact at the MESCA briefing QCoal said they had signed a letter of intent to buy Hitachi Excavators and Trucks for the Drake project.

Aurecon Hatch has been awarded a $20M contract by Port Waratah Coal Services for project feasibility study services for its T4 terminal.

Vela VKE, the privately owned South African engineering company, is merging with Australian rival SMEC.

Siemens has been awarded a contract to supply 13 locomotives to BMA for its coal operation expansions. The company will provide 13 narrow gauge 25kV heavy haul electric trains.

Macmahon has won the contract to design and construct the Great Northern Realignment out of Port Hedland. The $220M contract was awarded by the WA Govt and consists of the creation of around 8km of new roads, and a major interchange at the Broome turn off.

Downer EDI has won rolling supply and support contracts $73M to supply Fortescue with 19 new locomotives.

Downer announced it had been awarded a $175M contract with Western Power to construct a transmission line.

Downer has won a long term contract with Stanwell Corp for its Meandu coal mine. The rolling contract will run for five and a half years and is worth approx $600 to $800M. It will provide a total mine service including mine management, planning, drilling, overburden removal (as well as dragline and truck/shovel operations), mining, processing, and then eventual rehabilitation and maintenance.

Downer EDI has been awarded new electrical and instrumentation contracts for BHP’s iron ore projects. Dubbed the Newman HV Power System Augmentation project. Worth more than $70M, the contracts will see Downer responsible for both the greenfields and brownfields transmission line and substation works.

Jacobs Engineering is expanding its Australian operations agreeing to terms to acquire Lend Lease’s Australian consulting project management business.

Aker Solutions has been awarded a $NOK485M contract by Technip to supply a Mono Ethylene Glycol (MEG) reclamation plant for the Ichthys LNG Project. The scope of work includes system engineering and supply of key equipment for the MEG plant. The equipment deliveries will be in 2013 and 2014.

Abigoup has been awarded a $76M infrastructure contract by QR for the massive Wiggins Island Rail. It includes civil works for the 13km balloon loop. Abigroup is also working on a $290M JV with Lend Lease to construct the terminal itself.

Leighton Contractors, through its Mining Division, has been awarded a 3 1/2 contract extension worth approx. $738M for the provision of mining services at the Q Coal Sonoma Mine.

Leighton Contractors has been awarded by QR National the second major construction contract for the Wiggins Island Rail Project valued at $56M, the contract is for civil works facilitating track duplication between Rocklands and Stanwell near Rockhampton, one of six work sites for Stage One of the Wiggins Island Rail Project.

Xiangtan Electric Manufacturing Corporation recently delivered four custom 230t haul trucks to Australia, bound for a three year trial at Mt Tom Price mine in the Pilbara. XEMC, China’s largest haul truck producer, is in the process of establishing a wholly-owned Australian subsidiary and will provide on-site support to Rio including engineers.

Watpac Civil and Mining has secured a contract at BC Iron’s Nullagine iron ore project. The work, worth around $35M consists of the haulage of ore from the project’s satellite mines to the ROM stockpile for the next 4 years. They will provide surface mining services, loading and hauling of ore and waste, mobile and fixed crushing, and site rehabilitation

Decmil Australia has scored a $30M services and infrastructure contract on Rio Tinto’s Marandoo Mine. The contract involves the construction of heavy mobile equipment infrastructure and facilities. Construction of a workshop, offices, staff amenities, and refuelling and storage facilities will be part of the expansion..

VDM Group
has won $17M contracts with Rio Tinto’s Brockman 4 iron ore mine to provide the engineering design work and construction of a new plant maintenance workshop, heavy vehicle fuel facility, and related infrastructure, as well as additions to the mine’s existing village facilities. Work is expected to begin late next month and run over six months. VDM’s Western Operations were also recently awarded $10M in contracts for bulk earthworks in residential construction, as well as work with Western Power and CBH.

LogiCamms has won a $8.5M contract with Stanwell Corp to upgrade its coal handling preparation plant. The contract will update Meandu coal mine’s CHPP control system. Scope of the CHPP control system upgrade includes the design, installation,
factory and site acceptance testing, commissioning, and operator training.

Siemens have been awarded orders for gas turbines for the Gladstone LNG project.

Leighton Contractors Mining Division has been awarded a three-year contract worth $604M for the provision of mining
services at the Peak Downs Mine to include project management, fleet maintenance and operational services for overburden mining at the project.

Laing O’Rourke has scooped a $650 deal to build seven gas processing plants in Queensland following the announcement of an Australian Pacific LNG contract yesterday.

Quadrant Private Equity has signed a contract to purchase CQMS Razer in a deal which gives the mining products and services group an enterprise value of more than $150M

Outotec acquired WA-based TME Group.

Transfield Services have won two engineering design and construction contracts with Rio Tinto and Fortescue metals. The work, worth around $100M consist of a one year $65M contract to design and construct Rio Tinto’s Parker Point fuels storage terminal at Dampier and a one year $35M contract to construct diesel storage facilities at Fortescue’s Solomon mine.

SG Partners offers:-

  • sales and customer focus training – refresh and train people on being even more customer and revenue focused;
  • sales team recruitment – ensure people can sell and can manage sales teams;
  • sales team training analysis – we can identify the hunters, farmers, strengths and weaknesses of qualifying and closing within your sales team and define the exact training and support requirements;
  • sales process and engagement consulting – crm, remuneration programs, tender/rfq processes.

Please do not hesitate to contact us if you want to grow your revenue NOW.

http://www.sgpartners.com.au

All information contained in this blog derives from information available within the public domain. SG Partners/Michael Lang take no responsibility for information that may be incorrect at time of collation. Where statements/editorials are made it is on the bases of pure speculation and no malice is intended.

Selling to Mining & Energy Sectors May 2012

There is now $260B  of Australian resource investment, WOW.

Mining News

GVK Power & Infrastructure have received environmental approval for their plan to build a $6.4B coal project in Queensland. Check a presentation on the project at http://hancockcoal.com.au/files/120301_IAQ_Breakfast_Presentation.pdf.

Rio Tinto has unveiled its latest iron ore mine development plans to start the construction next year of its Turee Syncline project in WA. Rio Tinto is seeking govt approvals to develop Turee Syncline, approx 15 km NE of Paraburdoo which is expected to produce up to 10Mtpa over 16 years. Provided all relevant approvals are obtained, production may begin in 2014. The mine initial stage will involve transport of ore by road for processing at Paraburdoo with a view to potentially developing an on-site processing plant and rail loop if required.

Alcoa is poised to buy more residential properties in WA’s SW region to make way for its Wagerup alumina refinery expansion.

Toro Energy has received WA Govt approval to construct the uranium Wiluna mine in WA’s midwest. Toro’s plans uranium oxide will be transported from Wiluna through the outskirts of Kalgoorlie and over the border into SA. Toro has not yet indicated which port it will use to export the uranium. Toro said it was aiming to start construction on Wiluna through 2013 with first sales commencing in 2014.

Sedgman has signed a contract with BMA to upgrade the coal preparation plant at its Saraji coal mine $27.7M. This is an EPC contract to upgrade the plant scheduled to be completed in the second quarter of 2013.

Yanzhou Coal is in talks to buy Vale’s stake in an Australian coal mine for more than $500M.

Cape York Peninsula public submissions have opened for its proposed $500M coking coal project.

China Coal Imports Rise 90% in April.

Want to meet the CEO of BMA, Peabody, QRC etc – well join the CEO sleepout in June in Brisbane.

The Qld Govt has declared the Yarwun Coal Terminal project significant as it announces a scaling back of the Abbot point super expansion plans.The Yarwun coal terminal has been seen as a significant development for coal miners in the Surat Basin and offers more direct port access to export markets. According to MetroCoal, which is aiming to export through the port, this announcement is an important milestone. Abbot PointsT2 and T3 coal terminals will go ahead as they have already been approved.

The Indonesian govt is ready to invest $367M seed capital for the construction of geothermal power projects that will form a model for others that will be rolled out across the country.

Energy News

GLNG 435km gas pipeline has moved a step closer, after the Queensland Coordinator-General approved a key 44-kilometre section of pipeline within the Callide Infrastructure Corridor State Development Area (CICSDA).

AGL has been given state government approval to build a $310M gas storage facility at Tomago. AGL still needs federal approval for the project from Environment Minister Tony Burke, who is expected to reveal his decision in about two months’ time.

Origin Energy is in advanced negotiations for a $2.93B loan from the US Govt Export-Import Bank that could provide cheap funding for a $US6bn expansion of the Australia Pacific LNG plant at Gladstone

Sales Tips– dislodging a competitor

Every customer is already using someone else, so how do you get the customer to chose you.

Try this – “I know you utilise ABC. I bet they’re very good. What do they provide you that is great…. Is there anything else you may want from a supplier?…. OK if we could do that and this and even more would you consider choosing us over ABC”

Supplier News

Caterpillar’s
Cat 777 has long been the workhorse of the mining industry. Since the 1970’s one incarnation or another could be found on site, they were almost ubiquitous. And now Caterpillar has released the latest generation of this truck – the 777G, replaces the 777F.

Orica has announced that it will now form a JV with Apache and Yara to build an ammonium nitrate plant in WA. Yara will be the operator of the plant while Orica will manage sales and distribution. The parties are aiming to begin construction by the middle of the year.

Decmil Group has won a contract with FMG, as well as variations of two of its existing contracts with the miner.According to Decmil, this work is valued at approximately $137M. These contracts will see Decmil construct facilities for Fortescue’s T155 Rail Support infrastructure project in the Pilbara, allowing Fortescue to increase its iron ore export capacity. The work includes the construction of new rail car workshops, amenities buildings and administration centres, carrying out modifications to existing workshops, co-ordinating the fit out of the new rail car workshops, and the design and construction of a locomotive provisioning
building.This single contract is worth around $50M.

GE has announced it will acquire Industrea on the back of acquiring Fairchild International a company who produces a full line of underground mining equipment. GE stated in a press release that the two companies will become part of GE transportation’s global mining business.

Boart Longyear expects demand to remain strong as large mining companies proceed with projects.

Leighton Contractors to build the first phase of APLNG $800M coal seam gas project building 1200km of pipeline, water treatment plants and well heads across the Condabri gas field developments, south of Miles, and the Talinga development near Chinchilla.Construction of the pipelines would begin immediately and finish by mid-2015.Work on the water treatment plants would begin in mid-2012 for completion by 2013.

Hydratight was honoured recently among 47 vendors for its performance during the 2011 year, as a result of nomination by Bechtel’s project management teams in the field. Bechtel annually works with an estimated 13,000 vendors on its projects globally, which puts Hydratight in the top one percent of suppliers to the global EPC giant, which has annual revenues exceeding $32B. Bechtel is building Gladstone’s three LNG plants, and has undertaken major projects such as expansions at PWCS and Rio Tinto’s Comalco Alumina Refinery. Bechtel said each business was measured under four criteria: safety, execution, schedule and the ability to adapt to circumstances.

SG Partners offers:-

  • sales and customer focus training – refresh and train people on being even more customer and revenue focused;
  • sales team recruitment – ensure people can sell and can manage sales teams;
  • sales team training analysis – we can identify the hunters, farmers, strengths and weaknesses of qualifying and closing within your sales team and define the exact training and support requirements;
  • sales process and engagement consulting – crm, remuneration programs, tender/rfq processes.

Please do not hesitate to contact us if you want to grow your revenue NOW.

http://www.sgpartners.com.au

All information contained in this blog derives from information available within the public domain. SG Partners/Michael Lang take no responsibility for information that may be incorrect at time of collation. Where statements/editorials are made it is on the bases of pure speculation and no malice is intended.

 

Selling to Mining & Energy Sectors Feb/March 2012

If you are like me and want to keep focussed on the opportunities that bring in the greatest return on your investment, check out the latest positive news about the Mining and Energy sector.

Mining News

Anglo American Metallurgical Coal is expected to announce the sale of one of its two thermal coal mines in Australia – the Callide mine whilst it is considering adding a second l/wall to its proposed $US1.7B Grosvenor project

Rio Tinto Coal
plans to extend open cut mining at its Warkworth mine at a cost of $629Mhas been given the go ahead from the NSW Dept of Planning.

AGL’s seeks to increase ownership at the Loy Yang power station to 35%, it will need to raise $1.5B.

Kagara is believed to have sold its Lounge Lizard nickel mine to Western Areas for $80M.

Centennial Coal wants to extend its Newstan Colliery’s increaseing to 4.5Mtpa through l/wall and continuos mining. Part of the project will include installing and operate additional surface infrastructure for gas drainage, greenhouse gas capture and abatement, ventilation, support buildings,electrical reticulation, water reticulation, water management, communications and other services.

Cape Alumina has doubled the inferred resource at its Bauxite Hills project on Cape York to 60Mt of bauxite and will proceed with a pre-feasibility study.The company is working to start production from late 2014.

Cuesta Coal has received $5M in funding, marking the first stage of Beijing Guoli Energy’s $20M injection into the company.

Yancoal’s plans to increase the production rate of its Moolarben coal mine which will see it mine 16Mtpa of coal over 20 years. Meanwhile its take over Gloucester Coal has been given the thumbs up by the Fed Govt.

Cockatoo Coal’s Collingwood and Taroom mine projects have been granted significant project status by the state government.

AngloGold Ashanti says it will be spending over $US800M on Australian projects in the next two to three years.

Sales Tips

How often do you come across this reply from a potential sale – “I need to think it over”

Consider these responses.

“What exactly is it you need to think over?” It’s another way of asking a prospect what their real objection is. Then clarify their objection with them, address it and confirm with them that their ‘concern’ has been addressed

“I can understand that you feel a need to make sure you’re making the right decision (softening statement). Will you share with me what thoughts you have right now (yes/no)? (Pause to see if he or she says more than just yes or no. If not, dig for more…) What pros and cons do you see right now..?”

Energy News

Carbon Energy is hailing an Australian first, exporting power generated by its underground coal gasification project at Bloodwood Creek onto the local grid.

PNG LNG is one of the largest and most complex energy projects under construction in the world. An expansion to three liquefied natural gas, or LNG, production units from the two currently planned could give a major boost to Oil Search.

Australia Pacific LNG completed a $2.5B, 16-year project finance loan with nine banks. The company is owned 37.5% by Origin Energy Ltd. (ORG), 37.5% by ConocoPhillips and 25% by China Petrochemical Corp., or Sinopec, as the group is more commonly known.

Supplier News

Emeco Holdings has tipped robust growth for the remainder of the financial year after it reported profits of $29.2M for the first six months, up 10.1% on the previous corresponding period.

NRW Holdings has exceeded its expectations for the first half of the 2012 financial year, posting profits of $45.3M, up nearly 120% from the same period last year.

Delta SBD increased its interim net profit by 94.5% to $3.3M and its revenues by 40.3% year-on-year to $55.6M thanks to a development contract with Whitehaven’s Narrabri project and a longwall build contract on behalf of Caterpillar Global Products at Narrabri.

LogiCamms announced that it has been awarded a contract with Chevron Australia to provide maintenance engineering services on the Chevron-operated Gorgon Project.The contract has an estimated value of approximately $8m.

Orica has signed a deal to take a 45% stake in an ammonium nitrate plant it will build in WA with Norway’s Yaraand Apache Corp The JV aims to start construction on the 330K tpa ammonium nitrate plant by mid-2012

Hatch and Anglo American have launched a program to standardise longwall and CHPP designs, to facilitate the miner’s strategy for its major growth projects. Anglo’s strategy is to triple coal production by 2020, mostly from four longwall mines in the Bowen Basin.Hatch is currently working on several projects in the portfolio, which vary from conceptual study work and staged feasibility studies to full EPCM services. The two companies celebrated the new arrangement by signing the contract for the Grosvenor coal longwall mine. The project is valued at $1.6bn and is designed to produce 5mtpa.

Thiess has won a $500M contract to build storage tanks at the Wheatstone LNG project. Thiess and tank design firm EV LNG Australia will build LNG storage and condensate tanks near Onslow, in the state’s north

Monadelphous
record net profit after tax of $57.5M for the first half of the 2012 financial year on the back of sales revenue of $879.5M

Downer has been awarded by Gindalbie Metals a $64M electrical and instrumentation (E&I) contract for its iron ore processing plant at the Karara project.

Downer EDI has been named preferred contractor by Riot Tinto Iron Ore for electrical and instrumentation work on the 333 expansion of its Pilbara operations.

KBR announced that its JV with JGC Corporation and Chiyoda Corporation, the JKC JV, has signed the formal contract for US$15B EPC activities on the Ichthys LNG Project.

Clough has won a $140M contract for work on Inpex’s Ichthys LNG project. The JV with BAM International had received a letter of intent for the design and construction of a module offloading facility near Darwin where the gas will be processed.

Forge Group is acquiring CTEC, a private WA-based company providing EPC, operations and maintenance solutions to the energy and utilities sectors.

Gindalbie Metals has selected Downer EDI for Karara’s inaugural 6 year, $570M mining contract. It includes drill and blast as well as load and haul services.

John Holland has been awarded a $220M contract for the construction of stage 1 stockyard works for the Wiggins Island Coal Export Terminal project.

AusGroup
subsidiary AGC Industries has formalised its construction contract with Gindalbie Metals for its Karara iron ore project. The contract, worth more than $160M. It consists of structural, mechanical, and piping installation works at the magnetite mine. To date, AGC have completed the early works contract, as the mine begins peak construction in the lead up to first production in early September.

Thiess has been awarded a $180M contract with the BMA for civil earthworks for the development of the $4B Caval Ridge mine project

Qube Bulk has been awarded by Sandfire Resources a haulage and port services contract for its DeGrussa copper gold project. The contract is estimated to be worth $120m over a five-year period.

OTOC has won a $14M contract for accommodation at Rio Tinto’s West Angelas mine. The contract will see OTOC install transportable accommodation buildings and provide infrastructure upgrades to the mine’s village.

Toll Energy Logistics has been awarded a $45M transport and storage contract by QGC. Toll Energy Logistics will transport materials and equipment from suppliers to worksites and manage storage facilities to support construction activity in QGC’s gas fields in the Surat Basin.

Leighton Holdings remains on track to deliver a profit after tax of $600-650M for 2011-12 after reporting a 57% jump in first-half profit.

Asciano announced it had won another coal job Bandanna Resources.

Industrea’s
mining division has received a purchase order from Vale for four 70t roof support carriers, a 50t mine dozer and a 130t shearer carrier for a combined value of $12.6M

Price Objections

Price is relative to business problems. If you are selling in the triangle of Service, Quality and Price, then you are not selling value that solves business problems. You are selling into a comparative matrix that boxes you into a same-same measurement with your competitors. When you solve business problems — time, money and risk — then you are in a very different dialogue.

Price is a reflection of confidence in outcome. If there were a 100% guarantee that there would be a resolution to a buyer’s business issue, then their willingness to pay the asking price increases. When I get price resistance on my proposals, I ask this question: “If we could get you a $20 million increase in sales in one year, would it be worth a million dollar investment?” Their answer is almost always yes.

Price is a reflection of measurement context.There is no such thing as a true “apples-to-apples” comparison. Complex solutions are almost never exactly the same between two competing companies. That means that there is no valid comparison between you and your competitor in the area of price. A lower quality provider in your market is held up as “just as good as your solution” by your prospect, so therefore the only point of comparison must be price, right? Only if you allow it to be.

Never haggle. The difference between negotiating and haggling is simple. Negotiating is when you are making adjustments in terms, conditions and scope of work between two parties. Haggling is when you are asked to do the same work you have already proposed, but for less money. I don’t believe in haggling. If your work is priced correctly, then any adjustment in price will require an appropriate adjustment in scope, terms or conditions.

Negotiating is hard. Its a drain on resources, time and energy. You just want to get it done so you can move on. The client seems to want everything for nothing, if its not price, then its terms, delivery, installation, warranty, risk etc etc.

Want to know how to do this even better, better results, easier time negotiating, more enjoyable?

SG Partners Negotiating Workshop

23/24th May Brisbane

Every deal is different, but what if you could…

  1. apply a simple 3-step process to identify the real value in your deal?
  2. learn how to anticipate, diagnose & respond rationally to 97% of buyer negotiation tactics?
  3. better align your sales approach to improve consistency in client relationships and drive improved satisfaction as an output from each and every negotiation.

We will in the workshop:-

  1. Improve the outcomes of your live deal (in the workshop)
  2. Assist dealing appropriately with irrational competitors
  3. Learn a simple, memorable, negotiation framework that you can apply yourself to each and every deal you ever negotiate.

This workshop is a must if you

Want to reduce risk
Want to have successful business outcomes
Want clients to value you
Want the focus off price
Want clients to refer you to others
Want more revenue and profit
Want to sell more!!

Want to know more http://www.sgpartners.com.au

SG Partners Provide

  • Sales team training analysis.
  • Sales training and coaching.
  • Sales team recruitment.
  • Go to market consulting.

Selling to Mining, Energy and Construction Sectors Jan 2012

Another year ahead and what a year it is to be.

Seriously if you are not getting your share – or more, then something is wrong.  Check out the opportunities below – $BBB of dollars there for the making.

Check out our sales training workshop in March – see below

Want a great role – check out the positions we are recruiting for – see below

Mining and Construction related Activity


Xstrata Coal
has taken a major step forward in expanding its Rolleston coal mine, applying for additional mining leases adjacent to its current operation

BHP Billiton growth pipeline now exceeds $26B 

Yanzhou Coal agrees to buy Gloucester in $2.1B deal

Carabella Resources may sell a stake in its most advanced coal project in Qld state to help fund development that’s estimated to cost as much as $1B

Xstrata Coal will install a second longwall at its Oaky No 1 mine and plans to develop an open pit mine at the site as it seeks to increase its production versatility.

Xstrata Zinc submitted a draft EIS for its McArthur River Mine with the NT Govt proposing capacity expansions.

Metrocoal underground plans have taken the next step with its EIS commencing. Expected to start mine 2015, Meanhwile port developer Tenement to Terminal Ltd has made an agreement with Australian and Chinese coal companies MetroCoal and SinoCoal Resources to fund a new coal terminal at the port of Gladstone with an annual capacity of up to 30MT.

BHP Billiton‘s $10-$12B outer harbour expansion at Port Hedland has had a conditional approval by WA’s EPA referred to the Environment Minister.

Sales Tips – Negotiation

When a negotiation ends, a positive, lasting relationship with the customer begins.  But what if one side gained at the expense of the other?  Is someone walking away feeling defeated?  This kind of adversarial energy won’t create the momentum necessary to get a great relationship rolling.

SG Partners will be running a worldclass negotiation workshop soon, interested people please contact me as we will be keeping numbers low as it is a very hands on workshop.

Mining and Construction related Activity Cont

Peabody Energy has started the sale process for its Wilkie Creek mine.

Vale and JV partner Aquila Resources have officially approved a resolution for the development of their $1.25B Eagle Downs hard coking coal project.

Endocoal has announced a 348.5MT total resource, attracting the attention of potential acquirers.

Korea Resources Corp has had its Wyong project evaluation restarted by the NSW Govt.

Russia has pledged more than $US8B to develop Russia’s coal industry and assist with exports to the booming Asian market as it seeks to ramp up production to 430MT by 2030

SG Partners Sales Recruitment Services – yes we recruit sales and sales management professionals.

We are currently searching for:-

  • Implementation Managers, Brisbane, Mining Services
  • BDM,Brisbane, Network and Security systems
  • BDM, Brisbane, Safety Software solutions
  • Sales Engineer, Brisbane, Mobile OEM
  • BDM, Townsville, Power Systems
  • BDM, Perth, Mobile Preventative Maintenance Systems Solutions
  • BDM, Perth, ERP Systems
  • Electrical Manager, SE Qld, Power Systems
  • BDM, Emerald, Hydraulic Systems

If you know anyone that may be looking for a change – refer them onto to us or give us a call 07 3852 5454 or michael@sgpartners.com.au

Energy

Inpex cleared to start work on Ichthys LNG housing village in Darwin with the NT Govt giving approval for the start of construction of the accommodation village for the Inpex-led Ichthys LNG project in Darwin

LNG Ltd has signed an EPC services contract with China Huanqiu Contracting & Engineering Corporation for its Fisherman’s Landing liquefied natural gas project in Qld

Sinopec has finalized a $1.1B deal to increase supply and raise its equity in the Australia-Pacific LNG project.The binding agreement seals an agreement between APLNG and Sinopec for the $20B project, led by Houston company ConocoPhillips and Australia’s Origin Energy and builds on an April 2011 agreement.

Australia Pacific LNG 530km gas transmission pipeline project has started construction phase, with the first shipment of steel pipe arriving.

Make More Sales, Revenue, Profit, Marketshare

SG Partners Super Sales Clinic March 13 & 14

Are there people within your organisation that need to grow sales, meet budgets, provide customer service?

What would happen if your people could engage even better to create better outcomes, such as:-

  • Create even more revenue opportunities created
  • Negotiate Higher margins
  • Create better win/win outcomes
  • Manage customer expectations even better
  • Creating long term, consistent business streams

Whether you have direct sales, sales engineering roles, internal or customer service roles, “Super Sales Clinic” will improve, enhance and create a even better outcome for your company.

Do you want your people to know:-

  • How to Get Your Customers to Spend More Money
  • 8 Ways to Sell Against a Lower Price
  • 5 Things to Say to Win Over a Customer
  • 6 Essential Rules for Closing Deals
  • The 8 Most Crucial Sales Skills
  • Quick Fixes to Make Your Clients Happier

When: March 13 and 14th
Where: Brisbane
Registration forms click here

Wait there is more, from some last workshops this is the feedback we received.

A bit of an update with my sales success from the Sales Clinic:

A $120k sale with a margin increase of 14% compared to a normal sale of this product  – tools utilised – being more flexible, asking more questions to identify what was important to them and the most important, eliminated them going to market for any other quote.

Additional sales of $100k throughout the month with increased margins and now repeat business – being more people to more people and building rapport and gaining complete trust quicker.

Not a bad return on investment!!!!!!

I am very excited about becoming an “even better” sales professional as I develop the skills further. Simon

Here are some testimonials from previous workshops

“I recommend SG Partners because I thought I knew what I was doing but I was wrong and SG Partners helped me work that out.’ Sales Person, CQMS Razer.

“The workshop gave me some great practical techniques and I was really impressed with the trainer’s understanding of the client buying thought process“. Peter

“The content and interaction was outstanding – the presentation was not only practical but delivered in practical language! I now have the tools and understanding to be better at customer service”. Graeme

There are 10 places left and they will fill fast, contact us NOW or go to the registration website here

We look forward to seeing you there.

PS> If attending this workshop increases customer loyalty and improves revenue and profit, SG Partners will be held liable.

PPS> Attendance at this workshop will improve how your people interact with people, it will improve your sales process, it will improve how your clients think of you.

Mining Equipment and Services News

John Holland has secured a $370m contract to design accommodation for Chevron’s Wheatstone LNG project.John Holland said the 12 permanent buildings include an operations building, laboratory, fire station, vehicle maintenance shop, plant warehouse and maintenance centre.

Thiess will build a 1.2-km undersea tunnel connecting two offshore gas reserves with an LNG plant for the Chevron’s Wheatstone LNG project

Thiess has been awarded a $325M major infrastructure project contract from Qld Gas Company involving constructing 6 field compression stations and one central processing plant at Curtis LNG Project.

Thiess has won a $1 billion mining contract to extend the life of OZ Minerals’ Prominent Hill copper and gold mine.

Ausenco has signed a Create phase (EPCM) contract to manage the $12M expansion of Barrick Gold Corporation’s Lumwana Copper Project in Zambia.

ATEC Rail Group is in talks with India’s GVK Group and Adani Enterprises to take a stake in a proposed rail link in Australia’s Galilee Basin

Aker Wirth is to supply 11 piston-diaphragm pumps to the Ma’aden Bauxite & Alumina Co’s mine refinery project in Saudi Arabia.
 

SG Partners offers:-

  • sales and customer focus training – refresh and train people on being even more customer and revenue focused;
  • sales team recruitment – ensure people can sell and can manage sales teams;
  • sales team training analysis – we can identify the hunters, farmers, strengths and weaknesses of qualifying and closing within your sales team and define the exact training and support requirements;
  • sales process and engagement consulting – crm, remuneration programs, tender/rfq processes.

Please do not hesitate to contact us if you want to grow your revenue NOW.

http://www.sgpartners.com.au

More Positive News for Mining, Energy and Construction Sectors Oct/Nov 2011

As always I would like to promote some positive news that you may not have heard of as yet.

Mining and Construction related Activity

Rio Tinto is to sell Gladstone Boyne smelter and associated Gladstone Power Station in a massive realignment of its light metals business. The company will also sell its Gove bauxite and alumina operations in the Northern Territory, its interests in the Tomago smelter in New South Wales and the Bell Bay smelter in Tasmania as well as New Zealand Aluminium Smelters.

Yancoal has purchased Wesfarmers Premier coal mine for $A296.8M and purchases like this will continue as it is willing to spend billions to purchase more Australian coal mines.

BHP Olympic dam takes another step forward in this huge project. Over 6 years, a teeming fleet of trucks and shovels will need to scour a layer of dirt 350m deep from a pit around 4km long and 3.5kms wide. Only in year 7, and after the expenditure of around $15B, will BHP start open cut mining, lifting copper production from today’s level of around 180,000tpa in stages to 750,000tpa. In addition to the massive pit, BHP will spend billions on a large desalination plant at Port Bonython, an extended airport and rail and power infrastructure.The company will also pour funds into processing plant additions with expenditure earmarked for a new concentrator and hydrometallurgical plant. It is believed the total expansion cost at US$27.4B. The BHP board is expected to make a final decision on whether the project will go ahead in mid-2012..  

Sales Tips

How do you overcome objections – welcome them as questions not objections. You prospects are say ” I am interested but not convinced I should choose you and your solution as yet – convince me more”

Did you know you can engage with someone without having any objections, they buy from you because of the way you have engaged with them, this is something we train on. T= C+R+I/Y ask me what this means.

Mining and Construction related Activity Cont

BHP Billiton Iron Ore will move away from its traditional rapid growth projects and adopt a program-of-work approach, designing “cookie cutter” mines and infrastructure to maximise its growth potential as part of a master plan to grow its iron ore business to 450Mtpa

Whitehaven Coal have secured $A350M of credit for working capital to develop its Narrabri longwall and Vickery open cut projects.

BHP Billiton amoungts others may be be an interested buyer for Kagara Ltd’s Lounge Lizard nickel mine in WA, which is expected to be sold by the end of the year

China and Indonesia have signed a $6B deal to build a nickel-smelting plant on Sulawesi island which will start production early next year.

Adani has been engaged with many mobile equipment OEM to apprently begin ordering machines before Christmas as it starts developing its recently purchased Carmichael mining lease.

Gloucestor Coal aims to introduce longwall mining to the Donaldson Coal operations.

Fortescue Metals Group is open to the possibility of a joint venture with Aquila Resources for the proposed Anketell Point port development.

ERA has raised $380M to extend its Ranger uranium mine.The proceeds will be used to fund construction of a brine concentrator and other water management initiatives, construction of the Ranger 3 Deeps exploration decline and associated drilling, completion of evaluation studies into the development of the Ranger 3 Deeps mine and an expanded exploration program.

SG Partners Sales Recruitment Services – yes we recruit sales and sales management professionals.

We are currently searching for:-

  • Account Manager, Mackay, Mining Software.
  • Sales Engineer, Brisbane, Capital Equipment
  • Implementation Managers, Brisbane, Mining Services
  • BDM, T/ville, Pumps.
  • BDM, Gladstone, Hydraulics
  • Sales Manager, Melb,  OEM Components

If you know anyone that may be looking for a change – refer them onto to us or give us a call 07 3852 5454 or michael@sgpartners.com.au

Energy

Chevron has committed to developing the $A29B Wheatstone LNG project at Ashburton North

Apache Corporation has committed to the $438M development of the Balnaves oil field in WA-49-L offshore WA that will produce 30,000 barrels of oil per day at its peak.

Australia’s Darwin LNG will undergo a scheduled maintenance at its 3.6Mtpa complex, which is expected to begin in the last week of April 2012. There will be a “dual-shutdown” at both the offshore facility at the Bayu-Undan gas field in the Timor Sea and the onshore Darwin plant located at Point Wickham.

Mining Equipment and Services News

KBR will provide design engineering, construction support and certification services for Townsville Port’s $104M Inner Harbour Expansion project.

Clough has been awarded a $600M infrastructure construction contract for Santos’ GLNG project in the Surat Basin. It will build more than 400km of gas and water transmission pipelines, two compression facilities, as well as an 800 person camp.

WorleyParsons has won the A$235M construction management services contract for Chevron’s Wheatstone project.

The Thiess Sedgman JV has been awarded an $85M contract to DCP a coal handling and preparation plant at the Codrilla mine.

ABB will design a new ore hoisting system for Xstrata’s Ernest Henry copper mine.The $11M dollar order will it design, supply and commission all the electrical and mechanical equipment for a vertical tower mounted ore hoist system

Abigroup and Golding Contractors JV has been awarded a $290M contract to build part of the Wiggins Island coal export terminal.

Delta SBD has been awarded a drivage development contract at Whitehaven Coal’s Narrabri mine.

Brookfield Multiplex Engineering + Infrastructure (E+I) has been announced as preferred contractor for the DPC of the $1.2B process plant and mine material handling facilities at the Roy Hill mine site.

John Holland has been selected as the preferred tenderer for the construction of the $400M proposed Connors River Dam to Moranbah Pipeline.The project involves the construction of 136km of buried pipeline that will carry around 45,000 megalitres of water per annum from the proposed dam to the Bowen Basin.

Thiess will establish the Solomon Hub iron ore mine in WA for long-term operations under a contract with Fortescue Metals worth $100M. The 18-month contract is for initial pioneering and mine establishment works including haul roads, stockpile pads and the mining of early ore and waste.

GE Energy has partnered with First Solar Incorporated and WA’s Verve Energy to build a solar farm that is 10 times larger than any solar power station currently operating in Australia. The approved Greenough River project is a 10MW photovoltaic (PV) power plant that will be built on 80 hectares of land, 50km SE of Geraldton.

Decmil Group has won $70M contract to design, supply and install the 502 room fly camp for the development of the Wheatstone LNG project.

Aluminum Boats Australia will build three passenger ferries valued at $21M for Gladstone LNG which would be used to transport workers between the port city and Curtis Island.

SG Partners offers:-

  •  sales and customer focus training – refresh and train people on being even more customer and revenue focused;
  •  sales team recruitment – ensure people can sell and can manage sales teams;
  •  sales team training analysis – we can identify the hunters, farmers, strengths and weaknesses of qualifying and closing within your sales team and define the exact training and support requirements;
  •  sales process and engagement consulting – crm, remuneration programs, tender/rfq processes.

Please do not hesitate to contact us if you want to grow your revenue NOW.

http://www.sgpartners.com.au

More Positive News for Mining, Energy and Construction Sectors September 2011

As always I would like to promote some positive news that you may not have heard of as yet.
Walking around AIMEX I was impressed with the variation of displays and from all accounts a reasonable flow of people, bedsides tyre kickers that is – the nature of exhibitions I am afraid.  

Mining Activity

Adani Enterprises has moved foreign investment in Australia to a new level, with a $10B scheme to control every stage of its booming coal export business from mine to port. The company wants to control “whatever component the coal touches”, including a $3B railway network to haul coal from the emergent Galilee Basin to two ports, one of which it purchased this year and the other which it will build at Dudgeon Point near Mackay.

Adani is also driving a consensus among Waratah and Hancock Coal for them all to use the one common rail corridor instead of them all having different train lines taking up more farmland.

There are approximately 28 draglines to be sold in Australia, take out the 8 for the Gallalie basin, 20 for already established mining companies – that’s a lot of work coming up. The first one will be at Curragh and rumour has it P&H look like they may get it.

Glencore has launched a $268M bid to gain outright control Minara Resources, in a move that marks its second acquisition since its flotation in May.

Hancock Prospecting is in negotiations with Indian company GVK to sell its holdings in the area for $2.26B. GVK Power and Infrastructure is set to purchase two of Hancock Prospecting’s thermal coal mines. An initial agreement has been signed by Sanjay Reddy, vice-chairman of GVK, with Gina Rinehart, chairman of Hancock, earlier this month, according to sources

BHP Billiton wants to start building its Goonyella to Abbot Point rail line by no later than 2015 and aims to ramp it up to 60Mtpa of coal haulage capacity by 2020-2025.

Yes we recruit Sales and Sales management professionals.

We are currently searching for:-

  • VP Sales, Brisbane, Mining Sofware Solutions OTE $250K
  • Sales Engineer, Perth, Conveyor systems OTE $120K
  • BDM, Perth, Mining Software OTE $150K
  • Sales Manager, Power/Automation OTE $ 170K
  • BDM, Gladstone, Hydraulic Systems OTE $130K
  • Account Manager, Emerald, Hydraulics OTE $120K
  • Account Manager, Brisbane, Mobile Equipment Attachments OTE $150K
  • BDM, Brisbane, Mobile Equipment OTE $170K
  • Product Support, Mackay, $120K
Want $500, if you know anyone that may be looking for a change – refer them to us 07 3852 5454 or recruitment@sgpartners.com.au If we place them, cash in hand for you.
Mining, Energy & Construction related Activity contd

Want to learn more about the BHPBilliton Project Hub check out this video http://vimeo.com/28648047

BHP Billiton will invest $US367M in the third stage of development of the Newcastle Coal Infrastructure Group’s coal handling facility.

Gina Rinehart has snapped up a piece of Queensland coal explorer Carabella Resources.

Macphersons Reward Goldis one step closer to processing ore from its Tycho deposit after completing the acquisition of the Nimbus silver-gold-zinc assets and processing plant.Aquila Resources announced it had completed the Definitive Feasibility Study for its open-cut Washpool Project NW of Blackwater.The capital expenditure for the project is expected to be $335M plus 10% contingency of $33M.

Xstrata Coal has released the draft Terms of Reference for its Rolleston Coal Expansion Project. The mine is set to double output from the currently approved 10Mtpa of run-of-mine coal up to 20Mtpa.

Barrick Gold is looking into expansions at its Granny Smith mine and Cowal mine.

OZ Minerals is targeting mid-2015 to start construction of its newly acquired Carrapateena copper and gold project in SA.The miner $US250M acquired project is studying options including the low-cost block caving 
Intra Energy Corporation received a license for its Mbalawala mine project in southwest Tanzania.
Cortona Resources has entered into a MOU with DRA Pacific for construction of a processing facility at its 100%-owned Dargues Reef project, located in the Majors Creek district between Canberra and Batemans bay in NSW.
Bow Energy under a $520M takeover offer by foreign-owned Arrow Energy.
Construction activity in Australia has reached a three year high, according to figures released ABS.According to the Construction Work Done report, the overall value of building and engineering work done throughout Australia in the June quarter reached a value of $44.328B – higher than that recorded during any other quarter for at least the past three years.
A $2.9B transformation of Brisbane’s historic RNA showgrounds is set to attract businesses with a mix of residential and commercial space.
Sales Training – Selling to the Mining Sector endorsed by MESCA

Are you or are there people within your organisation that are required to call, speak with, go and see, people in mining companies, EPCM or project companies?

  • Want to know what the different departments do onsites and in the head offices?
  • What are the most important aspects of their roles?
  • What roles do the design and engineering companies play ?
  • What is and how do you work with an EPC or EPCM?
  • How do you provide customer service and work with them?
  • How do you sell to them?
  • How do you get to them?

I constantly have people ask me these questions, so I thought let’s have a workshop that covers these and many more questions, let’s also include how to get the most of the opportunities like:-How to get an RFQ/Tender?

  • How to have a better chance of winning RFQ/Tenders?
  • How to receive orders without being in a competitive situation?
  • How to engage with procurement people and have a positive outcome?

So whether you are in direct sales, sales engineering roles, internal or customer service roles, “Selling to the Mining Sector” will improve, enhance and create a even better outcome.

When: October 25,26,27 – Click here for the Registration Flyer NOW

Where: Brisbane – Click here to Register Online

Wait there is more, at the last workshop this is the feedback we recieved.

A bit of an update with my sales success from the Sales Clinic: 

A $120k sale with a margin increase of 14% compared to a normal sale of this product  – tools utilised – being more flexible, asking more questions to identify what was important to them and the most important, eliminated them going to market for any other quote. 

Additional sales of $100k throughout the month with increased margins and now repeat business – being more people to more people and building rapport and gaining complete trust quicker. 

Not a bad return on investment!!!!!!

I am very excited about becoming an “even better” sales professional as I develop the skills further. Simon

EARLY BIRD Special. We are holding a 1/2 day Winning Presentations workshop. Learn the secrets of what make a great PPT, how to persuade the audience, how to form subliminal messages. Register before 27th Sept and its your for free, saving $450. Click here to register online.

Mining Equipment and Services News

Sedgman has secured a $123M CHPP contract with BMA.

Leighton Holdings JV with contractor Ngarda Civil & Mining received a $104M contract from  RioTinto as part of their $1.15B Hope Downs expansion, for stripping earth, road-work, drainage and other earthworks at the site 200km east of Tom Price.

Cimeco and Pilbara Logistics have won a contract for more than $80M from  RioTinto as part of their $1.15B Hope Downs expansion, for construction of the mine building and support facilities.
Shortages on GET, 18 -24 months on Mobile OEM Equipment, most being manufactured O/S.
Le Tourneau has commitment to build up to approx. 30 shovels for worldwide delivery.
Joy Global has agreed to sell the drilling products business of the recently acquired LeTourneau Technologies Inc. The company will sell the LeTourneau Technologies Drillings Systems and Offshore Products divisions to Cameron International Corporation for $375M in cash.
UGL has posted its 10th consecutive year of record earnings and has boosted net profit after tax by 10% to $158.5M.
Thiess had a record $16.5B work in hand at the end of the June quarter, and was awarded $8.1B in new contracts, variations and extensions during the year
QR National announced it had been appointed in a $900M agreement with a consortium of coal companies to upgrade the rail link from the Bowen Basin to Gladstone, which would service the first stage of the Wiggins Island Coal Export Terminal. Xstrata, Aquila Resources, Bandanna Energy, Caledon Resources, Wesfarmers Curragh, Northern Energy Corporation, Yancoal Australia and Cockatoo Coal will all pay commercial rates to transport their product on the line to Gladstone before it is shipped from the proposed port.
Ausenco has received two letters of intent for $70M worth of create phase engineering services for a client at two of its copper projects.
Monadelphous Group has secured several contracts in WA and Qld worth $350M.They had struck a contract deal with Woodside Petroleum to provide mechanical support at the Pluto LNG plant.They have secured a three-year contract to provide minor capital project services for Worsley Alumina’s refinery project. They have secured a three-year, $100Mcontract with BMA coal operations. The company also signed two contracts, valued at $100M, for work at the Rio Tinto Coal Kestrel mine near, and a further two contracts were struck with BMA’s Project Delivery Group for ongoing construction work at the Bowen Basin.
OneSteel has moved to shore up its position in the booming iron ore industry by spending $346M on several minesIt will also spend $200M expanding its export port at Whyalla to 12Mtpa.The expansion work is expected to be completed by the fourth quarter of calendar 2012.

Wärtsilä and Shell Oil Company have signed a Joint Co-operation Agreement aimed at promoting and accelerating the use of LNG as a marine fuel. The agreement will run for several years. Supplies of low cost, low emissions LNG fuel will be made available to Wärtsilä natural gas powered vessel operators, and other customers by Shell.Gas fuelled marine engines are seen as being a logical means for ship owners and operators to comply with increasingly stringent environmental legislation. This agreement aims at increasing and easing the availability of natural gas for marine engine use, as well as developing the supply chain and infrastructure to facilitate the bunkering of LNG fuel. The two companies will jointly move these developments to marine markets in order to enhance its rapid introduction and use.

Enerflex has received an order from QGC to fabricate and deliver 71 gas compression units as part of the QCLNG Project’s gathering infrastructure.

AECOM has received a $20M deal from Xstrata as part of its $1.4B Ravensworth North mine expansion. Production is set to increase from 4mtpa to 12mtpa and is expected to extend mining at the site for another 26 years. The expansion’s infrastructure component is worth $200M, with AECOM to supply EPCM services.The expansion will feature an open cut pit, an augmented raw coal system, expanded coal processing plant and product coal system, refurbished and expanded mine industrial area and associated new civil infrastructure.

SG Partners offers:-

  •  sales and customer focus training – refresh and train people on being even more customer and revenue focused;
  •  sales team recruitment – ensure people can sell and can manage sales teams;
  •  sales team training analysis – we can identify the hunters, farmers, strengths and weaknesses of qualifying and closing within your sales team and define the exact training and support requirements;
  •  sales process and engagement consulting – crm, remuneration programs, tender/rfq processes.
Please do not hesitate to contact us if you want to grow your Sales NOW.
www,sgpartners.com.au

More Positive News for Mining, Energy and Construction Sectors August 2011

Dear Industry Colleagues,

As always I would like to promote some positive news that you may not have heard of as yet.

Wow, the projects are being talked about, and there companies out there with full order books to the middle of 2013, and then there are those that are just holding on.

Is the difference where you are within the supply chain, or how you find the opportunities and close them?

Mining Activity

BHP Billiton GEMCO has announced the US$279M GEEP2 project to increase the beneficiated product capacity to 4.8mtpa through the introduction of a dense media circuit by-pass facility. The project is expected to be completed in late calendar year 2013. The expansion will also address infrastructure constraints by increasing road and port capacity to 5.9 mtpa, creating 1.1 mtpa of latent capacity for future expansion.

Peabody Energy expects to mine an extra 3.9Mt of hard coking coal from its North Goonyella longwall operation after securing a longwall top coal caving technology licence from Yanzhou Coal (the same company who have been operating TLC in NSW).

BHBilliton announced a US$735M deal to buy HWE from Leighton Holdings, bringing the expertise in-house. This operation currently services three BHP Iron Ore operations.

Mindoro has commenced a Scoping Study and economic assessment of Stage 1 iron-nickel production at the project. The Scoping Study will examine two scales of iron-nickel sinter production and will be completed by September 2011. Mindoro is pursuing an integrated two-stage development approach to the Agata Nickel Project in the Philippines. A Pre-feasibility study on the Stage 2 acid-leach nickel project is progressing well and is due in October.

Peabody just wants Macarthur Coal, but may have another contender AngloAmerican.

Yes we recruit Sales and Sales management professionals.

We are currently searching for:-

  • VP Sales, Brisbane, Mining Sofware Solutions OTE $250
  • Sales Engineer, Perth, Conveyor systems OTE $120
  • BDM, Perth, Mining Software OTE $130
  • Sales Manager, Power/Automation OTE $ 170
  • BDM, Gladstone, Hydraulic Systems OTE $130
  • Account Manager, Emerald, Hydraulics OTE $120
  • Sales Engineer, Melbourne, Filtration systems OTE $ 100

Want $500, if you know anyone that may be looking for a change – refer them to us 07 3852 5454 or recruitment@sgpartners.com.au If we place them, cash in hand for you.

Mining and Construction related Activity contd

Centrex Metal’s Wilgerup hematite deposit has been given its approval by SA Govt.

Panoramic Resources has acquired the Gidgee gold project and  would likely return to production within the next two years. The company would spend around $40M over the next two years to expand resources and refurbish the Gidgee project.

Newmont Mining has approved the $450M Tanami Shaft gold project in the NT .

The Newcrest Mining and Harmony Gold JV have unveiled a new billion tonne resource estimate for the Wafi-Golpu project in PNG..

Finders Resources is seeking to raise $128M in project finance to fund the commercial development of the Wetar copper project in Indonesia.

Aquila Resources needs to bed down finance to bankroll its share of the massive $5.8B West Pilbara iron ore JV, including  the proposed Anketell Point port, in the next coming months.

Rex Minerals‘ Hillside copper project concept study outlined an initial capital cost of up to $800M as the company is targeting first production by 2015.

Xstrata Zinc has formally announced its $246M construction go ahead of Lady Loretta zinc-lead-silver deposit in Qld after it had started decline development .

FMG, which has a track record in developing port infrastructure with its Herb Elliott port and further expansion plans at Port Hedland, says it would prefer to build a proposed port at Anketell Point .

Conquest Mining has received approval of the proposed environmental plan for its flagship Mt Carlton gold-silver-copper project in Qld.

Lynas Corporation has had Mitsubishi UFJ Financial Group recently buy a 9.99% ownership of the group.

Freeport McMoRan Copper & Gold plans to spend $2.82B from 2015 to optimise processing as it transitions to underground at the mine in Indonesia.

Aston Resources has secured $350M in revolving credit facilities to help provide funding for construction of its significant Maules Creek coal project.

Iluka Resources will resume mining activities at Eneabba, in WA, in response to increased market demand

SG Partners Sales Tip

You have been selected to present after your tender/RFQ response, the deals in the bag, right? Not yet!

You should ask yourself and the potential client the following questions to ensure you have the best opportunity to win:-

  • What did they see in your RFQ/Tender response that led them to select you to present?
  • What did they see in your competitors response that they would like you to address?
  • Who will attend, their roles and what will they want to see/hear from you?
  • What other companies have been selected to present?
  • What criteria will be utilised to score the finalist?
  • What is the selection process following the final presentation?

Happy presenting

Energy news

Origin Energy announced that the Board of Australia Pacific LNG has approved a Final US$14B Investment Decision on the first phase of a two train CSG to LNG project. There is a US$20B capital cost for a full two-train development.

Arrow Energy announced the awarding of the FEED contract to CJV, a consortium comprising the Chiyoda Corporation, CB&I (Chicago Bridge and Iron) and Saipem. This will be carried out in Japan, the United States and Australia over the next twelve months.

GLNG has invested about $13M into affordable housing and infrastructure in Gladstone and the Maranoa region to meet its approval criteria, which includes 45 homes

Sales Training – Selling to the Mining Sector

Are you or are there people within your organisation that are required the call, speak with, go and see people in mining companies?

  • Want to know the difference between and underground or surface mine, coal, iron ore, gold mine?
  • Want to know what all the terminology means?
  • Want to know what the different departments do onsites and in the head offices?
  • What are the most important aspects of their roles?
  • What roles do the design and engineering companies play ?
  • What is and how do you work with an EPC or EPCM?
  • How do you provide customer service and work with them?
  • How do you sell to them?
  • How do you get to them?

I constantly have people ask me these questions, so I thought let’s have a workshop that covers these and many more questions, let’s also include how to get the most of the opportunities like:-

  • How to get an RFQ/Tender?
  • How to have a better chance of winning RFQ/Tenders?
  • How to receive orders without being in a competitive situation?
  • How to engage with procurement people and have a positive outcome?

So whether you are in direct sales, sales engineering roles, internal or customer service roles, “Selling to the Mining Sector” will improve, enhance and create a even better outcome.

When: October 25,26,27 – put it into your calender NOW

Where: Brisbane

Like what you hear, want to be invited to this exclusive workshop, email me  michael@sgpartners.com.au to get all the information on this exciting event.

Wait there is more, at the last workshop this is the feedback we recieved.

A bit of an update with my sales success from the Sales Clinic: 

A $120k sale with a margin increase of 14% compared to a normal sale of this product  – tools utilised – being more flexible, asking more questions to identify what was important to them and the most important, eliminated them going to market for any other quote. 

Additional sales of $100k throughout the month with increased margins and now repeat business – being more people to more people and building rapport and gaining complete trust quicker. 

Not a bad return on investment!!!!!!

I am very excited about becoming an “even better” sales professional as I develop the skills further. Simon

Mining Equipment and Services News

Meridium the global leader in asset performance management (APM) software and consulting solutions, announced that GLNG has selected its platform for its enterprise-wide APM initiative..

GHD has secured a 5yr contract from BHP Billiton for EPCM services for non-process infrastructure for the miner’s ron ore expansion.

Caterpillar’s revenue from machinery and engines sales volume increased 63% year-on-year on commodity demand in emerging markets driving mining capex globally in addition to the modest economic recovery in developed markets.

Downer EDI has won a $400M contract to build the CHPP for Xstrata Coal’s $1.4B Ravensworth North open cut project. 

Ausdrill has won a $75M drilling contract at FMG’s Solomon iron ore project and is targeting an October start date

Watpac has continued to grow, securing two new deals which bring the company’s national mining services contracts portfolio to $740M.

FMG has signed a deal with Caterpillar and WesTrac to supply a fleet of trucks for their Solomon mine.

Bradken has bought Norcast Wear Solutions and Australian & Overseas Alloys for a combined $222M to help globalise its product offerings.

Abigroup and Linehaul have been awarded a $83M contract with Rio Tinto Iron Ore.

Macmahon has been awarded 3 contracts worth a combined $129M for part of Rio’s 333 expansion program and for ongoing works at its Hamersley Iron operations.

Mineral Resources has been awarded a contract for the design, construction and operation of the second ore facility and related infrastructure at FMG’s Christmas Creek mine to be jointly funded by Fortescue and Mineral Resources. Construction of the additional 25Mtpa facility will commence immediately with commercial production scheduled to commence by September.

SG Partners offers:-

  •  sales and customer focus training – refresh and train people on being even more customer and revenue focused;
  •  sales team recruitment – ensure people can sell and can manage sales teams;
  •  sales team training analysis – we can identify the hunters, farmers, strengths and weaknesses of qualifying and closing within your sales team and define the exact training and support requirements;
  •  sales process and engagement consulting – crm, remuneration programs, tender/rfq processes.

Please do not hesitate to contact us if you want to grow your Sales NOW.

More Positive News for Mining, Energy and Construction Sectors July 2011

Dear Industry Colleagues,

As always I would like to promote some positive news that you may not have heard of as yet.

Wow, the projects are being talked about, and there companies out there with full order books to the middle of 2013, and then there are those that are just holding on.

Is the difference where you are within the supply chain, or how you find the opportunities and close them?

Mining Activity

BHP Billiton GEMCO has announced the US$279M GEEP2 project to increase the beneficiated product capacity to 4.8mtpa through the introduction of a dense media circuit by-pass facility. The project is expected to be completed in late calendar year 2013. The expansion will also address infrastructure constraints by increasing road and port capacity to 5.9 mtpa, creating 1.1 mtpa of latent capacity for future expansion.

Peabody Energy expects to mine an extra 3.9Mt of hard coking coal from its North Goonyella longwall operation after securing a longwall top coal caving technology licence from Yanzhou Coal (the same company who have been operating TLC in NSW).

BHBilliton announced a US$735M deal to buy HWE from Leighton Holdings, bringing the expertise in-house. This operation currently services three BHP Iron Ore operations.

Mindoro has commenced a Scoping Study and economic assessment of Stage 1 iron-nickel production at the project. The Scoping Study will examine two scales of iron-nickel sinter production and will be completed by September 2011. Mindoro is pursuing an integrated two-stage development approach to the Agata Nickel Project in the Philippines. A Pre-feasibility study on the Stage 2 acid-leach nickel project is progressing well and is due in October.

Peabody just wants Macarthur Coal, but may have another contender AngloAmerican.

Yes we recruit Sales and Sales management professionals.

We are currently searching for:-

  • VP Sales, Brisbane, Mining Sofware Solutions OTE $250
  • Sales Engineer, Perth, Conveyor systems OTE $120
  • BDM, Perth, Mining Software OTE $130
  • Sales Manager, Power/Automation OTE $ 170
  • BDM, Gladstone, Hydraulic Systems OTE $130
  • Account Manager, Emerald, Hydraulics OTE $120
  • Sales Engineer, Melbourne, Filtration systems OTE $ 100

Want $500, if you know anyone that may be looking for a change – refer them to us 07 3852 5454 or recruitment@sgpartners.com.au If we place them, cash in hand for you.

Mining and Construction related Activity contd

Centrex Metal’s Wilgerup hematite deposit has been given its approval by SA Govt.

Panoramic Resources has acquired the Gidgee gold project and  would likely return to production within the next two years. The company would spend around $40M over the next two years to expand resources and refurbish the Gidgee project.

Newmont Mining has approved the $450M Tanami Shaft gold project in the NT .

The Newcrest Mining and Harmony Gold JV have unveiled a new billion tonne resource estimate for the Wafi-Golpu project in PNG..

Finders Resources is seeking to raise $128M in project finance to fund the commercial development of the Wetar copper project in Indonesia.

Aquila Resources needs to bed down finance to bankroll its share of the massive $5.8B West Pilbara iron ore JV, including  the proposed Anketell Point port, in the next coming months.

Rex Minerals‘ Hillside copper project concept study outlined an initial capital cost of up to $800M as the company is targeting first production by 2015.

Xstrata Zinc has formally announced its $246M construction go ahead of Lady Loretta zinc-lead-silver deposit in Qld after it had started decline development .

FMG, which has a track record in developing port infrastructure with its Herb Elliott port and further expansion plans at Port Hedland, says it would prefer to build a proposed port at Anketell Point .

Conquest Mining has received approval of the proposed environmental plan for its flagship Mt Carlton gold-silver-copper project in Qld.

Lynas Corporation has had Mitsubishi UFJ Financial Group recently buy a 9.99% ownership of the group.

Freeport McMoRan Copper & Gold plans to spend $2.82B from 2015 to optimise processing as it transitions to underground at the mine in Indonesia.

Aston Resources has secured $350M in revolving credit facilities to help provide funding for construction of its significant Maules Creek coal project.

Iluka Resources will resume mining activities at Eneabba, in WA, in response to increased market demand

SG Partners Sales Tip

You have been selected to present after your tender/RFQ response, the deals in the bag, right? Not yet!

You should ask yourself and the potential client the following questions to ensure you have the best opportunity to win:-

  • What did they see in your RFQ/Tender response that led them to select you to present?
  • What did they see in your competitors response that they would like you to address?
  • Who will attend, their roles and what will they want to see/hear from you?
  • What other companies have been selected to present?
  • What criteria will be utilised to score the finalist?
  • What is the selection process following the final presentation?

Happy presenting

Energy news

Origin Energy announced that the Board of Australia Pacific LNG has approved a Final US$14B Investment Decision on the first phase of a two train CSG to LNG project. There is a US$20B capital cost for a full two-train development.

Arrow Energy announced the awarding of the FEED contract to CJV, a consortium comprising the Chiyoda Corporation, CB&I (Chicago Bridge and Iron) and Saipem. This will be carried out in Japan, the United States and Australia over the next twelve months.

GLNG has invested about $13M into affordable housing and infrastructure in Gladstone and the Maranoa region to meet its approval criteria, which includes 45 homes

Sales Training – Selling to the Mining Sector

Are you or are there people within your organisation that are required the call, speak with, go and see people in mining companies?

  • Want to know the difference between and underground or surface mine, coal, iron ore, gold mine?
  • Want to know what all the terminology means?
  • Want to know what the different departments do onsites and in the head offices?
  • What are the most important aspects of their roles?
  • What roles do the design and engineering companies play ?
  • What is and how do you work with an EPC or EPCM?
  • How do you provide customer service and work with them?
  • How do you sell to them?
  • How do you get to them?

I constantly have people ask me these questions, so I thought let’s have a workshop that covers these and many more questions, let’s also include how to get the most of the opportunities like:-

  • How to get an RFQ/Tender?
  • How to have a better chance of winning RFQ/Tenders?
  • How to receive orders without being in a competitive situation?
  • How to engage with procurement people and have a positive outcome?

So whether you are in direct sales, sales engineering roles, internal or customer service roles, “Selling to the Mining Sector” will improve, enhance and create a even better outcome.

When: October 25,26,27 – put it into your calender NOW

Where: Brisbane

Like what you hear, want to be invited to this exclusive workshop, email me  michael@sgpartners.com.au to get all the information on this exciting event.

Wait there is more, at the last workshop this is the feedback we recieved.

A bit of an update with my sales success from the Sales Clinic: 

A $120k sale with a margin increase of 14% compared to a normal sale of this product  – tools utilised – being more flexible, asking more questions to identify what was important to them and the most important, eliminated them going to market for any other quote. 

Additional sales of $100k throughout the month with increased margins and now repeat business – being more people to more people and building rapport and gaining complete trust quicker. 

Not a bad return on investment!!!!!!

I am very excited about becoming an “even better” sales professional as I develop the skills further. Simon

Mining Equipment and Services News

Meridium the global leader in asset performance management (APM) software and consulting solutions, announced that GLNG has selected its platform for its enterprise-wide APM initiative..

GHD has secured a 5yr contract from BHP Billiton for EPCM services for non-process infrastructure for the miner’s ron ore expansion.

Caterpillar’s revenue from machinery and engines sales volume increased 63% year-on-year on commodity demand in emerging markets driving mining capex globally in addition to the modest economic recovery in developed markets.

Downer EDI has won a $400M contract to build the CHPP for Xstrata Coal’s $1.4B Ravensworth North open cut project. 

Ausdrill has won a $75M drilling contract at FMG’s Solomon iron ore project and is targeting an October start date

Watpac has continued to grow, securing two new deals which bring the company’s national mining services contracts portfolio to $740M.

FMG has signed a deal with Caterpillar and WesTrac to supply a fleet of trucks for their Solomon mine.

Bradken has bought Norcast Wear Solutions and Australian & Overseas Alloys for a combined $222M to help globalise its product offerings.

Abigroup and Linehaul have been awarded a $83M contract with Rio Tinto Iron Ore.

Macmahon has been awarded 3 contracts worth a combined $129M for part of Rio’s 333 expansion program and for ongoing works at its Hamersley Iron operations.

Mineral Resources has been awarded a contract for the design, construction and operation of the second ore facility and related infrastructure at FMG’s Christmas Creek mine to be jointly funded by Fortescue and Mineral Resources. Construction of the additional 25Mtpa facility will commence immediately with commercial production scheduled to commence by September.

SG Partners offers:-

  •  sales and customer focus training – refresh and train people on being even more customer and revenue focused;
  •  sales team recruitment – ensure people can sell and can manage sales teams;
  •  sales team training analysis – we can identify the hunters, farmers, strengths and weaknesses of qualifying and closing within your sales team and define the exact training and support requirements;
  •  sales process and engagement consulting – crm, remuneration programs, tender/rfq processes.

Please do not hesitate to contact us if you want to grow your Sales NOW.

More Positive News for Mining, Energy and Construction Sectors June 2011

Dear Industry Colleagues,

As always I would like to promote some positive news that you may not have heard of as yet.

The project portfolio just keeps getting bigger $173.5B, if you are not doing “great” business then call me as you should be and it’s out there to be had.

There is demand for great sales people – you are one or you want one – contact SG Partners Sales Team Recruitment

Mining and Construction related Activity

In the past six months, resource companies have given firm commitments to 33 new projects worth a combined $43.9B, led by investments in coal-seam gas, iron ore and new coalmines. ABARES now has 94 projects worth $173.5B on its books, a 31% increase since last October. Gas and oil projects account for $101B, or 60% of the total number of projects under construction. The mining companies have $24.3B in iron ore mines under development, and $9.7B in new coalmines. There are also 20 resource-related infrastructure projects worth a total of $19B.

Abbot Point proposed $6.2B expansion has captured the interest of 30 top Australian and international coal industry companies. After my meeting with Vale, they are so focused on being number for coal mining companies in Australia, they have the money and motivation, they are interested to take some terminals.60 representatives of the companies who toured the port as part of the expressions of interest process for the development of the T4-7 project. Once complete and combined with other planned port expansions, the T4-7 upgrade would make Abbot Point the world’s largest coal port, with seven coal terminals and a capacity of close to 300Mtpa.The expressions of interest process for T4-7 close on Aug. 1st.

Mineral Hill mine near Condobolin in the NSW Central West will re-open in coming months. Kimberly Metals is only months away from reopening the copper mine and has already crushed the first copper at the site, which closed in 2005.

Murchison Metals Jack Hills Expansion Project and the Oakajee port and rail infrastructure projects feasibility studies for the projects are due to be received, with the expectation they will demonstrate viability of each project subject to OPR reaching agreement with Crosslands and its other proposed foundation customers on Supply Chain Agreements.

Peabody just wants Macarthur Coal, willing to spend $4.7B to get it, tried before and now trying again. There is not that many opportunity out there to grow on the back of brown fields & development. Peabody Energy has teamed up with fellow Macarthur shareholder ArcelorMittal – the world’s biggest steelmaker – to bid $15.50 a share in the biggest takeover offer made for an Australian coalminer.

SG Partners Sales Recruitment Services – yes we recruit Sales and Sales management professionals.

We are currently searching for:-

  • Sales Engineer, Perth, Conveyor systems
  • BDM, Perth, Motors and Drives, International Company
  • Account Manager, Mackay, OEM Big 4 Mobile Equipment
  • Internal Sales Co Ord, Brisbane, Construction Equipment
  • Commercial Manager, Brisbane, OEM Mining Equipment
  • BDM, Gladstone, Hydraulic Systems
  • Account Manager, Emerald, Hydraulics
  • Sales Engineer, Melbourne, Filtration systems

If you know anyone that may be looking for a change – refer them to us 07 3852 5454 or recruitment@sgpartners.com.au 

Mining and Construction related Activity contd

Mincor Resources is expanding into PNG through a $30M JV. It announced it had signed agreements with PNG exploration company Niuminco

Aquila Resources has estimated the cost of developing a new coking coal mine with partner Vale at $1.25B, but said a feasibility study couldn’t be completed because transport links and sales agreements haven’t been agreed upon. They hope to utilise the Wiggins Isl port project. According to a study, construction will take about 28 months and production is expected to begin in October 2016.

Coal and Allied has broken ground for the $141M Bengalla coal mine 9.3Mtpa expansion.

Ord River Resources has signed a MoU with its Chinese construction partner to develop a $565.72M alumina refinery in LaosSARCO, Laos.

Guildford Coal and the Port of Townsville have signed an agreement to get a feasibility study underway on a pit to ship supply chain solution for the Hughenden Project. As the primary rail operator on the Mt Isa to Townsville rail line, ARG will undertake coal haulage from Guildford’s Hughenden Project located at the northern end of the Galilee Basin.

IronClad Mining has signed an option agreement with Sea Transport Corporation for a multi user bulk shipping port. An innovative floating harbour sitting 5-10 km off the coast of SA. The floating harbour, to be located in Lucky Bay in the Spencer Gulf, will have capacity to load cape-sized vessels, with storage capacity of up to 150,00T. Sea Transport Corp. is currently preparing a development application. For the first 2 years, iron ore will be transported in containers by road to the port and transhipped in feeder barges, still in containers, to iron ore carriers equipped with cranes and dust suppression systems.

The Spencer Gulf Port Link Consortium has confirmed a comprehensive EIS will now be undertaken. The design was likely to include:

*    A 3km-long jetty reaching into deep water, with enclosed conveyors and a ship loader.

*    A jetty designed to handle Capesize ships carrying up to 180,000t

*    Significant rail and storage facilities on land adjacent the jetty precinct.

Construction is expected to take about 2.5 years to complete, employ about 400 workers and begin export in about five years’ time. The Spencer Gulf Port Link Consortium is made up by Flinders Port Holdings, Leighton Contractors, Macquarie Capital, BIS Industrial Logistics and the Australian Rail Track Corporation.

Stellar Resources secured a JV with China’s Minmetals Resources to assist in progressing the Rayne nickel prospect in Tas. along with the development of its Heemskirk Tin Project.

Bandanna Energy has suitors GMR Infrastructure, Aditya Birla, JSW Steel and Jindal Steel & Power among firms shortlisted submit bids for the coal miner.

SG Partners Sales Tip

When you focus on the price, they will! You must feel happy about your price, it must sit well. If you are thinking discount, they will smell it.

Do not detract from the conversation, just say “I promise we will discuss the value/investment and to ensure I discuss the right package/solution for you I need to understand more about you and your …… ”

Price war: Every time you present a capability that is not well differentiated from your competition you encourage a price comparison.

General Construction, Energy and other Interestins news

 The Australian Industry Group – PwC Australian Performance of Manufacturing Index rose 5.2 points to 52.9 over the month – an improvement on its last positive result in February (51.1).New orders (54.6) and production (54.7) also expanded in June on the back of strong performances from the textiles, construction materials, basic metals and chemicals, petroleum and coal sub-sectors.

Santos has purchased 100% of Eastern Star Gas shares, hard pressed not to see this one coming!

The Fed Govt’s environment department says the Thai company responsible for the Montara oil spill in the Timor Sea wants to develop a floating natural gas platform off the north Australian coast. Thai company PTTEP Australasia has submitted an application to develop an LNG facility 680km west of Darwin. The 400m-long floating platform would allow all stages of the LNG production process to be done above the gas fields, with technology that hasn’t before been used.

Central Petroleum and Allied Resource Partners will do a feasibility study on a $7.5B plan to convert coal deposits to diesel by gasification in an area which straddles the border into the NT.

Wood Group and Wagners JV has won a $40M project management services contract for work on the Gladstone Liquefied Natural Gas pipeline project

Mackay Sugar has commissioned a 37MW cogeneration plant for its Racecourse Mill operation. It is expected to be operational by the end of 2012, with ABB supplying the control system and electrics.

Wheatstone LNG project has gained conditional approval from the WA EPA and Aust Feds Govt.  Inpex must develop a greenhouse gas management strategy outlining the measures and offsets the company proposes to reduce GHG emissions before LNG production can begin. Inpex said it was close to finalising marketing negotiations with five Japanese utilities for the remaining LNG, saying it expected to sign the sales and purchase agreements with each of the buyers in time for the final investment decision on the project, to take place in the fourth quarter of this year.

Chevron Corporation is hiring companies to fabricate the onshore LNG modules for its Wheatstone project. A host of companies in Asia were understood to have responded to invitations to tender for module construction, and these proposals were being evaluated by Chevron and Bechtel, the main LNG contractor for Wheatstone. Companies in China, Indonesia, Malaysia, South Korea and Thailand were said to have submitted offers, but not all could be identified with certainty at the time.

Gorgon LNG project took another step forward as operator Chevron Australia awarded CB&I the mechanical, electrical, and instrumentation work for the three onshore LNG trains to be built on Barrow Island. The contract value is pegged at $2.3B and work is scheduled for completion in 2015.

Red Sky Energy is proposing a second gas-fired power station for the Northern Rivers, which would be run on the huge conventional gas field they have just discovered between Casino and Grafton.

Metgasco has approval for the 30MW Richmond Valley Power Station, which will use conventional and coal seam gas and be situated near Casino.

Chevron Corp has signed an agreement with the Dampier-Bunbury pipeline that will allow gas from the company’s $43B Gorgon project to be shipped to industrial users, taking the project one step closer

Shell recently announced that their Prelude floating LNG project has passed another milestone, with the $11.8B project receiving final investment approval

Santos’s has started building works on the $16B two-train project on Curtis Island Gladstone LNG.

The world gold price has yet to peak and the steady emergence of a wealthy Chinese middle class will help underpin a move toward $2000 per ounce over the next five years, Richard O’Brien, chief executive officer of Newmont Mining Corp has stated.

Chinese Nickel Imports doubled from a year ago and were 70% more than in April. China, the world’s biggest stainless steel producer may surge 50% this year to 240,000T. Baoshan Iron & Steel Company said that refined nickel use in production of the alloy fell to a record low in May as the company used more nickel pig iron and scrap. About two-thirds of global nickel production goes into stainless steel, used to make everything from kitchen sinks to aircraft-fuel tanks.

Airbus Signs $1B Aluminum Supply Deal with Alcoa, a leader in primary and fabricated aluminum production, as well as the world’s largest miner of bauxite and refiner of alumina, said it would be supplying Airbus with aluminum sheet and plate products.

Marketing

Your customers and their use of your product ultimately define your company and its purpose in life. Your customers determine whether you prosper, linger on life support, or die quickly.

Yet, how many of you can clearly and confidently complete the following statements:

My customer’s customers are …?

The specific benefit my customer’s customer receives from my product is ..?

Our executives met with our customer’s executives to review this benefit on..?

Mining Equipment and Services News

Leighton Contractors, in consortium with GE, has been awarded a $130M contract by the Verve Energy and Macquarie Capital JV for the Mumbida wind farm development, 40Km SE of Geraldton in WA.

Leighton Holdings in a JV with Basil Read Holdings and Bothakga Burrow , has been awarded a $586M contract by Debswana (Gaborone) to develop the Jwaneng diamond mine in Botswana. The Jwaneng contract is Leighton’s first mining project in Africa. The company has a 60% share in the MAJWE joint venture.

ThyssenKrupp Materials Handling has been awarded the contract to design, supply, install and commission a new reclaimer for Dalrymple Bay Coal Terminal, DBCT, to go into service in July 2013. The machine will be designed in Australia and project managed from TKMH’s Brisbane Office. Local labour will be utilised for installation and commissioning.

Metso will supply crushing equipment to Fortescue Metals Group. The delivery will be completed by May 2012.The order comprises 13 units of MP1000 secondary cone crushers. Three units will be delivered to Fortescue’s Christmas Creek iron ore site, and another ten units will go to their Solomon iron ore mine site. The crushers will be supplied to the sites in pre-assembled, modularised form.

On the back of Caterpillar acquiring Bucyrus, Joy Global will continue to look for acquisitions to fill out its product lines of mining equipment and expand its production capacity. They are interested in adding hydraulic mining excavators and underground hard-rock mining machinery. The company just acquired LeTourneau. They have plans to acquire China’s International Mining Machinery Holdings Ltd. to add machines used in underground coal extraction. International Mining makes shearers, which cut coal, and underground excavating and tunnelling machines

KBR was awarded an engineering design services contract for three coal seam gas pipelines. The project will be executed for the McConnell Dowell/CCC joint venture (MCJV) on behalf of clients QCLNG and APLNG. For QCLNG, KBR will design a pipeline from central Queensland to the coast that consists of more than 580 km of pipelines. A second pipeline for QCLNG and a third pipeline for APLNG will both consist of a 42-inch diameter high pressure transmission pipeline from the main line valve on the Queensland mainland, across the Narrows to the Curtis Island delivery station.

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