Big Oil seizes lithium opportunities
Mining companies could benefit in cash and technology as major fossil fuel companies invest in lithium.
Denmark’s FLSmidth has completed its acquisition of Sandvik’s Mining Systems unit, except for the transfer of assets in South Africa, which is awaiting merger control clearance, the company said Tuesday.
As part of the deal, FLSmidth has taken over the Swedish equipment and tool manufacturer’s continuous surface mining and minerals handling technologies. It has also welcomed over 200 Sandvik employees with strong experience, competences and customer insights.
“With this acquisition we will be able to increase the productivity of the complete ‘Pit to Plant’ operation by better integrating upstream mining with downstream processing,” Manfred Schaffer, Group Executive Vice President, Minerals Division of FLSmidth said in the statement.
The Danish firm said it would provide project management and aftermarket services to Sandvik on the majority of the projects scheduled to be delivered between now and 2019.
Sandvik’s intention to divest Mining Systems was first communicated in 2015. The company signed an agreement last year to divest its Mining Systems operations to the private equity company CoBe Capital, but the deal fell through in January.
