Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
FLSmidth has received orders worth approximately USD 43m (approximately DKK 231m) from the Mongolian company, Mongolyn Alt (MAK) Group, to supply engineering, procurement and site construction services for the Tsagaan Suvarga copper-molybdenum concentrator project. This greenfield plant, with a capacity of 40,000 tonnes per day of ore, will be located in the central part of the proven Oyu Tolgoi south Gobi porphyry copper belt in southeast Mongolia.
FLSmidth is currently supplying all the main process technology for the project under a separate, previously-awarded contract announced in 2011 (see Company Announcement No. 34-2011, 23 December 2011).
MAK is the third largest company in Mongolia with diverse business activities, including coal and gold mining operations. This will be the Group’s first copper concentrator. In February 2012, FLSmidth was awarded an order from MAK for supply of a greenfield cement plant (see Company Announcement No. 06-2012, 9 February 2012).
“We are very happy to receive this third major order from MAK for their Tsagaan Suvarga copper-molybdenum concentrator project. It confirms our strategy of working closer with our customers, providing the support and services they need as a key to developing long-term partnerships,” President of the Mineral Processing Division Peter Flanagan comments.
The order will be booked by the Mineral Processing Division and contribute beneficially to FLSmidth’s earnings until mid 2017.
