South Africa’s largest black-empowered resource company, Exxaro signed a Memorandum of Understanding (MOU) with equipment dealer, Bell Equipment Sales South Africa Ltd today to enhance the offering of its enterprise and supplier development (“ESD”) programme.
This, to formalise a partnership within its ESD programme, is aimed at giving contractors access to mining equipment, at affordable rates. The partnership will also provide post equipment acquisition advice and support to the contractors.
Exxaro is equipped with a diversified portfolio of assets and a solid resource base with most power station coal being supplied to the national power utility, Eskom. 80% of its coal is sold to domestic markets, with the balance sold internationally.
“We recognise the role and constraints faced by contractors to enable our success, and hence have invested in this partnership to overcome the challenges”, says Mxolisi Mgojo, CEO.
The Bell Equipment Group has over 65 years of experience in the design, manufacture and distribution of material handling equipment to a broad spectrum of industries. During this time the group has strengthened its position as an equipment supplier of choice in Southern Africa through exclusive distribution agreements with other major global manufacturers to expand its offering.
Delivering on the country’s transformation goals, Bell Equipment’s sales and distribution subsidiary is 51% black owned and 30% black women owned while the manufacturing entity is 51% blacked owned and 15% black women owned. In addition, as a major local manufacturer, Bell is a sizeable employer and contributor to the local economy supporting over 900 suppliers throughout the country.
Partnering with Bell, therefore, better positions Exxaro to deliver on their goal of contributing to the country’s economy while addressing the needs of their communities. Creating more and better-quality jobs, after all, is key to reducing poverty and increasing social unity.
“Exxaro continues to prioritise Enterprise and Supplier Development (ESD) to power better lives for the residents of our communities. Partnering with Bell Equipment enables us to fulfil our promise of addressing the needs of contractors, in this case, to ensure they’re equipped with the tools for success,” said Exxaro’s Executive Head of Stakeholder Affairs, Mzila Mthenjane.
Not only will the partnership create opportunities for existing contractors to better themselves, it also considers the emerging workforce and their potential to fulfil important roles.
BESSA Managing Director, Duncan Mashika said: “As a group we are excited by this MOU and believe we are ideally positioned in terms of our premium product range and proven support network to continue to provide Exxaro and its contractors with a win-win solution.
As a local company we understand the challenges facing contractors and are eager to assist them in accessing quality equipment that best meets their needs and helping them to achieve the most from their Bell ownership experience.”
Exxaro has confirmed that they plan on entering into similar agreements with industry leaders who share their vision.