Scott Technology to tap Australian mining sector with XRF Scientific
Scott Technology plans to team with ASX-listed XRF Scientific to develop automated systems for Australia's booming mining sector.
BUSINESSDESK: Scott Technology plans to team with ASX-listed XRF Scientific to develop automated systems for Australia’s booming mining sector.
The companies will each put up $100,000 in a joint venture that seeks to leverage XRF’s automated furnace systems and Scott’s crushing equipment used in mineral analysis, they said in separate statements.
The deal will see each company own half of a new entity called XRock Automation, which will provide “automated and customised solutions in sample preparation, particularly for analysis conducted in iron ore, nickel, copper and other base metals exploration and mining”, the companies said.
That will let them tap a booming Australian resources sector which has continued to charge along even as the rest of the world’s 18th biggest economy stagnates.
XRF acting chief executive Vance Stazzonelli said the deal will “ultimately result in increased sales from XRF’s technology division”.
Scott has been keen on expanding its footprint over the past year, buying stakes in electromagnet maker HTS-110 and a Chinese manufacturing facility in the past year.
Shares in Dunedin-based Scott rose 1.9% to $1.65 on the NZX, while Perth-based XRF’s stock was unchanged at 26.5 Australian cents on the ASX.
Paul McBeth
Fri, 27 Apr 2012
Fri, 27 Apr 2012
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Scott Technology to tap Australian mining sector with XRF Scientific
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