Mine consultants take merged approach to competive push

PERTH-based international mining consulting firms, Resource Service Group and Global Mining Services have merged.

The new entity has assumed the name RSG Global and will provide consulting services incorporating all facets of resource modelling, exploration, mining engineering and metallurgy.

The new RSG Global principals are Julian Barnes, Peter Naude` and Rick Yeates.

Mr Yeates and Mr Barnes were former RSG directors.

Mr Naude` has taken on the role of general manager and his Global Mining Services partner Ken Jeffrey is the new entity’s chief financial officer.

RSG Global partner Colin Jones said the new group had a combined turnover of between $10 million and $11 million.

However, with synergies due to come from the merger, he expects this to increase substantially over the next year.

RSG is the dominant partner in the new entity, bringing in about 60 per cent of the business.

It also had the higher profile internationally having worked with the major banking houses in Australia and London and companies such as BHP Billiton in South Africa and Newcrest Mining in Telfer.

The merger puts the company in a good position to take on competitors SRK Consulting and Snowden Mining Industry Consultants in what is seen as a very tough industry.

Competition is fierce, putting great pressure on company bottom lines.

“If you are making 10 per cent (profit) you would have to be quite happy,” Mr Jones said.

“Australia is definitely more competitive than other parts of the world such as the US,” he said.

Mr Yeates said the merger was a natural progression following a period of cooperation between the two companies.

“RSG and GMS have worked extensively and effectively with each other over several years, particularly in the areas of feasibility work and audits,” he said.

“The merger has created a highly-integrated entity, offering an outstanding level of professionalism, experience and re-sources to the mining and financial sectors.

“With overwhelming support from all personnel, RSG Global looks to the future with confidence and enthusiasm.”

The expanded firm will run five technical divisions. Its mining and engineering division is headed by new partner Linton Kirk.

His 12-member team will be responsible for all aspects of open pit and underground mining, including optimisation, design, scheduling, equipment selection, pro-duction and financial analysis.

RSG’s exploration and resource division manager Chris Stephens now shares management responsi-bility with RSG Global partner Brett Gossage under the merged arrangements.

A new audit division will be formed under Mr Jones’s direction, while GMS software development group, which produces the Minebase and Mine-Works Planner packages has combined with RSG’s geo-scientific GIS development team operating under Mike Sperinck.