protech khuthele company summary

Protech Khuthele Holdings Limited –

International Group of Companies

Group Overview

2

Protech Khuthele was established in 1989 and has built a strong reputation based on an un-

paralleled ability to deliver fast-track contracting solutions. The Group guarantees to commence

Work within 24-48 hours after being awarded a contract and to complete ahead of schedule.

Backed by world leading technologies, has a highly specialized team of industry professionals,

Protech Khuthele is structured to deliver rapid, quality civil engineering solutions that guarantee

accelerated contract timeframes and significant savings to clients.

The group’s client service model includes engaging at a very early stage of the design and costing

phases, which results in cost benefits for clients.

Protech Khuthele is a broad based civil engineering group with a specific Emphasis on fast-track contracting.

The group offers bulk earthworks, civil works and services, mining-related infrastructure development and

opencast mining, ground improvement solutions, as well as readymix concrete and Pumping services.

AUDITED CONSOLIDATED RESULTS FOR

THE YEAR ENDED 28 FEBRUARY 2009

3

Introduction

Group focus sectors

Public infrastructure

Mining

Private property

4

Agriculture

Introduction

Ports, airports, roads and dams

Infrastructure development & opencast mining

Commercial, retail & industrial

Commercial

Group focus areas

5

Fleet management & logistics

Geotechnical laboratories

& surveying services Roads & civils works

Ground improvement solutions Opencast mining, mining infrastructure

Development & rehabilitation

Readymix concrete & pumping services Township infrastructure

& bulk township services

Bulk excavations & earthworks



6

Group delivery model

Group delivery model

7

Introduction

Effective delivery

Reputation as fastest in sector

Guaranteed to be on site in 24-48 hrs anywhere in RSA

100% track record for finishing on or ahead of schedule

Proactively manage adversities

Strategically positioned borrow & spoil facilities

Focused on solutions:

Early engagement leads to unique solutions

Cost and time savings for clients

Not claims orientated

Proven quality assurance:

Compete on reputation

20 years’ experience

Expertise across civil engineering

Quality fleet = no downtime

The group’s service delivery model has been developed and tailored over 21 years.

Largest customers

8

Blue chip client base: bad debts < 1% of revenue

Royal Bafokeng Administration

Group Outlook

Business organisation and services

Mining

INFRASTRUCTURE DEVELOPMENT & REHABILITATION

Site clearance

Service and access roads

Haul road construction & rehabilitation

Soil suppression, weatherproofing with environmental

carbon emission reduction

Storm water & retention dams

Installation of bulk services

Mine rehabilitation

Dragline path preparation

Pollution Control dams & attenuation ponds

Tailings dams & maintenance

Processing and compaction of platforms & terraces

OPENCAST MINING

Bulk sampling

Drilling & blasting

Top soil stripping

Box cut & excavations

Mining of reef & dump

Crushing & screening

Materials handling

Coal discard compaction

Compaction of rock fill & landfill sites

Readymix

SUPPLY OF READYMIX

CONCRETE

Concrete pumping services

Specialised concrete services

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Civils

BULK EXCAVATIONS &

EARTHWORKS

Site clearance

Demolitions

Bulk earthworks, terraces and

platforms

Basement excavations

Canal/river deviation

Concrete bridges

Crushing and screening

Landfill rehabilitation

ROADS & CIVILS

New roads & road

rehabilitation

Bulk infrastructure services

Dams and attenuation ponds

Airports, airfields & rail

Harbor and reclamation works

Bridges & concrete structures

Plant and

Logistics

Ground

Improvement

Solutions

Impact Compaction

& Soil Suppression

South African

Road Testing

Services

Geotechnical

Laboratories

& Surveying

PROTECH KHUTHELE (PTY) LTD

Value Engineered Solutions

Business offering

10

Introduction

Protech Khuthele (Pty) Ltd

Bulk Excavations, civils, infrastructure development and opencast mining

Specialist capabilities include:

Established in 1989, Protech Khuthele (Pty) Ltd is wholly-owned by

Protech Khuthele Holdings. As the contracting division, Protech

Khuthele forms the core of the group and enjoys the guaranteed

support and services of the internal group of companies, including Pela

Plant (plant and equipment), SARTS (geotechnical laboratory services

and surveying) and Ground Improvement Solutions (soil compaction).

Protech Khuthele has repeatedly demonstrated its ability to develop

innovative solutions to unique challenges in partner -

ship with its clients. The company has built a strong reputation for fast

track ability and achieving contract completion ahead

of schedule – a cornerstone of its service delivery model and success.

Bulk earthworks and basement excavations

Roads, bridges and related services

Ports

Airport runways and airfields

Dams and coastal reclamations

Haul road construction and rehabilitation

Mine infrastructure development

Opencast mining

Materials handling and mine rehabilitation

Tailings and pollution control dams

Township infrastructure development and bulk services

Business offering

11

Introduction

Specialist compaction and certification technologies

Ground improvement solutions

Ground Improvement Solutions (GIS) specialises in offering the civil, building and mining industries specialised ground improvement

solutions through the application of common and unique ground improvement tools. The company’s technical knowledge allows

involvement at the critical conceptual and design stages of projects, assuring customers of superior ground improvement with added

value solutions that deliver competent bearing strata with low life cycle costs.

Ground Improvement Solutions’ service offering to the market includes:

Ground improvement contracting

‒ Through alternative recommended design parameters and the provision of process certification and geotechnical testing.

This includes new methodologies developed by using impact compaction coupled with other complementary technologies.

‒ Through sub-contracting using pre-specified impact compaction in accordance with specifications established by consulting

engineers.

Full scope of civil works

Supply of impact compaction plant hire

The technology of impact compaction, a unique technology offering alternative methodologies with time, cost and quality benefits is

supported by a unique certification tool, called the Continuous Impact Response (CIR) measurement system, ultimately offering the

industry a method of accurately controlling and certifying the impact compaction process.

With emphasis on growth opportunities and through research and development, alliances, partnerships and acquisitions, GIS

is continuously driven to grow the range of innovative ground improvement products and services, maintaining a high quality

service to the industry both locally and globally.

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Deep in situ ground improvement

Thick-lift compaction

Pavement rehabilitation alternatives

Treatment of dry materials

Compaction of rockfill

Treatment of marine sands

Treatment of dolomitic material

Treatment of material with a high collapse potential

Treatment of unsurfaced roads

Treatment of airport runways and terminals

Coal discard compaction

Permeability reduction

Compaction of landfills

For more information log on to www.gimpsol.com

Specialist applications of the technologies

include:

Ground improvement solutions (cont.)

Business offering

Business offering

13

Introduction

Pela Plant(Pty) Ltd

Plant hire and logistical services

The business has:

Pela Plant (Pela) supplies premium plant and equipment, as well as logistical services, such as

transport and diesel supply, to Protech Khuthele, Protech Readymix and Ground Improvement

Solutions. Pela Plant plays a key role in guaranteeing the contracting division’s timeous delivery

on contracts.

Pela’s unique plant policy of replacing plant and equipment after two years or 4 000 hours, and

trucks after 150 000 kilometres or three years, guarantees 100% availability with maximum

utilisation and minimal downtime.

Although this business mainly services the Protech Khuthele group, Pela Plant also offers plant

hire and logistical services to third parties.

Only premium brands (Bell, Hitachi and Mercedes Benz)

A fleet in excess of 300 units, with each item of plant

fully backed by extended manufacturer warranties

Plant that includes excavators, front-end loaders, lowbed

trucks, dozers, tipper trucks, crane trucks, graders,

rollers, crushers and screeners, water trucks, dump

trucks and concrete mixer trucks

Business offering

14

Introduction

Protech Readymix (Pty) Ltd

Supplier of readymix concrete

Routine testing is carried out to comply with SANS standards

Acquired by Protech Khuthele in 2008, Protech Readymix manufactures and delivers

readymix concrete and concrete pumping services. The company operates six readymix

batch plants, situated strategically throughout Gauteng.

Each plant is supported by computer controlled batching operations, assuring customers

of precisely metered and quality controlled concrete to meet their specific requirements.

We operate a state of the art fleet in excess of 60 owned mixer trucks which is supported

by a substantial sub-contracted fleet.

As an extension to our concrete supply, Protech Readymix is able to deliver special pump

mixes to great heights and restricted areas by means of its boom pumps capable of

pumping up to 90 m³ per hour.

The Company with its shortest lead time in the industry is capable of producing an

extensive range of concrete solutions from residential to commercial and industrial

applications such as but not limited to:

Air-entrained concrete

Cellular lightweight concrete

Concrete mixes for pumping

Fibre-reinforced concrete

High and low density concrete

No-fines concrete

Screed mixes

Self compacting concrete

Soilcrete

Waterproof concrete

Business offering

15

Introduction

South African Road Testing Services (Pty) Ltd

Geotechnical laboratory and survey services

Specialist capabilities include:

South African Road Testing Services (SARTS) was established in 1995 to overcome delays from

previously out sourced laboratory services. The company delivers exceptional services to contractors

and consulting engineers in the areas of survey and soil investigation and analysis, quality control

and testing for associated earthworks, roadworks and impact compaction contracts.

This business has an established strategy of highly efficient service delivery to allow Protech

Khuthele to accelerate contract completion.

The group delivers on this strategy through a talented and experienced team with world-class

equipment, services and standards.

SARTS laboratory is SANAS accredited and confirms the prestigious recognition of the company’s

ability.

Soil testing services and quality control testing

Site surveying that includes setting out, levelling, digital

terrain modelling and quantity surveying

Borrow pit investigations that include geotechnical and

surveyed quantities

State-of-the-art laboratories that perform tests such as

compaction tests, nuclear density tests and sand

replacement density tests and quality control testing

On-site mobile laboratories to support and expedite the

services of the parent laboratory, all fully equipped and

capable to perform specialised tests

State of the Art surveying equipment including GPS

survey systems and GPS machine control systems

Protech Khuthele is structured to deliver quality

civil engineering solutions

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Case studies

Goedgevonden

Protech Khuthele has been involved in seven core contracts at Goedgevonden, an opencast coal mine situated near

Ogies in Mpumalanga, operated by Xstrata Coal SA. Protech Khuthele’s combined contracts value is in excess of

R210 million. The contracts started in August 2007 and were completed by November 2009, these included access

roads, new provincial roads, the upgrade of existing haul roads and the development of bridges, a retaining dam,

a run of mine (ROM) platform and overland pipelines as well as topsoil & overburden stripping. The

Goedgevonden contracts illustrate the success of the group’s effective partnership model and its ability to deliver

services according to evolving client specifications and contract timeframes. Protech Khuthele’s involvement with

Goedgevonden began as a R28 million road diversion contract, where six kilometres of new provincial road were

constructed to free up coal resources for the mine occupied by the existing provincial road. The contract value then

increased to R79 million as the contract was expanded with additional works and design changes due to the highly

saturated ground conditions. The group’s fast-track ability and flexibility to adapt to changes was

central to its ability to meet the changing scope of the contract and to accelerate timeframes according to the

client’s request.

Handover dates of the new road were re-negotiated and a phased handover with accelerated dates was

implemented.

Protech Khuthele’s success in handing over both phases ahead of the client’s accelerated schedule meant that

Xstrata enjoyed early access to parts of the plant that fell on critical delivery paths. This included the construction of

a railway line and the freeing up of reserves, thereby minimising production impact.

The mine road upgrades were done without affecting the smooth running of the mine’s operations and within very

strict safety guidelines. Earthworks for a storm water retaining dam of 20 million litres were done during the

above-average summer rainfall conditions, and this, together with the installation of an overland pipeline, further

added to the value of work awarded. The ROM platform was done in partnership with the client, resulting in a

unique construction solution and further time saving for the client. Throughout these construction activities, the

topsoil stripping above the coal reserves continued. Protech Khuthele stripped on average 250 000 tons of topsoil

per month, placing this on stockpile for re-use during the rehabilitation of the mine. Protech Khuthele’s world-

leading impact compaction technology added further cost and time savings for the client.

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Case studies

Waterkloof Airforce Base

The Waterkloof Airforce Base reconstruction is a R730 million public works contract. Protech Khuthele

is part of the Runway Contractors Joint Venture. The group is involved in the construction of the 3,4

kilometre runway, as well as taxiways, up to sub-base level (i.e. all earthworks related construction

activities).

The contract commenced in July 2008 and is scheduled to conclude at the end of 2010.

Protech Khuthele’s expertise in materials management has been an integral part of the contract. It is

utilising both crushing and screening to recycle as much existing material as possible and to modify

this material for optimal re-use, a Protech Khuthele speciality. The group’s top quality fleet enabled

the use of crushing and screening operations to aid in this materials modification process.

The group was instrumental in construction methodology changes that resulted in further significant

time saving. In addition, the use of Protech Khuthele’s world-leading impact compaction technology

again proved to be central to its ability to further accelerate timeframes.

The group also developed an innovative and alternative method of constructing the upper layer

works, leading to even more time savings on the contract in accordance with the client’s request for

accelerated delivery. Based on the group’s innovation, the contract was accelerated by two months for

an earlier completion date of the main runway.

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Case studies

Gautrain

Protech Khuthele is responsible for the earthworks for the Bombela Consortium Gautrain Rapid Railway Link between

Modderfontein Road and the OR Tambo International Airport.

The contract value is around R90 million. This contract is an example of the group’s ability to work under very

challenging conditions, with much poorer soil quality than anticipated and a higher than expected rainfall, leading to

an increase in the value and scope of work by 30% following the start of the contract. Protech Khuthele is never the

less still within the client’s required timeframe due to its proven ability of fast-tracking contracts.

The contract, scheduled to be concluded in mid 2009, involves 5,5 kilometres of earthworks for the rail formation.

The contract is also a good example of the group’s ability to perform a wide range of services within the civil

engineering industry. Key components of the contract involve 275 000 m³ of cut and fill with a zero tolerance for

settlement of material, 65 000 linear metres of ducting for services, 5 200 m of sub-soil drainage, 6 750 m² of

reinforced earth walling and 90 000 m³ of backfilling to viaducts, as well as 22 000 m³ of layer works and over 10

kilometres of concrete lined channels and open drains.

Significant sub-surface drainage and earthworks were required, with the terrain offering challenges such as rock

blasting in restricted areas, sub-surface water, saturated soil conditions and material generally unsuitable for re-use.

Hauling material from as far as 23 kilometres in busy traffic and the construction of a rail formation over busy roads

also made the earthworks more challenging.

The Protech Khuthele impact compaction technology was again critical to achieving time savings on bulk fills.

Gautrain is an example of the group’s ability to work under very challenging conditions, with much

poorer soil quality than anticipated and a higher than expected rainfall.

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Sustainability overview

At Protech Khuthele operating responsibly is a business imperative the group does not compromise on.

Key focus areas in terms of sustainability are highlighted below.

The group retains and attracts skills due to its policy of regarding people as its primary asset and by treating its employees

accordingly.

The group has appointed 2 Indian males and 1 Indian female to senior management positions.

37 African male employees moved from junior management to mid management.

170 African males moved from unskilled to semi-skilled positions

364 new Learnerships were offered during the year. A total of 99% were African learnerships with 57% being African women

The group’s culture is built on continuous development and training of employees.

Training is conducted in the group’s mobile training unit, which allows on-site training and minimal interruption to operations

The group awarded 13 bursaries (both internally and externally) to African people, with 39% awarded to African females

Employee Engagement

Protech Khuthele’s staff turnover is less than 1% due to a strong corporate culture and a performance-driven approach.

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Sustainability overview (cont)

BROAD-BASED BLACK ECONOMIC EMPOWERMENT

The group has a strong focus on enterprise development. Protech Khuthele is actively involved with a number of emerging

contractors. Where required, financial, commercial and tender support is provided

Furthermore, payments to emerging contractors are prioritised to ensure they are paid in less than a week

In line with the DTI Codes of Good Practice, Protech Khuthele spent 1% of net profit after tax during the 2009 financial year

on socio economic development programmes

Protech Khuthele is a Level 4 B-BBEE contributor rated by an accredited agency

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SAFETY, HEALTH, ENVIRONMENT AND QUALITY

Protech Khuthele implemented a formal safety, health and environmental (SHE) policy in 2002. This policy is updated on an annual basis.

A formal SHEC System was implemented in 2006. Up to 2010 this system was reviewed on an annual basis to ensure compliance. The system is

based on ISO 9001:2000, ISO 14001:2004 and OHSAS 18001:2007

Furthermore, as Protech Khuthele’s mining sector work increased strongly, the group is in the process of generating a separate SHEC system

focused on specific mining requirements, this system has been implemented on various mining projects with great success.

We have received various awards from different clients for exceptional safety performance as a company and some individuals also received

awards for their performance.

The group’s SHEQ system is mandatory on all sites and is used to enforce no harm to our employees, contractors, environment and communities

affected by our operations.

During the 2010 financial year, we pleasingly beat our goal by achieving a LTIFR of 0,41. To date we are still on 0 Fatalities and 0 Disabling

Injuries

Safety

Since inception the group has had an exceptional safety record, we continue with our excellent track record.

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PROTECH KHUTHELE AWARDS

2008 Xstrata 2009 BHP Billiton 2010 DRA/BHP Billiton

Goedgevonden Colliery Douglas Colliery Douglas Colliery

0% LTI Noteworthy Award 500 000 LTI Free

Protech Award Protech Award Protech Award

PROJECT AWARDS

2009 Bateman/BHP Billiton 2009 Bombela 2009 Bombela

Douglas Colliery Gautrain Gautrain

250 000 LTF Free 1.5 MN LTI Free 2 MN LTI Free

Project Award Project Award Project Award

2009 Department of Public Works 2010 Bateman/BHP Billiton

Waterkloof Air Force Base Douglas Colliery

1 MN LTI Free 1 MN LTI Free

Project Award Project Award

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Health and wellbeing of employees is a key objective at Protech Khuthele backed by a formal occupational health programme

managed by our occupational health practitioner.

Medical tests are conducted to ensure a good level of health from potential employees. Medicals are also repeated annually on all

employees to monitor and identify any health problems timorously and to assist employees where necessary.

Primary healthcare is also available at Protech Khuthele’s Occupational Health Centre for minor treating, illnesses and chronic

illnesses. Serious illnesses are referred to specialists for treatment.

Protech Khuthele is also involved in the Rafilwe Community Centre which offers HIV counselling. HIV testing is also offered to all

our employees in the strictest confidence so as to encourage early diagnosis and treatment.

Health

A formal Occupational Health and Safety policy is in place and

reviewed regularly. Protech Khuthele currently

conducts 90% of its own medical fitness examinations, through the

group’s in house primary healthcare clinic

allowing a very hands-on approach in terms of medical assistance

and/or chronic medication.

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Environmentally friendly materials are used to clean plant and equipment.

Hazardous chemicals are used within strict regulations.

The group’s plant policy of only using new equipment means that smaller quantities of lubricants need to be kept in stock, as

maintenance work is carried out by the group’s service providers.

New plant and equipment result in less noise and air pollution, as well as improved fuel and lubricant consumption – Tier 3

emission-certified engines result in lower emissions.

Site camps are fenced to keep activities that could cause disturbance inside a specific area.

Traffic management plans keep operators on designated haul roads to keep surrounding areas undisturbed.

Hazardous waste on sites is collected and recycled by an accredited service provider.

Chemical toilets are serviced, with chemicals removed by an accredited service provider.

Normal domestic waste is discarded separately and removed from site by an accredited service provider.

Environment – the group’s actions include

The group’s environmental programme is

based on the principles of ISO 14001:2004

Relevant Experience

26

Relevant Experience 1

27

Introduction

GAUTRAIN

Client

Value

Scope of works

R90 Million

Construction of 5.5km rail formation

500 000 m³ of excavation and fill

5 000 m² of reinforced earth walling

Installation of services and sleeves

WATERKLOOF AIRFORCE BASE

Client

Value

Scope of works

Department of Public Works

R140 Million

1 400 000 m³ of earthworks for the

reconstruction of main runway

120 000 m³ of crushing of material

50 000 m² of raft foundations

SALDANHA LAND RECLAMATION

Client

Value

Scope of works

Transnet

R26 Million

600 000 m³ of backfill reclamation for

additional stockyard area

ACSA MULTI-STOREY PARKADE

Client

Value

Scope of works

Airports Company of South Africa

R18 Million

45 000 m³ of basement excavation

CMC/G4 Joint Venture


28

Introduction

GILLOOLY’S

Client

Value

Scope of works

R69 Million

Construction of earthworks and layer works

for Gauteng Freeway Improvement Project

Between Modderfontein and Gillooly’s

interchange on N1

Between Gillooly’s and Rietfontein

interchange on N12

ACSA CENTRAL TERMINAL BUILDING

Client

Value

Scope of works

Airports Company of South Africa

R15 Million

150 000 m³ of basement excavation

OLIEVENHOUTBOSCH

Client

Value

Scope of works

Absa Property Development

R8 Million

180 hectare site clearance

90 hectare tree removal

BAFOKENG SPORTS COMPLEX

Client

Value

Scope of works

Royal Bafokeng Holdings

R25 Million

Construction of 14 sports fields

Earthworks for new hotel and parking

Access road to sports complex

Bombela Civils Joint Venture


29

Introduction

ORLANDO SOCCER STADIUM

Client

Value

Scope of works

R12 Million

Demolition of existing stadium

85 000 m³ excavation and fill for stadium

and parking

2 500 m³ gabion retaining structure

25 000 m² impact rolling

CENTURION LIFESTYLE SHOPPING CENTRE

Client

Value

Scope of works

Abland

R60 Million

Bulk earthworks for shopping centre

platforms and parking

Internal parking and roads

Additional platforms and parking for

Phase 2

PUTCO DEPOT ROSEVILLE

Client

Value

Scope of works

Putco

R23 Million

Bulk earthworks for 110 000 m² platforms

and parking

70 000 m² of roads and parking

LENCHEN ROAD

Client

Value

Scope of works

Abland

R19 Million

Construction of 2 km Lenchen link road

Upgrade of four intersections

City of Johannesburg


30

Introduction

WESTERN LIMB TAILINGS RETREATMENT

Client

Value

Scope of works

R18 Million

800 000 m³ of bulk earthworks for

construction of platform, roads, parking

and tailings dams

RE-ALIGHNMENT OF PROVINCIAL ROAD P535-1

Client

Value

Scope of works

Xstrata Coal SA

R79 Million

Construction of 6 km provincial road

100 000 m³ of bulk fills

57 000 m² of asphalt surfacing

KENNEDY’S VALE SPITZKOP

Client

Value

Scope of works

East Plats

R58 Million

Construction of platforms and parking for

new platinum plant

100 000 m³ of crushing and screening of

rock material

NEW MAIN ACCESS ROAD

Client

Value

Scope of works

Xstrata Coal SA

R22 Million

Construction of 2 km new access road

Installation of culverts and drainage

Construction of a concrete road over road

bridge

Amplats


31

Introduction

DMO – DOUGLAS MIDDLEBURG OPTIMISATION

Client

Value

Scope of works

R70 Million

Construction of terraces and platforms for

new plant

Installation of bulk services

7 000 m² structural concrete pavement

ATTENUATION FACILITY

Client

Value

Scope of works

Xstrata Coal SA

R11 Million

Construction of 20 million litre storm water

retention dam

ROMPAD AND ACCESS ROADS

Client

Value

Scope of works

Xstrata Coal SA

R60 Million

350 000 m³ of engineered fill for ROM

platform

1 500 000 m³ of processing and compaction

for platforms

Construction of permanent and temporary

road for platforms

LEEUPAN HAUL ROAD

Client

Value

Scope of works

Exxaro

R15 Million

Construction of 3 km mine haul road

BHP Billiton, Group Five, WBHO, Stefanutti Stocks


32

Introduction

TOPSOIL STRIPPING

Client

Value

Scope of works

R25 Million

1 200 000 m³ of topsoil strip,

prior to mining operation

INYANDA MINE

Client

Value

Scope of works

Exxaro

R30 Million

200 000 m³ bulk earthworks for plant

platforms and terraces

Construction of two attenuation ponds

SMOKEY HILLS

Client

Value

Scope of works

Platinum Australia

R42 Million

Bulk earthworks for 200 000 m² of

platforms and terraces

Upgrading 10 km of district road

70 000 m³ fill to construction of new

access road

KUMBA ROAD DELMAS

Client

Value

Scope of works

Kumba Resources

R35 Million

Realignment of 11 km of provincial road

120 000 m³ of selected layers

120 000 m² of asphalt surfacing

Xstrata Coal SA


33

Introduction

HEINEKEN BREWERY

Client

Value

Scope of works

R16 Million

72 hectare site clearance

375 000 m³ excavation and fill for building

platforms

155 000 m² dynamic compaction

TRADE ROUTE MALL

Client

Value

Scope of works

Investec

R30 Million

110 000 m² parking and roads

20 000 m² of external roads

BANK CITY BLOCK G

Client

Value

Scope of works

FNB

R7 Million


and roads

Installation of subsoil, sewer, water and

storm water services

MAPONYA MALL

Client

Value

Scope of works

Zen Prop

R15 Million

Bulk earthworks for 60 000 m² platform

and parking

Layer works construction for the parking

area

Heineken


34

Introduction

KEMPTON RETAIL

Client

Value

Scope of works

R10 Million


and roads

Installation of subsoil, sewer, water and

storm water services

NAMPAK

Client

Value

Scope of works

Concor

R15 Million

Bulk earthworks for 60 000 m² platform

and parking

Layer works construction for the parking

area

MONTE CASINO NEW HOTEL AND OFFICE BLOCK

Client

Value

Scope of works

Tsongo Sun/ Abland

R19 Million

Basement excavation of 70 000 m³

Relocation of existing services

2 000 m² gravity block retaining walls

PETER MOKABA STADIUM POLOKWANE

Client

Value

Scope of works

WBHO

R12 Million

Bulk earthworks for new soccer stadium

Storm water control

Redefine


35

Introduction

MICHELANGELO HOTEL

Client

Value

Scope of works

R6.3 Million

50 000 m³ excavation for a 4-level

basement

40 000 m³ of granite hard rock excavated

and removed

ABSA WEST

Client

Value

Scope of works

ABSA

R8.5 Million

140 000 m³ basement excavation

THE SEERS

Client

Value

Scope of works

Escor

R14 Million

Demolition of existing 3-storey building

75 000 m³ basement excavation

5 800 m³ of mass concrete backfill

SILVERSTAR CASINO

Client

Value

Scope of works

Akani Egoli

R8.5 Million


430 000 m³ excavation for platforms and

lake

21 000 m³ gabion retaining structure

Sewer and storm water installation

Legacy Hotel Group


36

Introduction

MARAGA SUGAR MILLS

Client

Value

Scope of works

R4 Million

Construction of an access road, internal

roads and paving

Storm water reticulation

Bulk Earthworks

Layer works and paving

XAI-XAI INTERCHANGE

Client

Value

Scope of works

SBB (N4 Toll road contractor and operator)

R97 Million

Construction of the Traffic Interchange for

the intersection of the N4 toll corridor and

the EN1 North to Xai-Xai

Bulk earth works


Sewer reticulation, Layer works, Premix

MOS NET

Client

Value

Scope of works

Transnet

R20 Million

Upgrading of railway lines from Maputo

to Xai-Xai

Bulk fills

Storm water culverts

Cabins

MOZAL HARBOUR

Client

Value

Scope of works

Matola

R45 Million

Upgrading of import & export harbour –

Construction of roads & paving surroundings

excavations for the Import Yard silos

Bulk earthworks, Rock fills

Storm water drainage

Layer works & premix

Illovo Sugar South Africa


37

Introduction

MOZAL

Client

Value

Scope of works

R20 Million

Construction of plant roads, including storm

water drainage, ducts, kerbing and paving

Entrance road infrastructure

Bulk earthworks

Storm water sewer

Concrete drains

KOMATIPOORT TO MAPUTO MAIN ROAD

Client

Value

Scope of works

SBB (N4 Toll Road contractor and operator)

xx

Reconstruction and upgrading of existing

N4 highway

Bulk earthworks


Tollgates

MATOLA ROADS

Client

Value

Scope of works

Matola Municipality

R35 Million

Rehab of 17 streets in Matola

Bulk earthworks


Layer works

Premix

Sand seal

MATOLA HARBOUR ACESS ROAD

Client

Value

Scope of works

Mozal

R55 Million

Reconstruction of 2.8 km of access road to

the Matola Harbour to accommodate heavy

duty road traffic to and from Mozal project

Reconstruct layer works, Storm water

drainage

Roads, asphalt paving and surfacing

Mozal

R47 Million


38

Introduction

CHISSANO – CHIBUTO ROAD

Client

Value

Scope of works

R40 Million

Temporary upgrading, construction and

maintenance of existing gravel road

between Chissano and Chibuto as a result

of the closure of the EN1 to Xai-Xai

following year 2000 floods

Watering and maintenance

Traffic Control

xx

Client

Value

Scope of works

xx

xx

xx

xx

Client

Value

Scope of works

xx

xx

xx

xx

Client

Value

Scope of works

xx

xx

xx

ANE – Mozambique Government



39

Appendix 1 Summary of competitive advantages

Advantage Substantiation

Reputation as Fast Track specialists Protech’s core focus

Plant Policy facilitates Fast Track ability

Only new plant with extended warrantees and service plans

(replaced every 24/36 months)

Maintenance & warranty risk offset to suppliers

Excellent service level agreements ensure 100% availability

Proactive procurement of strategic

Spoil & Borrow sites

Ongoing procurement in anticipation of activity

―To secure good material

―For value-added disposal of material

Skills retention <1% staff turnover

―Unique culture & flat organisation structure

Less affected by contract delays than

general contractors On and offsite 1

st

Barriers to entry

Quality & size of fleet

Entrenchment with customers

Experience & specialist skills base

CIDB9CE Rating

Corporate governance Empowerment: 30,1% BEE Ownership

Exemplary Health & Safety Record

Competitive advantages

40

Appendix 1



41

Appendix 2 Risk Matrix

Risk Matrix

42

Appendix 2

Risk factors Mitigating factors

Under-utilisation of

plant and plant

standing idle

To mitigate the risk of plant not being utilised fully, the group follows a strategy of renting in a portion

of its fleet from selected external plant hire operators. The rented portion of the fleet serves as a buffer

in times of strong, as well as weak demand for plant. Rented plant can be hired or returned within

24 hours

Availability of financing

facilities

The group has secured financing facilities of R400,5 million from large financiers. A credit rating is

performed annually by an independent rating agency. In the most recent rating during August 2008, the

group was rated BBB.

Competition and

pressure on rates

The group provides a specialised fast-track contracting solution to its clients. This kind of work is

generally less price sensitive than the traditional purely construction-related work.

Depressed economy The group has the ability to shift focus between market sectors in three months.

Poor BBBEE rating

A suitable BBBEE rating is essential to secure large contracts. The group is constantly striving to improve

its BBBEE status through focused programmes, particularly in the areas of preferential

procurement, enterprise development, skills development and corporate social responsibility projects.

Non-delivery of

suppliers

As a specialist fast-track contractor, it is imperative that the suppliers to the group are very efficient.

The group therefore forms strategic alliances with suppliers and through continuous interaction with

them, the efficiency of the supply chain is maintained.

Skills shortage

The group follows a policy of training and development of employees on a continuous basis. The group

also runs several learnership programmes and has its own mobile training unit. The group has less than

1% staff turnover.

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