Global mineral solutions supplier Weir Group announced that it would buy the Port Elizabeth-based Xmeco foundry, which will form part of their Weir Minerals Africa business unit.

This acquisition will expand its in-house casting capability and enable the local production of its product range in support of global growth, while, at the same time, expanding Weir’s capacity and capability on the African continent.

Subject to regulatory approval, the purchase is expected to be completed next month.

Specialist large casting foundry Xmeco occupies a 4.5 ha site in the Neave industrial park, Neave Township, where it manufactures castings varying in size from a few kilograms up to 18 t in a variety of alloys.

The privately owned company, employing more than 100 personnel, was established in 1978 by current owner John Exley’s father. Exley has agreed to remain with the business to manage special projects relating to the foundry expansion, modification and integration.

Weir Minerals Middle East and Africa Region MD Dave Athey says the acquisition of Xmeco is consistent with the company’s growth strategy and will support the African and minerals divisional requirements.

“The Xmeco acquisition complements our existing African operation, adds the heavy bay capacity vital for future growth, and boosts our existing foundry expertise with valuable new talent and specialised foundry personnel. It will also enhance productivity with the application of Weir’s philosophy of leanness in production, manufacturing technology and supply chain and front-end business processes,” he says.

Athey adds that Xmeco is a well-managed business that, with Weir’s guidance, investment and technology, will be developed to reach its full potential.

In return, Xmeco will add significantly to Weir’s capabilities. He says the investment broadens Weir’s core foundry capability while providing extensive opportunities for the combined business and the people it employs.

Commenting on the sale of his business, Exley adds: “I have been looking for a partner capable of taking this business into the future, building on what has already been achieved. Securing the longevity of the facility, the job opportunities created and the contribution to the economy as a whole were all important factors in making the decision.

“Weir’s proven record, manu- facturing expertise and the development of its Gauteng-based facilities leave me in no doubt that this is the correct decision for the next phase in Xmeco’s life and development.”