Mining and explosives supplier BME, part of Omnia Holdings, has inked a conditional sale and purchase of shares agreement (CSPA) to solidify a joint venture with Indonesian group PT. Multi Nitrotama Kimia (MNK).

omnia bmeUnder the JV, BME and MNK will combine the former’s technology, products and systems with the latter’s local networks, experience and resources. Together, they will provide an expanded suite of products and services for both surface and underground mines.

BME and MNK already successfully partnered in a five-year contract for blasting services at a Kalimantan operation, which led to the commissioning of the first mobile process units (MPUs) and emulsion plant outside of the African continent.

Omnia CEO Seelan Gobalsamy said the signing is a significant milestone.

“It’s a proud moment for Omnia as we showcase the strength of our mining franchise and harness its potential to drive global growth through innovative, sustainable solutions. This partnership with MNK builds upon a strong and successful relationship to date, and we’re confident will power us for the next exciting chapter.”

“This JV represents a step change to BME’s international growth and immediately broadens BME’s business base to include MNK’s current contracts which will be ceded to the JV in a phased manner,” said BME Managing Director Ralf Hennecke.

“BME will have faster access to market, greater diversification and will be well positioned for the future as a major player in the growing Indonesian and Asian market.”

MNK is the second largest explosives company in Indonesia.

Source: BME