FLSmidth to purchase parts of AuTec

FLSmidth has made an agreement with AuTec Innovative Extractive Solutions, a subsidiary of Barrick Gold Corp, to purchase its hydrometallurgical and mineral processing capabilities
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FLSmidth aims to be a global leader in base and precious metal metallurgical testwork and development

The agreement includes related equipment and key personnel. Offers of employment will be made to approximately 10 AuTec employees by FLSmidth. FLSmidth's Mineral Testing and Research Center in Salt Lake City, Utah, US, will continue AuTec's legacy of innovative process, piloting, testing and characterisation of simple to the most complex ores, including refractory gold.

Greg Walker, head of operations and technical excellence at Barrick Gold Corp, said: "Finding a good home for these segments of AuTec's business with a trusted provider, capable of continuing to support the needs of our sites, was important for us. With FLSmidth, we're confident we will have access to high-calibre expertise and the capabilities to meet various test work needs going forward."

With the purchase, FLSmidth will add capabilities of continuous pilot pressure oxidation, including subsequent leaching and downstream flowsheet, continuous flotation, column flotation and benchtop roasting. These new capabilities - combined with FLSmidth's current Dawson Metallurgical Laboratories, advanced Ore Characterization and Process Mineralogy Center, in-house analytical laboratory, and solid/liquid separation - aim to reinforce FLSmidth as a global leader in base and precious metal metallurgical testwork and development.

Wayne Douglas, head of FLSmidth's Mineral Testing and Research Center, commented: "We are very excited to combine the talent and experience of AuTec with our Mineral Testing and Research Center and we look forward to serving as an ongoing trusted test centre for Barrick and other key miners. From complex green field projects to optimising current plant operations, FLSmidth will continue to offer testing programmes that result in practical, implemented solutions. This addition of capabilities will help us achieve our goal of being productivity provider number one for our mining customers globally."

Closing is expected to occur near the end of the March quarter of 2019 and will be subject to customary closing conditions. The purchase will have no material impact on FLSmidth Group revenue.