McNally Bharat Engineering Company Ltd is making an entry into Latin America through its Cologne-headquartered 100% step down German subsidiary, MBE Coal & Minerals Technology GmbH.

The German arm would supply a floatation system for low grade iron ore beneficiation to unlisted Compania Mineria del Pacifico SA of Chile, at a cost of EUR 2.54 million.

The floatation system is to be located at El Romeral Mine in La Serena, IV Region. El Romeral Mine produces iron ore fines, lumps, and pellets feed. CMP bought El Romeral in 1971 from Bethlehem Iron Mines Co.

This is the second major engagement of the German engineering and procurement outfit of the group in the area of iron ore processing after it was acquired by MBECL in 2009. The German arm last year received an order from Assmang Ltd of South Africa for the delivery of eight magnetic separators at a total consideration of EUR 15.4 million.

The floatation system for CMP is to be delivered in November. MBECL and its indirect subsidiary are pursuing opportunities in the global mining arena separately. In Zambia, MBECL got involved on its own in a copper mining support engineering project.

MBECL recorded a net operational income of INR 490 crore in the October-December quarter of the current fiscal, up from INR 378.53 crore in the June to September quarter. For the first 9 months, its income stood at INR 1,348.08 crore.

(Sourced from BL)