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SEPCEM

SepCem Website Sephaku Cement (SepCem) uses its secured limestone deposits to establish and operate the Aganang clinker and cement manufacturing plant in the North West Province and the Delmas milling plant in Mpumalanga. The SepCem strategy is to stabilise and optimise its production capacity to ensure the low-cost advantage offered by new plants with advanced technology. SepCem has successfully penetrated the cement market by fulfilling its promises of:

  • high product quality, exceptional service and first-class technical support to customers; and
  • sustainable growth in profitability to shareholders.

The new plants have been designed using German-engineered Loesche mills and other key equipment from European suppliers to maximise operational efficiency and competitiveness, while limiting the environmental impact. Geographically, with the Delmas plant strategically located close to its fly ash source and coal supply, and 50 km from Gauteng, SepCem targets the Gauteng and surrounding North West, Limpopo, Free State and Mpumalanga provinces. Several systems and plans have been developed to increase loading efficiency at the plants, which will contribute significantly to the efficient customer service promise.

STRATEGIC OUTLOOK

SepCem
The strategic medium-term priorities centred around optimisation are as follow:

  1. Sales drive: additional focus on increasing product quality and optimisation of sales margins. The focus will ensure that the margins achieved are maximised through an active analysis of customers and geographic markets.
  2. Logistics optimisation: increased focus on ensuring sufficient logistics capacity and the optimisation of logistics between plants and markets. Logistics contribute a significant portion of total delivered cost therefore it is imperative that SepCem delivers from the optimal production source.
  3. Production efficiency: during the commissioning and ramp-up phases the production costs were expectedly higher than would be during the steady state. The focus going forward is to ensure that the operating costs at both SepCem plants are fully optimised.

SepCem (Aganang & Delmas) (VIDEO ‑ 7min22 )

MANAGEMENT OF SEPCEM

PIETER FREDERICK FOURIE

PIETER FREDERICK FOURIE
Chief executive officer
BCom (Accounting), Executive Development Programme (PRISM) for Global Leaders (IMD, Switzerland)
Pieter has extensive experience in the cement industry and assumed the position of CEO of SepCem in May 2007.

DUAN CLAASSEN

DUAN CLAASSEN
Operations manager
BEng (Metallurgical Engineering) (University of Pretoria), Young Manager’s Programme (INSEAD, France), MDP (Duke University, USA)
Duan completed his graduate engineer training at De Beers before joining Blue Circle Cement. He was involved with Blue Circle Cement’s integration into Lafarge in 1996. He subsequently worked for PPC before joining SepCem on 1 January 2008.

HEINRICH DE BEER
HEINRICH DE BEER
Engineering project manager
BEng Mechanical (PUCHE), MDP (PUCHE), LDP (GIBS)
Heinrich worked as a project engineer and maintenance manager at Mittal (Iscor) before joining Lafarge where he held various positions. Heinrich joined SepCem in 2008.
GAY DE WITT
GAY DE WITT
Chief financial officer
BCom (Hons) (University of Pretoria), CTA (Unisa), CA(SA) (SAICA)
Gay has experience in various fields ranging from finance and operations to risk. She previously worked for Clover Danone before joining SepCem in 2009.

JENNIFER BENNETTE

JENNIFER BENNETTE
Company secretary
Jennifer has been employed by various legal practices as a paralegal. She was previously company secretary for the Platmin group and joined SepHold in 2008 as company secretary.

Full Financial Analysis

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Bodibeng Trading Proprietary Limited

Founded by Mr Gaopalelwe Olebogeng from the Verdwaal Village in the North West province who is the sole managing member of Bodibeng Trading Proprietary Limited. Mr Gaopalelwe has previous experience in plant cleaning that he acquired during his tenure as a plant cleaner at another cement company in Lichtenburg. Bodibeng Trading Proprietary Limited employs 36 employees from the local community and currently has a short-term contract with SepCem which includes mentorship to ensure that it effectively provides the plant cleaning services at Aganang.

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Mancamane Trading Enterprise

Mancamane is a black female-owned enterprise that started operating in 2010 as a plant cleaning, construction and mining supply company. Ms Daisy Maseko, a renowned entrepreneur, founded the enterprise in the Delmas area, Mpumalanga province and currently employs 28 permanent staff. SepCem adopted Mancamane into the enterprise development programme in 2014. The company is currently supplying plant cleaning services to the Delmas grinding plant and has demonstrated the ability to grow sustainably.

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MM&JK Cleaning Projects Proprietary Limited

In 2014, SepCem contracted the cleaning services of MM&JK Cleaning Projects, an enterprise established in 2013 by Mr Sipho Mazibuko from a village called Springbokpan in the North West province. SepCem identified MM&JK Cleaning Projects as a well-managed enterprise that is appropriately suited to benefit from the programme. In the case of MM&JK, SepCem has partnered with another major industrial organisation to mentor Sipho.

The partner’s role is to assist MM&JK Cleaning Projects with inproving its cleaning skills through training, providing cleaning equipment and required detergents. SepCem’s role is to develop Sipho’s business management skills including cost management, record keeping and negotiation. SepCem is assisting MM&JK to develop a marketing strategy to increase its customer base to reduce the single-customer dependency risk and ensure that the company is sustainable. MM&JK Cleaning Projects currently has a three-year contract with SepCem for general cleaning at Aganang and employs 14 permanent staff.

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Millicent’s Enterprise

Millicent’s Enterprise is 100% black female-owned and was founded by Ms Millicent Mahlabe, an entrepreneur from Delmas in the Mpumalanga province. The company was selected for the programme because it has historically demonstrated the ability to supply large contracts but lacks administration skills. Millicent’s has a good reputation and positive track record of being able to cater for large provincial government events.

SepCem secured Millicent’s catering services in 2013 for its canteen at the Delmas plant that provides meals to 150 employees. Millicent’s currently has seven permanent employees and several contract employees who are sourced as and when required.

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