GE has announced it will launch a new global mining business unit based in Australia.
Speaking at MINExpo in Las Vegas, GE Mining's CEO Geoff Fairchild explained that it comes following GE's acquisition of Fairchild International and the finalisation of its takeover of Industrea, the Herald Online reports.
GE initially announced its intention to acquire Australian mining equipment company Industrea in May this year, in an attempt to increase its presence in the underground mining space, a sector in which Fairchild also operates.
According to Industrea, GE made an offer of $1.27 per share for 100% of the company's issued shares, a 48% premium which values the Australian firm at around $470 million.
It is believed the deal was valued at around $700 million.
As well as underground mining, GE will reportedly continue to increase its presence in resources power distribution, water and wastewater management, and materials handling and monitoring systems.
“The continuing urbanisation and growth in energy demand in the emerging economies bodes well for the long-term future of the global mining industry,” Knox said.
“With mine operators rebalancing their investments to get more out of their existing assets, GE’s global mining business is well positioned to add value.”
Mark Vachon, GE ecomagination vice president, added that “in this current global context the need for mineral resources across a diversified set of industries will continue to grow, and the mining industry will be critical to meeting that demand".