Demand For Mining Equipment Unaffected by Downturn

Demand for mining equipment is expected to hit unprecedented levels, despite the global economic downturn, a leading industry expert has announced.

Addressing delegates at the MINExpo event in Las Vegas, president and CEO of equipment manufacturer Bucyrus International, Tim Sullivan, said world mining equipment will increase by 5.9% through 2011, reaching $33.6bn.

"Strong investment in both new and expanded mines, primarily in the Asia-Pacific region, Africa and the Middle East, and in Latin America will feed into the mining equipment industry," said Sullivan.

Sullivan added that the full impact of this investment is unlikely to be felt until next year because of manpower shortages and related bottlenecks, which are extending delivery times.

The MINExpo event, held every four years, has seen a record number of equipment manufacturers displaying products, according to organisers.

As companies work to fill their order books, some equipment manufacturers are currently experiencing a backlog in orders stretching into 2012, said Sullivan.

By Ozge Ibrahim