Telstra announced the forming of Telstra Mining Services, flagging it as a "strategic investment" in the mining, gas, and oil sectors.
It follows the appointment of two global mining experts and the acquisition of mining communications technology services business from CBO Telecommunications.
Subject to completion on June 30, Telstra will acquire the network design and consulting services business of CBO Telecommunications, whose capabilities include expertise across wi-fi and mesh technologies and the design, build and maintenance of enterprise grade networks used in remote sites.
Telstra’s global enterprise and services group managing director, Martijn Blanken, said that Telstra Mining Services would be a key pillar in a strategy to build new growth businesses.
“These investments are part of our strategy to create a significant global mining technology product and services business,” he said.
“Telstra is committed to becoming a new driving force for mining in Australia by helping the industry transition to a digital future.”
David Keenan, head of Telstra Global Industries, said the decline in global commodity prices was largely driving a downturn in the resources sector and, as a consequence, sharpening the industry’s focus on reducing costs and maximising production.
“This downturn has created a once in a lifetime shift, where miners are looking to technology innovation to help them future proof their operations,” he said
“Telstra Mining Services will be focused on helping our mining customers drive better business outcomes by significantly improving in-shift staff and asset productivity.
“Telstra Mining Services will deliver the technology solutions that makes this possible, such as high bandwidth networks, mobility solutions and software capabilities, through our own developments, strategic partnerships and in bespoke collaboration with customers.”
Driving the business will be former Head of Technology and Innovation at AngloAmerican Platinum, Jeannette McGill, as head of the new Telstra division, and Eric Nettleton, the former automation technology R&D team head at Rio Tinto Innovation.
The acquisition of capabilities and expertise is in addition to organically growing Telstra’s mining industry capabilities, including introducing bespoke products such as the Telstra Resources Network Management solution, which provides remote management of on-site ruggedised industrial data networks, Telstra said.
“Building on our strong organic foundation, the acquisition of CBO’s network consulting, engineering and services business was the next step to expand our communications business beyond the mine gate,” Keenan said.
“This is only the beginning as we will continue to deepen our capabilities to deliver tailored technology innovation to our mining customers, both in Australia and internationally.”
