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I think it is worth talking about although I might focus on Brazil and Argentina before Colombia. I think we got to get some traction with Harry on OAS before trying anything else there. Unless of course Jay can help but I don't think mining is an area where he has expertise. Let's discuss when we talk next.

Eric D. Schwerin
eschwerin@rosemontseneca.com

Sent from my iPhone

On Aug 20, 2012, at 6:59 PM, jnevergole@africa-bd.com wrote:

> Hope you both had a good weekend.
>
> Been talking with one of the owners of a family business, infrastructure company. They have majority ownership in 3 different businesses/sectors (General Contracting, Infrastructure development, and equipment supply/services). They are a mid-size company, was told around $200 mln+ USDs per year of revenue.
>
> We're looking at partnering with them on construction projects in Africa.
>
> However, a new business they entered into is as a distributor of engagement tools for mining (the replacement digging teeth used on mining equipment). They signed an exclusive distributor agreement in the Western Hemisphere with an Australian manufacturer of the equipment. The equipment is already in use by companies such as Rio Tinto in some Australian operations.
>
> They will look to roll this out and we were talking about possibilities for us (meaning you guys and me) to help them in South America, and possibly US or other locations. The equipment they use apparently has a 48hr life, which is good for the industry. Sales potential for this equipment at one average size mine that's in production if they win the contract is about $30 million USDs per year.
>
> I said I would talk to you two to see if we think we may be able to help make relationships with the mining companies to generate sales in places like Colombia, Brazil, etc. I said would probably look at a consulting relationship (retainer and success fee) but did not talk numbers yet as I think we need to discuss first between us if we feel this is something we can take on.
>
> What are your thoughts?
>
> Best,
>
> John
> Sent from my Verizon Wireless BlackBerry