Can you introduce us to ENAEX Brasil?

We are part of the Sigdo Koppers group, a major Chilean conglomerate. ENAEX operates in more than 40 countries, including Chile, Peru and South Africa. ENAEX’s activities span prospecting, engineering, mining and material processing, as well as concessions for ports and roads in Chile. The Brazilian explosives market is approximately 300,000 t/y, with around 65% of this directed towards large-scale mining. The remaining 35% is in infrastructure projects.

In Brazil, ENAEX is involved in numerous small and micro-hydroelectric projects. The company provides blasting services for nearly all these projects. ENAEX is a leader in the market, with a significant share of 75% nationally and up to 85% in the construction and aggregate sectors. How do you see the mining sector and its potential for the future?

The surprising development in Brazil’s mining sector has been the discovery of new minerals and reserves associated with the energy transition, particularly nickel and zinc. Previously, Brazil had mapped reserves for these minerals, but the markets were not very demanding. However, these minerals have gained substantial importance with the global shift towards new energy matrices. For instance, the Vale do Jequitinhonha region in Minas Gerais, which was once one of Brazil’s poorest regions, is now experiencing a boom in investments, especially in lithium operations. We have a major mining operation in this area, which is a client of ours. Other global players are also investing there, with some projects already in advanced stages of exploration. These new minerals are economically significant for Brazil, and the outlook is very promising. Scaling up requires advanced standards and technologies, especially with an international export focus. This shift is driving the industry to adopt more advanced technologies and innovation. We incorporate knowledge from traditional mining centers like Australia and Chile but also contribute our local expertise. We have a structure capable of generating and applying local knowledge and innovation to meet these new demands. What is the role of innovation at ENAEX?

Innovation is a critical strategic pillar for us. We measure innovation through indicators that assess its integration into the Brazilian market. We began with three projects in this area 12 years ago and have grown to 53 innovative projects this year. These innovations are developed within the company and involve both global and local teams. Two notable innovations from Brazil include the development of a plasma-based product made from salts, which allows for safer detonations in urban areas with reduced risk, and the creation of electronic initiation systems with enhanced safety features designed to prevent accidental detonations caused by lightning. These innovations demonstrate how we adapt global technologies to local needs, improving safety and operational efficiency in Brazil. Our safety investments focus on removing people from risky areas, and we are implementing this through advanced technologies. For instance, we are developing robotic equipment and integrating AI to enhance safety and efficiency in mining operations. What are ENAEX Brasil's ESG commitments?

We have taken several actions to align with ESG standards. Firstly, we are committed to increasing the proportion of women in our workforce. We aim to reach 30% of women in our team in the coming years, up from nearly 20% today. Secondly, we are working on reducing our carbon footprint. For example, we have the first self-sustaining factory in Brazil, which generates surplus energy through photovoltaic panels. Lastly, we are focusing on upgrading our national vehicle fleet. Currently, we have nearly 300 internal vehicles, and we are in the process of modernizing this fleet. This effort will enhance our environmental sustainability and contribute to a more responsible approach to mining operations. What are your goals for the upcoming year?

Our strategic planning spans five years. We recently completed a cycle ending in 2022, which saw us increase our market share from 35% to nearly 75%. This leading position brings both opportunities and challenges. We have made substantial investments, including opening Brazil’s largest explosives factory in Goiás, which was chosen for its strategic location in the center of the country, close to many mining projects. We have also invested in automating processes in our factories. Our future goals include continuing to expand our presence and capabilities in the sector while maintaining a strong focus on safety, innovation and efficiency.