BP scraps GAB exploration project BP has decided not to proceed with its exploration drilling programme in the Great Australian Bight (GAB), offshore South Australia. Image credit: www.bp.com Claire Fitzpatrick, BP’s managing director for exploration and production, Australia, said that after careful consideration the company concluded that the GAB project “will not be able to compete for capital investment” with other upstream opportunities in its global portfolio in the foreseeable future. “We have looked long and hard at our exploration plans for the Great Australian Bight but, in the current external environment, we will only pursue frontier exploration opportunities if they are competitive and aligned to our strategic goals,” Mr Fitzpatrick said. “After extensive and careful consideration, this has proven not to be the case for our project to explore in the Bight.” The decision comes after BP conducted a thorough review of its upstream strategy earlier this year, which found that the company would be better off to focus its exploration efforts on opportunities likely to create value in the near to medium term, primarily building on its significant existing upstream positions. “This decision isn’t a result of a change in our view of the prospectivity of the region, nor of the ongoing regulatory process run by the independent regulator NOPSEMA. It is an outcome of our strategy and the relative competitiveness of this project in our portfolio,” Mr Fitzpatrick added. He said BP has already communicated its decision to the federal and state governments. “This decision has been incredibly difficult and we acknowledge it will be felt across the South Australia region. We have made significant progress with preparations for drilling in the Bight with the support of communities and federal, state and local governments,” he said. “We acknowledge our commitments and obligations and our priority now is to work with government and community stakeholders to identify alternative ways of honouring these.” BP has also informed its joint venture partner, Statoil that it will not be proceeding with exploration drilling, adding that the company “fully understand BP’s change in strategic direction and accept BP’s decision”. “BP is a long-term, significant investor in Australia, most visibly through our retail network and refinery and also as partners in the North West Shelf and Browse ventures,” Mr Fitzpatrick continued. ”We expect to continue to consider further opportunities to invest and grow our business here.” Australian Manufacturing

TerraCom to build 60Mw solar power station at Blair Athol coal mine TerraCom Limited has unveiled plans to construct a 60Mw solar power station on rehabilitated land at the Blair Athol coal mine which has historically produced a high quality thermal coal for over 100 years. Image credit: http://ift.tt/yftkXj by dan The company, which recently acquired the mine via its wholly owned subsidiary Orion Mining, is planning to construct the station on a 50 hectare site while bringing the mine back into production. The mine is expected to restart operations in the 4th quarter 2016 with a production capacity of 2Mtpa of coal. Terra Com Chairman Cameron McRae said the Quantum Group from Singapore will work with GHD in Queensland to initially plan the solar power system. “TerraCom is keen to play a role in helping the Government deliver on its renewable energy targets. Blair Athol is well placed to achieve this due to its close proximity to the electricity grid,” Mr McRae noted. “The Quantum Group are industry leaders in alternative energy generations and we are very pleased to announce that Queensland energy expert Mr John O’Brien shall lead the planning from GHD.” The Company is now awaiting Queensland Government approvals for the Blair Athol lease to be transferred from the current owners. Mr McRae said rehabilitation and mining operations will commence as soon as permission is granted. “The introduction of a Solar Power Station constructed on rehabilitated mine land will provide a long term future for Blair Athol as a solar hub which will mean Blair Athol will be again helping to power Queensland’s growth.” Australian Manufacturing

Austal Australia named finalist for the 2016 WA Industry and Export Awards The Export Council of Australia and West Australian Minister for Commerce, Michael Mischin have named Austal Australia as finalist for the 2016 WA Industry and Export Awards, recognising the company’s strong export success in the past year. Image credit: www.austal.comRNOV Al Mubshir (S11), the first High Speed Support Vessel (HSSV) designed and constructed by Austal Australia for the Royal Navy of Oman The company has been named a finalist in 3 separate Export Award categories, including the Manufacturing Exports Award, the Innovation Excellence Award and the Marketing and Design Award. Austal Chief Executive Officer David Singleton said the announcement was a well-deserved acknowledgement of Austal Australia’s continuing export success which saw the company deliver 5 new vessels from the West Australian shipyard over 2015/16, including 3 exports. “Over 75% of Austal’s global production is for export markets and our Australian shipyard continues to generate valuable new business that is creating jobs, developing skills and growing Australia’s sovereign shipbuilding capability,” Mr Singleton remarked. The news comes just days after Austal’s successful delivery of the RNOV Al Naasir (S12) – the second of two 72 metre High Speed Support Vessels (HSSV’s) built for the Royal Navy of Oman under a US$124.9 million design, construct and integrated logistics support contract. Australian Manufacturing

Lithium Australia begins pilot testing for continuous production of lithium carbonate Lithium Australia NL (LIT) has commenced piloting for continuous production of lithium carbonate under the second stage of its new test program at the Sileach pilot plant. Image credit: lithium-au.comium The Sydney plant is operated by ANSTO Minerals – a division of the Australian Nuclear Science and Technology Organisation. “The step-up to “continuous” lithium carbonate production commenced in the past 24 hours and followed the initial pilot scale extraction of lithium from pegmatite ore sourced from Lepidolite Hill located 15km south of Coolgardie in Western Australia,” LIT told the ASX on Tuesday. According to the Company’s Managing Director, Mr Adrian Griffin, the second stage of pilot testing involves the recovery of lithium carbonate and potassium salts from solutions generated during the previous plant test. “Pilot testing the Company’s 100% owned Sileach process at the ANSTO Minerals has been very successful to date, extracting over 95% of the lithium,” Mr Griffin remarked. “We anticipate very good results for the carbonate production step as the initial solutions are largely devoid of impurities.” The Sileach™ process is a hydrometallurgical process used for the recovery of lithium from spodumene, currently the primary source of hard-rock lithium production. The process is readily adaptable to other silicate minerals and has been developed to reduce cost of producing lithium chemicals from materials that have traditionally been roasted, with very high energy cost, to recover the lithium. Lithium Australia is a dedicated developer of disruptive lithium extraction technologies and has strategic alliances with a number of companies, potentially providing access to a diversified lithium mineral inventory. Australian Manufacturing

Construction begins on $400m lithium processing facility in Kwinana Construction has begun on a new lithium processing plant in Kwinana with a processing capacity of 24,000 tonnes per year of lithium hydroxide. Image credit: http://ift.tt/2dCSCuC The plant, a $400 million investment from China’s Tianqi Lithium, will source ore from the Greenbushes mine in southwestern Australia – jointly owned by Tianqi and Albemarle Corp – and will increase the company’s processing capacity by as much as 50%. WA Premier Colin Barnett said the project was “a major development for Western Australia”, that will boost the local economy and create hundreds of jobs during the construction phase. “More than 115 employees will be needed once the project becomes operational toward the end of 2018,” Mr Barnett added. “The project will also generate benefits for the South-West of the State, with production likely to double at the Greenbushes mine, near Bunbury, to supply the Kwinana plant.” State Development Minister Bill Marmion said the Liberal National Government has helped secure the investment for WA by working alongside Tianqi’s Australian subsidiary, Talison Lithium, which operates the Greenbushes mine. “A concerted effort was made to ensure a suitable site and cross-government approvals were secured, in order for a timely investment decision to be made,” Mr Marmion said. “This is an important manufacturing project which adds value to natural resources development in Western Australia and increases our capacity to produce higher value products.” Lands Minister Terry Redman said the Chinese company had recently finalised a lease with LandCorp for up to 49 years, over a 20-hectare site within the Western Trade Coast. “The proximity to vital infrastructure and support services and the port and skilled labour provided by the Western Trade Coast, were significant factors in the State’s success in attracting this project,” Mr Redman said. Australian Manufacturing

GE set to acquire LM Wind Power GE has launched a $1.65 billion offer to acquire LM Wind Power, a Denmark-based manufacturer and supplier of rotor blades to the wind industry, in an effort to capture more value in the fast growing renewables industry. Image: http://twitter.com/generalelectric LM is one of the biggest manufacturers of wind turbine blades in the world, and a supplier not only to GE’s renewables business, but to rivals Gamesa and Goldwind as well. Jérôme Pécresse, President and CEO of GE Renewable Energy said the deal in-sources wind turbine blade design and manufacturing for GE’s Renewable Energy business, improving its ability to increase energy output and create value for onshore and offshore customers. ”We, along with LM Wind Power, have a deep pipeline of technical innovations that can further reduce the cost of electricity. With our combined global footprint, we can build flexible solutions for customers around the world. This combination will help sustain growth in the wind power industry,” Mr Pécresse said. “The acquisition of LM Wind Power, a leading supplier to the wind industry, will help us deliver on that goal. Simply stated, we’ll be more local, have more flexibility and knowledge in turbine design and supply, and more ability to innovate and reduce product costs, while improving turbine performance. We will also develop enhanced digital and services capabilities.” Marc de Jong, CEO of LM Wind Power, said the deal will combine the speed and focus of LM’s entrepreneurial culture with GE’s world-class engineering and operational capabilities. “Our two organisations are highly complementary and the transaction positions us well to respond faster to customer needs and enhance performance of wind turbines to ultimately reduce the cost of energy,” he said. “We look forward to working closely with the GE Renewable Energy team to accelerate our growth strategy and continue to deliver greater value to all our customers.” LM, which will continue to operate as a standalone unit within GE Renewable Energy once the transaction is completed, has 13 factories located on four continents in 8 countries including Denmark, Spain, Poland, Canada, USA, India, China and Brazil. The company will also retain its existing management team and be headquartered in Denmark, where it maintains a global technology centre. “LM Wind Power has a terrific team, with a strong passion for their mission to power a cleaner world. Their values of customer-focus, teamwork, trust, and ownership are harmonious with our own values. I’m very optimistic that together we will help shape the future of energy,” Mr Pécresse concluded. The transaction – subject to customary regulatory and governmental approvals – is expected to close in the first half of 2017. Australian Manufacturing

Iveco to distribute International Trucks in Australia CNH Industrial and Navistar Inc yesterday released a joint statement, confirming that Iveco has been appointed sole distributor of International Trucks in the Australian market. Image credit: www.iveco.com.au The announcement put to rest speculation about the future distributor of International Trucks, after initial plans were outlined by Navistar Inc. at the 2015 Brisbane Truck Show. While the specifics of the agreement are yet to be ironed out, it is clear that International trucks brand will now return to the location where thousands of international commercial vehicles were produced or assembled from 1952-2001. CNH Industrial Executive Managing Director for Australia and New Zealand, Ray Osgood, said he was “extremely pleased” to have finally struck a deal with Navistar Inc. for the distribution rights after 18 months of negotiations. “International has an incredible heritage in Australia, dominating the commercial vehicle market for several decades – there remains a lot of passion for the brand here today, and it still has a lot of equity in this market,” Mr Osgood said. “CNH Industrial is extremely excited at the prospect of partnering with Navistar in reintroducing the iconic International Trucks brand to Australia. Our operational experience within Iveco and the obvious synergies and history between the two brands will provide notable efficiencies as the International range is introduced in the months ahead.” Navistar Senior Vice President, Distribution & Export, Mark Belisle, said the company carefully considered the best course of action for the return of International Trucks to Australia. “Despite not having sold here for a number of years, ‘INTER’ is still entrenched in the psyche of the Australian market and remembered fondly by fleet operators. This enthusiasm for the marque was also highlighted at the 2015 Brisbane Truck Show with both the ProStar and LoneStar display trucks capturing the imagination of show-goers,” Mr Belisle said. “Of course the return of a brand to Australia that is so well regarded, deserved a detailed plan befitting of its standing here, and that meant establishing an association with a company that was well equipped to assist in effectively re-launching in the local market. In Iveco we’ve identified the necessary credentials and industry experience to help meet our goals. The close history between Iveco and International is not lost on us either; it adds an element of emotion to the agreement.” Australian Manufacturing

Toyota calls back 300 Prius vehicles in Australia Toyota Australia is recalling approximately 300 current generation Prius vehicles manufactured between August 2015 and October 2016 due to “potential issue with the parking brake cable”. Image credit: www.toyota.com “The impacted vehicles are equipped with a manual parking brake system that is operated by a foot pedal. When the foot pedal is operated, a connecting cable applies the rear brakes,” the company said in a statement. “There is a possibility that during normal operation of the vehicle, the parking brake cable may disengage, causing the parking brake to become ineffective. If this happens and the transmission is left in any gear other than ‘park’ while the ignition is on, the vehicle could roll away. To rectify this condition, parking brake cable clips will be installed on all impacted vehicles.” Toyota Australia said the parts are expected to arrive at dealerships later this month, after which impacted owners will receive a letter to inform them to make an appointment at their preferred Toyota dealer. According to the company, the repair, which will take approximately 30 minutes, will be carried out free of charge. Australian Manufacturing

ASC to be split into three Government-owned companies The Federal Government has announced that it will split Adelaide-based shipbuilder ASC into three individual, Government-owned companies. Image credit: www.asc.com.aus According to the statement, the formal separation of ASC into shipbuilding, submarine sustainment and infrastructure companies will ensure optimal support for the future needs of Australia’s future shipbuilding capability. The move follows a strategic review of ASC, which sought to identify the best possible corporate, capital and governance arrangements to help maximise the future success of ASC and the Australian naval shipbuilding industry. The Department of Defence Ministers said the procedure to split ASC into three new companies will begin immediately and will be completed next year. “These changes will have no impact on ASC employees’ current terms and conditions and will provide the right structure for the growth of the workforce as a result of major infrastructure investment and the construction of Offshore Patrol Vessels, Future Frigates and Future Submarines,” reads the statement. The Management of ASC has welcomed the announcement, saying the company had effectively been operating separate submarine and shipbuilding businesses for the last two years. “This operating model has enabled each business to focus its attention and allocate resources to deliver on their programs and pursue opportunities for future work. It has been a major contributing factor in the company’s turnaround in the Collins Class submarine and Hobart Class air warfare destroyer programs,” said ASC Chairman Bruce Carter. He said the separation will have no bearing on ASC’s involvement in its current programs. “The separation of ASC into three businesses will ensure that the company is best- placed to support the future needs of Australia’s naval industry,” Mr Carter added. “The last two years has seen a remarkable turnaround in Collins Class submarine availability and the Hobart Class air warfare destroyer program is now meeting its schedule milestones and we expect our improved productivity to continue.” Australian Manufacturing

Glencore restarts Collinsville Coal Mine, begins recruitment process Glencore is set to recommence operations at its Collinsville Coal Mine near Bowen in a move that is expected to provide employment for up to 200 Queenslanders. Image credit: www.glencore.com.au The company, which already kickstarted a recruitment process to fill the positions, said the decision was influenced by increased demand from South-East Asia for the specific type of coal produced by Collinsville. “Our Collinsville mine has made material progress in increasing operational efficiencies and reducing costs in the current market and the decision to return to production is positive news for the local community and the wider region,” said Tony Galvin, head of Glencore’s open cut coal business in Queensland. Glencore cut production in December 2015 due to declining thermal coal prices. Subsequently, the company reduced the 230-strong workforce by 180, 140 of whom were redeployed to other Glencore operations. “This year there has been a focus on rehabilitation work and management of mine water,” the company said in a press release. “We have also continued to support a number of community initiatives, including the funding of a revitalisation master plan that aims to increase tourism in Collinsville and surrounding areas.” Premier Annastacia Palaszczuk has welcomed the announcement that one of Queensland’s oldest coal mines at Collinsville is restarting production and hiring again. “This is yet another piece of positive news for the north and ongoing evidence of green shoots appearing in the resources sector,” the Premier stated. “It’s been encouraging to see these green shoots appearing over the past few months showing in both global prices and within the industry itself in Queensland.” Australian Manufacturing

Bosch Australia showcases highly automated driving (HAD) capabilities at ITS World Congress in Melbourne Bosch Australia has demonstrated and road tested its Australian engineered automated vehicle at the Intelligent Transport Systems (ITS) World Congress, which is being held in Melbourne this week. Image credit: www.bosch.com.au The company’s vehicle was driven on a closed Albert Park circuit on Sunday during the ITS World Congress Media Day, with demonstration to continue over the duration of the Congress. The vehicle has the ability to communicate with other vehicles and to automatically act on behalf of the driver based on projected danger such as road-works, sudden changes in traffic conditions and unexpected obstacles. Bosch will also demonstrate connectivity between its vehicle and a Ducati motorcycle at Albert Park, a feat that could prove key to protecting vulnerable road users such as motorcyclists. According to the company, the vehicle also includes advanced human machine interface (HMI) technology that can adjust vehicle settings and monitor for driver distractions. Bosch Australia’s automated driving program has been supported with a $1.2 million investment by the Victorian Government via the Transport Accident Commission (TAC). Bosch Australia President Gavin Smith, who is speaking as keynote at the ITS World Congress, said the advancement of highly automated driving will significantly reduce the number of accidents on the roads while also delivering a myriad of other benefits. “More than 90 per cent of all crashes are caused by human error, by increasing automation in vehicles, we can have a profound impact,” Mr Smith said. The information gathered from the trials will be used to inform the development of regulations and infrastructure to enable similar self-driving cars to operate on Australian roads when they become commercially available in the future. “Projects such as these are not just vital for the advancement of road safety but also for the further development of technical expertise and capability of Bosch Australia engineers,” Mr Smith added. “More than 45 Bosch Australia engineers worked on the car in the last year and we are extremely proud of what they have achieved.” As of 2017, cars will be fitted with systems such as “integrated highway assist,” which allows a car to travel at speed on the highway, while remaining in its lane. “In 2018, this will be augmented with a “highway assist” system that allows the car to change lanes by itself. Both systems still require a human driver to monitor the road,” Bosch Australia said in a press release. According to the company, by 2020 cars will be equipped with a “highway pilot” that can essentially take over all driving tasks, with only a sporadic human intervention needed at times. By 2025, Bosch expects all vehicles to be fitted with “auto pilot” system that can drive a car from point A to point B without any human involvement. “Although we cannot say precisely when the tipping point for highly automated driving will be, we are certain the future of mobility will be connected, electrified and automated,” Mr Smith concluded. Australian Manufacturing

Samsung discontinues Galaxy Note7 production Numerous reports have emerged that Samsung has decided to end production of the Galaxy Note7, just hours after asking retailers to stop sales and exchanges of the smartphone. Image credit: http://ift.tt/2e7rxft “We remain committed to working diligently with appropriate regulatory authorities to take all necessary steps to resolve the situation,” the company in a statement, before deciding to discontinue production altogether. “Consumers with either an original Galaxy Note7 or replacement Galaxy Note7 device should power down and stop using the device and take advantage of the remedies available.” The move comes after the company received dozens of reports of batteries catching fire and exploding, and after it failed to rectify the problem with the issue of replacement phones, which also malfunctioned. The Galaxy Note7 was intended to be Samsung’s flagship smartphone, one that would dethrone Apple’s iPhone as the best smartphone on the market. Samsung has yet to make an announcement regarding its plans with existing Galaxy Note7 phones that are in use and how it intends to deal with customers with pending orders. Australian Manufacturing

Australia Pacific LNG announces start of operations from second train Australia Pacific LNG has announced the start of production from the second train at its Curtis Island facility near Gladstone. Image credit: www.aplng.com.au The company, which began LNG production from its first train in December 2015, confirmed that it had produced 150,000 cubic metres of LNG, equivalent to the volume required to fill an LNG ship Australia Pacific LNG CEO, Page Maxson, said the start of operations from the second train marks the final major construction milestone on the company’s journey to becoming one of Australia’s leading domestic and international energy supplier. “The second train is up and running, enabling our LNG Facility on Curtis Island to deliver commercial quantities of LNG at sustained output from both trains. With our strong reserves position we are looking forward to working with our key customers here in Australia and overseas to help meet their energy needs today and in the decades ahead,” Mr Maxson said. “As the largest producer of natural gas in eastern Australia, we are underpinned by a world-class coal seam gas resources position. We currently provide approximately 25 per cent of domestic gas to the east coast market, with sufficient reserves to meet both LNG and domestic demand.” The commencement of train two operations means that approximately 200TJ/day of equity gas that was previously directed to the QGC sales contract will become available to Australia. Minister for Resources and Northern Australia Matt Canavan has welcomed the announcement, saying it was an important boost to Australia’s export capacity. “It will also deliver a sustained and reliable energy source to domestic and key international markets like Japan and China,” the Minister added. “As the third Queensland LNG project to begin production from a second train, the $25 billion APLNG project demonstrates the extent to which the Australian resources sector underpins the national economy and drives growth.” APPEA Chief Executive Dr Malcolm Roberts has also congratulated Australia Pacific LNG and its employees and on “delivering a first class world project professionally and safely”. “Six trains are now fully operational on Curtis Island off Gladstone following unprecedented investment in world-first projects that are exporting a cleaner energy source to the world,” Mr Roberts noted. “They form part of a bigger $200 billion investment in new LNG projects which will soon see Australia become the world’s leading exporter of LNG.” Australian Manufacturing

Queensland cuts red tape to progress Adani mine project The Queensland state government has set out to accelerate the development of the $21.7 billion Carmichael coal and rail project by renewing and expanding the project’s special “prescribed project” status to include its water infrastructure. Image credit: http://ift.tt/2d3ez5i State Development Minister Dr Anthony Lynham said the combined mine, rail and associated water infrastructure have all been declared critical infrastructure – the first time this has happened in seven years. He said the declaration, which was based on advice from the independent Coordinator-General, means less red tape for the project and the jobs and business opportunities it offered. “This step bundles together major elements of the project for the first time – the mine, the 389 kilometre rail line, and the water infrastructure, including a pipeline, pumping stations and a dam upgrade,” the Minister explained. “It makes it more efficient to establish easements for infrastructure like the water pipeline and the rail, and expands the Coordinator-General’s power to ensure timely approvals.” He said the Palaszczuk Government has gone to great lengths to accelerate the development of the project, as illustrated by the 22 key Commonwealth, State and local government approvals granted for Adani’s mine, rail and port facilities. “Adani has now obtained all the necessary primary approvals for its mine, rail and port project— and most importantly, I have granted the mining leases,” the Minister added. “At a state level, the only key approvals remaining are water licenses and Adani is actively working on those with my Department of Natural Resources and Mines. I know that regional communities particularly will welcome the advice from Adani that construction of the project is set to begin in 2017.” He also pointed out that the progress on the project had been achieved while protecting the Great Barrier Reef and meeting Queensland and Commonwealth environmental impact assessment requirements. Australian Manufacturing

South Australia to invest 10m in driverless car technology The South Australian state government will fork out $10 million worth of grants in an effort to boost testing and R&D of connected and autonomous vehicle technologies in the state. Image credit: www.arrb.com.au The initiative was launched by Transport and Infrastructure Minister Stephen Mullighan at the 23rd World Congress on Intelligent Transport Systems (ITS), which opened in Melbourne on Monday. Making the announcement, Mr Mullighan said the Government will invite companies, industry bodies, research institutions and other organisations to submit creative proposals focusing on autonomous vehicle testing and demonstrations, as well as on connected vehicle-to-vehicle and vehicle-to-infrastructure pilots and demonstrations. “Connected and autonomous vehicles can deliver huge benefits to South Australia – they have the capacity to reduce congestion, save lives and help people get around our community with more freedom,” the Minister said. “We need to know more about what changes are needed to our roads and our laws so that this technology can improve safety on the roads, improve mobility for people with disabilities and reduce congestion and emissions.” He said the initiative is inviting creative proposals that will accelerate the roll-out of these technologies on the state’s roads and open up new opportunities for South Australian businesses and its economy. “We already have world leading companies in this field. Cohda Wireless, SAGE Automation and Sydac are all based in South Australia and are some of our most impressive success stories,” the Minister added. “Transforming the South Australian economy depends on our ability to adopt new ways of doing things, using advanced technologies to build globally competitive, high-value firms and sustainable, well-paid jobs. It is estimated that the driverless vehicle industry will be worth $90 billion globally by 2030. Getting our State involved early will open up new opportunities for South Australian businesses and our economy.” The initiative builds on SA’s previous achievements in this field, which saw the state stage the first on-road trials in the Southern Hemisphere and host the first international driverless car conference in Australia. SA also introduced Australian-first legislation to allow for on-road trials of autonomous vehicles. According to Mr Mullighan, the state government will only fund experiments conducted within the state, with overseas-based partners encouraged to participate by partnering with local SA small to medium enterprises, universities and other organisations. Australian Manufacturing

Austal to deliver mid-life remediation program to the Royal Australian Navy’s ACPB fleet Austal Australia has been awarded a contract to deliver a mid-life remediation program for the Royal Australian Navy’s Armidale Class Patrol Boat (ACPB) fleet. Image credit: Austal The ACPB is a 56 metre all-aluminium monohull patrol boat. Austal is the original designer and builder of the Armidale Class; the company delivered 14 ACPBs from 2005 to 2007. According to the official announcement, starting this month, the company will undertake a number of hull remediation and configuration changes as well as planned and corrective maintenance work on up to seven (7) ACPB’s at its Henderson, Western Australia shipyard. “As the original designer and builder of the Armidale Class, Austal is in an ideal position to deliver this important, mid-life enhancement work to a proven naval platform. Our inherent knowledge base and practical experience building and servicing the hard working Armidale fleet will ensure the vessels depart Austal in 2017 as a fully operational and effective capability,” said Austal Chief Executive Officer David Singleton. “This order is indeed timely for Austal and ensures that key skills in naval shipbuilding and repair are maintained in Henderson during the lead up to the placement of the Offshore Patrol Vessel contract. Once again, by winning this competitively bid contract, we have demonstrated that Australian shipbuilding can be internationally competitive.” Australian Manufacturing

Volkswagen to replace conventional freighters with LNG-powered vessels for marine transport of vehicles The Volkswagen Group has decided the use environmentally friendly transportation for its vehicles in an effort to improve the environmental balance of its marine transport fleet. Image credit: www.volkswagenag.com As of 2019, the Group will transport its vehicles with two LNG-powered Siem Car Carriers vessels on routes between Europe and North America. Additionally, the carmaker also revealed that it intends to transfer vehicle and material transport in Europe increasingly from trucks to lower-emission means of transport such as ships in the future. “The Volkswagen Group is shouldering its responsibility for the environment. This not only applies to our cars but also to our production and logistics. We are pooling all our efforts to improve environmental compatibility in Logistics under the term Green Logistics,” said Wolfram Thomas, Head of Group Production. “By commissioning the two LNG-powered freighters for the route between Europe and North America, Volkswagen Group Logistics is forging ahead with environmentally compatible, resource-efficient transport.“ The two LNG-powered vessels have a capacity to carry about 4,500 vehicles, which is comparable to conventional transatlantic freighters. Both ships will be equipped with a 12,600 kW engine developed by MAN Diesel & Turbo. Thomas Zernechel, Head of Group Logistics, said the move will reduce emissions per ship and year by up to 25% in the case of CO2, up to 30% in the case of NOx, and up to 60% in the case of particulate matters (PM). SOx emissions will be cut by as much as 100%. According to him, the use of a dual-fuel marine engine with direct injection and exhaust gas treatment will also help reduce emissions. “Compared with other means of transport, marine shipping is one of the most efficient possibilities. Volkswagen Group Logistics already transports half of the vehicles produced by sea. We are continuously working on the optimization of our marine transport systems. The chartered vessels on which a decision has already been taken are the first milestone.” Mr Zernechel added. “The possibility of changing other vehicle transport vessels chartered by Volkswagen over to LNG operation will depend on the availability of the necessary infrastructure. Apart from LNG as an alternative fuel, we are also working on other projects which will continuously make our logistics processes more environmentally compatible.” Australian Manufacturing

End of an era: Ford shuts down Broadmeadows and Geelong plants The last Aussie-made Ford vehicle has rolled off the production line in Broadmeadows on Friday, signaling the beginning of the end of carmaking in Australia. Image credit: Ford Australia Facebook page Ford has officially closed its factories in Geelong and Broadmeadows after 91 years of manufacturing, leaving a total of 600 employees out of work. The Premier of Victoria, Mr Daniel Andrews, labeled Ford’s deprture as “a very sad and difficult day for workers”, many of whom have spent their entire working lives at Ford. “Our thoughts are with them, their families and the many others in Ford’s supply chain who will also be affected by the closure,” Mr Andrews said. “Labor Governments have always supported automotive manufacturing in Victoria and we are doing all we can to help workers, businesses, and communities through this very difficult period.” He said it was “absolutely paramount” that all levels of government work together to help workers and businesses during the difficult transition. “The Andrews Labor Government is providing $46.5 million of targeted assistance, including programs and training for auto workers, businesses and local communities hardest hit,” the Premier added. “The experience of Ford employees will provide a valuable benchmark for all other workers such as those at Holden, Toyota and supply chain companies as they make a similar transition.” Despite pulling the plug on all manufacturing operations, Ford will remain present in the country through its Asia-Pacific Product Development Centre which will be located at its Broadmeadows headquarters. “Ford will continue to employ approximately 1,500 people in Victoria and will retain its Asia-Pacific Product Development Centre and parts warehouse at Broadmeadows, its Research and Development Centre at Geelong, and its proving ground at Lara,” Mr Andrews concluded. Australian Manufacturing

Holden ends Cruze production in Australia Australia’s last locally-built Holden Cruze rolled off the assembly line at the Elizabeth assembly plant in South Australia, as Holden winds down its operation ahead of its announced closure next year. Image credit: media.gm.com The company’s Chairman and Managing Director Mark Bernhard thanked Holden’s employees for their contribution towards designing and launching building Australia’s locally-made small car. “Those who were involved in the Cruze project have a strong, and deserved, sense of pride at what was achieved in terms of project development, management, engineering, design and, of course, production,” Mr Bernard said. “Holden’s business is changing and we are building a bright future, but it is equally important to recognise and honour our people and our heritage. We’re incredibly proud of our manufacturing history and our legacy; I want to thank every Holden employee, and all those people in the supply chain, for their personal contribution to our industry and our company.0 Holden has donated the final Cruze hatch and final sedan to its long-time charity partner, the Leukaemia Foundation, which will raffle the cars to fundraise for patient transport services and The end of Cruze production marks the end of employment for around 270 Holden employees, who will leave the business by the end of November on a voluntary basis. Holden said each employee has been given “access to a suite of transition services” and up to $3000 in approved training as part of the company’s $15 million contribution to the government’s Growth Fund which was established to assist those affected by the end of local car manufacturing. Holden will continue to build the world-class Commodore at Elizabeth until late 2017, after which it will shut down all manufacturing operations but will retain its sales and marketing operations, spare parts organisation, world-class design studios and an ongoing engineering department. Australian Manufacturing

ACCC releases statement of issues on competing proposals for Glencore’s coal haulage network The Australian Competition and Consumer Commission (ACCC) announced that it will be seeking public submission on the proposals from Aurizon and Pacific National to acquire Glencore’s GRail coal haulage network in the Hunter Valley. Image credit: accc.gov.au The two proposals came after Glencore announced that it is putting up its coal haulage business for sale as part of its debt reduction plan. The ACCC has released a combined statement of issues on the alternative proposals in an effort to assess the proposals against the alternative scenario of a new player entering the market by acquiring GRail. “The Hunter Valley coal haulage market appears to have high barriers to entry, so we would expect the addition of a third competitor to have a significant effect upon the market. This has been supported by market feedback. In contrast, an acquisition by Aurizon or Pacific National would essentially be a continuation of the status quo where there are two active players in the Hunter Valley coal haulage market,” ACCC Chairman Rod Sims said. “Aurizon and Pacific National were both sponsored into each other’s coal haulage markets in Queensland and New South Wales and there has been little or no new entry before or since. There are some examples of coal producers acquiring their own rolling stock, but Glencore Coal is the only Hunter Valley coal producer to have done so for a majority of its coal haulage requirements.” The consumer watchdog invited responses to the statement by 21 October 2016, setting a provisional date for a final decision on 15 December 2016. “Glencore is now selling that rolling stock along with a long-term haulage contract. Coupled with the fact that Glencore Coal is the largest coal producer in the Hunter Valley, this is a platform for entry that is unlikely to be replicated in the foreseeable future,” Mr Sims added. “However, the ACCC also recognises that coal producers are generally well-resourced, sophisticated parties that may be able to protect their own interests, even if Aurizon or Pacific National acquires GRail. We are going to be exploring their ability to leverage competition between Aurizon and Pacific National or to bypass both haulage providers by acquiring their own rolling stock or by sponsoring new entry.” Australian Manufacturing

Versatile robo reef protector to safeguard the Great Barrier Reef The Great Barrier Reef Foundation has joined forces with QUT roboticists Drs Matthew Dunbabin and Feras Dayoub to enter the COTSbot into Google’s Impact Challenge, which helps not-for-profit organisations develop technologies that can help address the world’s biggest social challenges. The COTSbotImage credit: wiki.qut.edu.au The COTSbot is an autonomous underwater vehicle that was designed to increase the efficiency of Crown-Of-Thorns Starfish (COTS) eradication. The primary task of the COTSbot is to autonomously navigate within complex reef environments and automatically detect COTS on the coral and administer an injection. The Foundation – which has been named as one of 10 finalists and is now in the running for one of four $750,000 grants – said a positive outcome of the challenge will see the team focus its efforts on transforming the COTSbot into RangerBot, a low-cost, vision enabled autonomous underwater vehicle for monitoring a wide range of issues facing coral reefs. “This project is about giving those looking after our coral reefs the tools they need to protect these precious resources,” the Foundation’s Managing Director, Anna Marsden, said. “More than a billion people depend on reefs for their food and livelihood – they stand to lose the most if those important ecosystems are destroyed. We want to put the cost-effective, flexible RangerBot into the hands of the people at the front line of looking after and managing coral reefs, as extra ‘hands and eyes’ to manage those critical environments.” The 10 finalists will present their projects to a panel of judges on Wednesday October 26. They will be assessed on their impact, technology and innovation, scalability and feasibility. “Environmental robotics is a real passion of ours and we see so much potential for these advanced technologies to transform the way we protect our world’s precious reefs,” said Dr Dunbabin, from QUT’s Institute for Future Environments and Science and Engineering Faculty. “A $750,000 prize would allow us to expand our current platform’s functionality into a truly multipurpose, multifunction tool for monitoring a wide range of issues facing coral reefs – coral bleaching, water quality, pest species, pollution and siltation included. It will stay under the water almost three times longer than a human diver, gather vastly more data, and operate in all conditions and all times of the day or night.” According to him, the RangerBot could also assist in mapping expansive underwater areas using innovative vision-based technologies. “This represents a quantum technology leap in both marine robotics and reef protection – the only autonomous, affordable, multifunction solution for effectively detecting and addressing threats to coral reefs, making RangerBot widely available and accessible to reef communities worldwide,” he added. “I guess you could call RangerBot the Swiss Army Knife of marine robotics.” Ms Marsden said the RangerBot could play a key role in maintaining the health of the Great Barrier Reef, which has lost half its coral cover over the past 30 years. “Even though the Great Barrier Reef is internationally acknowledged as the best managed reef globally, due to its size and complexity, effective management is a mammoth and expensive task,” she said. “RangerBot has the potential to revolutionise the way we manage our oceans and may be a missing piece in the puzzle to save our precious reefs.” Australian Manufacturing

Imagine IM & Austeng take home AEEA Victoria Innovation Award Geelong’s premier engineering company, Austeng and Australia’s leading graphene commercialisation company, Imagine IM were jointly honoured at the Australian Engineering Excellence Awards, Victoria. Image credit: www.austeng.net.au The two companies have won the award for Innovation, Research and Development for the development of the first commercial graphene plant in Australia, which is located in Geelong. Austeng’s Managing Director Ross George accepted the award on behalf of the two companies. “This award highlights that local manufacturing can transition into high value-add, advancing technology given the right circumstances. Austeng thanks Imagine IM for the confidence shown in Austeng,” Mr George said. “Imagine IM has very much shown the way forward by recognizing and embracing this new technology collaborating with universities on research, joining with local engineering/manufacturing and bringing on board a launch customer. This collaborative model has enabled Australia to take its place as a world leader in commercialisation of graphene.” Phil Aitchison, Head of R&D and Operations at Imagine IM said the award recognises the importance of graphene to advanced manufacturing in Australia. “Our innovative ideas and drive to bring graphene to the market are showing that Australia can be a world leader in manufacturing,” Mr Aitchison. “Graphene is a platform technology and Imagine and Austeng have taken graphene out of the laboratory and into commercial application. We shall continue to advance our roadmap for large scale industrial uses of graphene for sensing and in smart materials.” Entries were judged on several different criteria, including the contribution of the work to the economy, the impact of the work on the quality of life of the relevant communities, the significance of the work as a benchmark of Australian engineering, the extent to which the work represents world best practise. The Geelong plant will have a production output of up to 10 tonnes per year. The first product to be made in the plant is imgne(R) X3, a conductive coating for geotextiles which enables low cost and environmentally friendly leak detection in dam and landfill liners. The product has already been subjected to field trials and will be commercially released by Geofabrics Australasia. Australian Manufacturing

Quickstep achieves record manufacturing output for JSF program Quickstep has set a monthly record for the manufacture of parts for the F-35 Lightning II Joint Strike Fighter Program (JSF). Image credit: http://ift.tt/23mddD6 The company, which manufacturers advanced carbon fibre composites, announced that manufacturing output for the JSF program exceeded a rate of 100 parts per month for the first time in September 2016, with 108 parts made. “Quickstep’s Aerospace Manufacturing business has continued to increase scale, and has exceeded the JSF 100 part milestone earlier than anticipated. This compares with 590 parts completed during the previous financial year,” said Quickstep’s CEO and Managing Director, Mr David Marino. “We are now well-positioned and have confirmed our capacity and capability to meet further JSF ramp-up. This performance has led to increased orders with our current customers, proving Quickstep’s ability to deliver additional contract volume.” The company successfully delivered 256 parts during the September quarter and is confident it will be able to meet the continuing ramp up for the JSF program. “The Aerospace Manufacturing business will complete further capital works in calendar 2016 to increase capacity for the planned growth, supporting improved production efficiencies,” it said in a press release. “Capital works to date have enabled the passing of the 100 parts per month milestone ahead of schedule.” Quickstep is Northrop Grumman’s the principal supplier for 21 JSF components including doors, panels, skins and other composite parts, and also the supplier of JSF vertical tail components for BAE Systems and Marand Precision Engineering. Australian Manufacturing

Stratasys accepts entries for the 2017 Extreme Redesign 3D Printing Challenge Stratasys has officially launched the 13th Annual Extreme Redesign 3D Printing Challenge with a formal call for entries. Image credit: mms.businesswire.com According to the 3D printing giant, this year’s challenge is fully supported by the power of GrabCAD – the market’s premier digital manufacturing hub – helping designers and engineers to build products faster by linking people, content and technology. The challenge invites scholars across a range of disciplines, including engineering, design, and art, jewellery and architecture, to create an original piece – or redesign an existing work – leveraging the power of 3D printing. Individuals or design teams are asked to create entries using 3D CAD software, sign up for a free GrabCAD Community account, and then submit files in STL format through the GrabCAD Challenge platform – along with a description highlighting the design’s value and benefit. The contest requires all designs to be mechanically sound, realistic and achievable, with entries to be judged based on mechanical design, design creativity, product usefulness, aesthetics (art, jewellery and architecture category) and compelling description. Stratasys has awarded more than $140,000 in scholarships since the annual Extreme Redesign 3D Printing Challenge started 13 years ago. According to the company, this year’s event will see first-place winners in every category receive $2,500 scholarships. Second place winners will receive $1,000 scholarships, with the top 10 submissions in each category to earn a Stratasys apparel item (value up to $50) and a 3D printed model of their design. Additionally, all teams and individuals will receive an official Extreme Redesign T-Shirt. “Critical to this year’s event is the support of GrabCAD – consistently making life easier for product designers, engineers, students, and manufacturing professionals. Since 2010, millions of engineers have made the GrabCAD Community their own by sharing CAD files and design tips, participating in design challenges, or downloading free CAD models to avoid starting from scratch. Over the years, GrabCAD has hosted 100s of engineering and design challenges with companies such as GE, NASA, and Microtechnologies, as well as Stratasys Education, Stratasys Medical and MakerBot,” the company said in a statement. “For the second year running, the National Coalition of Advanced Technology Centres (NCATC) is also bestowing a $1,000 scholarship to a winning entry in the post-secondary engineering category for an NCATC member school. NCATC is a network of higher education resources promoting use of technology applications to enhance economic and workforce development programs and services.” If you are interested in becoming part of this year’s exciting event, visit the Extreme Redesign Page on the Stratasys Website or go directly to GrabCAD. Australian Manufacturing

Hidden costs can hurt manufacturers moving production offshore, says law firm Cowell Clarke A growing number of Australian manufacturers are considering the option of moving their operations offshore in search of greater profits. Image credit: Cowell Clarke Facebook page Attracted by the considerably lower base production costs in underdeveloped countries, many Australian businesses opted to shift production offshore without properly assessing the risk involved. While the move has worked out handsomely for some, others didn’t have it easy. And according to commercial law firm Cowell Clarke, this is down to the ‘hidden costs’ that many manufacturers fail to anticipate. “Many local manufacturers have taken advantage of cheaper overseas production costs in the hunt for greater efficiencies and profits,” Cowell Clarke Chairman of Partners Brett Cowell said. “Done right, it can be a very astute move and help open up new sales networks into global markets. However, offshore manufacturing is not the silver bullet for every Australian operator under cost pressure.” He said the benefits of lower production costs can be easily offset by “a number of unexpected expenses”. “Difficulties in communication, blow-outs in set up costs, additional ‘political’ or administrative requirements and large minimum quantity demands can add significantly to the cost of offshore production,” Mr Cowell said. “Offshore manufacturing can also expose the company to greater IP theft risk and quality control inconsistencies. In some cases, when you crunch the numbers, the company may have been better off remaining on home soil.” The Adelaide-based law firm – which provides support to Australian companies operating in foreign counties through its membership in the global legal network, ALFA International – has produced a list of Top Ten Behaviours of Successful Offshore manufacturers based on experiences of its clients. Shop around “It pays to research the right partner that will deliver to your requirements, support your goals and protect your business interests. Don’t just default to the first manufacturer that shows interest,” Mr Cowell said. Seek out inbuilt expertise and experience “It your offshore partner manufactures products similar to your own, it will already have a level of inbuilt expertise and experience, implying fewer growing pains in adapting to your manufacturing requirements.” Retain tight quality checks “Hands-on checking of samples and products made by the manufacturer is important in determining if the quality meets your standards. In general, the greater level of control and interaction you need, the higher the cost is likely to be.” Social proof “Speak with other customers who use this manufacturer to find out what it’s like to work with them. Read as many reviews and recommendations as you can.” Protect your design and ideas “Patent, design and trademark registration is important, as is consideration over how you will protect any trade secrets. In any manufacturing contract, make sure that these are protected, as well as any IP developed as a result of working together.” Be aware of pricing inclusions and exclusions “Be across production of samples, including the cost, before proceeding with full run production. The cost implications of additional product refinements and minimum run quantities can erode margins.” Keep in close communication “You’ll need to work closely with your manufacturer for new stock orders, lead times, product quality issues and delivery. A comfortable two-way communication channel that is responsive and timely is vital.” Understand cost of time “Production lead times can make or break a business or product launch, impacting cash flows, customer relationships and reputation and giving competitors an edge. Be clear on best case and worst case scenarios and plan around this.” Contract the right business “Make sure that you are entering a contract with a proper foreign entity and you have measures in place to protect your interests. ’Off the shelf’ or ‘off the internet’ contracts are rarely the right choice.” Be prepared for problems “Product liability and warranty needs to be addressed in your contract via insurance policies. Indemnity provisions are common, so consult with an experienced lawyer to ensure that you get this right.” Australian Manufacturing

Toowoomba-based manufacturer wins $250,000 grant to develop medical device for people with swallowing disorder Medical devices manufacturer Bayro No. 1 has been awarded a $250,000 grant from the Palaszczuk Government’s Advance Queensland Ignite Ideas fund to accelerate the development of an innovative feeding device for people who have difficulty swallowing. Image credit: tp-graphics.com.au Announcing the grant award, Innovation Minister Leeanne Enoch said the device – named ‘RoseCup’ – could improve the quality of life of millions of people suffering from dysphagia. “More than one million Australians and an estimated 18 million Americans have dysphagia – or difficulty swallowing – due to stroke, brain injury, head or neck cancer, advancing age, and diseases such as Alzheimers and Parkinsons,” Ms Enoch noted. “Hospital admissions are costly and it can be terribly difficult for people to be fed through the stomach or nose, so there are very good social and economic reasons to scale up the production of RoseCup.” The RoseCup is a simple but ingenious device for people who cannot swallow solid food or drink safely and are at risk of dehydration, pneumonia, malnutrition and dying. Bayro’s Managing Director Dr Gabriel Roux, who designed the RoseCup, has spent years developing the device, working with caregivers, speech pathologists, nutritionists and local food and plastics manufacturers. “The only feeding options on the market for dysphagic patients are made from hard plastic and these don’t protect the airways sufficiently. They overlook the simple, intuitive way we all learned to feed – the principle of sucking before swallowing.” Dr Roux explained. “The cup’s unique flow and volume control as well as soft silicone spout makes swallowing safer for the patient and the job easier for the caregiver. I’m optimistic the RoseCup and the nutritious food range we’ve created (NutriTaste) will become part of best practice for feeding regimes in hospitals and aged-care facilities worldwide.” He said the grant money will be used to assist in undertaking market and research testing and to further develop the product. “The funding allows us to do things now instead of down the track, and help us to reinvest and expand the business in new areas. Initially, RoseCup NutriTaste will be rolled out in South East Queensland which has almost 300 residential aged care facilities, and then country-wide,” Dr Roux added. “We have also received significant international interest in the product range. Several international patents have already been awarded and we hope to export to both first and third-world countries around the globe.” The Advance Queensland Ignite Ideas program provides assistance for businesses with fewer than 200 staff that have a working prototype with enough features to support testing and further development. Australian Manufacturing

Victoria en route to become important electric vehicle hub Victorian Minister for Energy, Environment and Climate Change, Lily D’Ambrosio, has confirmed the first group of successful recipients of the Andrews Labor Government’s $20 million New Energy Job Fund grant. Image credit: www.seaauto.com.au According to the Minister, Victorian automotive technology company SEA Automotive is the recipient of one of the 24 grants that will be announced in the coming months. The company will receive $516,720 in funding under the Manufacturing category, and will use the finances to support its work producing electric powered commercial vehicles. The funding will finance the first stage of a commercial electric vehicle manufacturing facility, with a view to developing an innovative range of electric powered commercial vehicles. The initiative is expected to create around 80 high-skill jobs in the Geelong region over the next four years. Ms D’Ambrosio said the Labor Government registered a strong interest in the $20 million New Energy Jobs Fund with applicants providing ideas for clean energy projects that will position Victoria as a leader in new energy technologies. “This remarkable project will cement Victoria as an electric vehicle powerhouse,” the Minister added. “We’re proud to be rebuilding much needed confidence in the renewable energy industry while providing jobs for automotive assembly workers.” Member for Geelong Christine Couzens said the grant award was a welcome development for Geelong, considering the imminent Ford closure. “This is an extremely important announcement for the Geelong community and we welcome these new jobs, particularly in light of the upcoming Ford closure,” she said. New Energy Job Fund forms a key part of the Government’s $200 million Future Industries Fund that was established to support high growth, high value industries. Australian Manufacturing

Organovo sets out to develop 3D bioprinted liver for direct transplantation to patients 3D biology company Organovo Holdings, Inc. has unveiled plans to develop 3D bioprinted human liver tissue for direct transplantation to patients. Image credit: Organovo Facebook page According to the company, the program to develop this therapeutic tissue is based on the strong results in preclinical studies in animal models showing engraftment, vascularisation and sustained functionality of its bioprinted liver tissue, including stable detection of liver-specific proteins and metabolic enzymes. Organovo said it intends to develop clinical solutions in two initial areas. “First, acute-on-chronic liver failure (ACLF) is a recognised and distinct orphan disease entity encompassing an acute deterioration of liver function in patients with liver disease, which affects 150,000 patients annually in the United States,” the company said in a press release. “Second, paediatric metabolic liver diseases represent another orphan disease indication where a bioprinted liver tissue patch may show therapeutic benefits. The total addressable market opportunity for these initial indication areas exceeds $3 billion.” If the development progresses as expected, the company will submit an Investigational New Drug (IND) application to the US Food and Drug Administration (FDA) for its therapeutic liver tissue in three to five years. Organovo’s CEO Keith Murphy, who will be presenting bioprinted human liver at the 2016 Cell & Gene Meeting on the Mesa in La Jolla, California, said the company was excited to introduce an implantable bioprinted liver tissue as the first preclinical candidate in its therapeutic tissue portfolio. “The scientific and commercial progress we have already made with ExViveTM Human Liver Tissue in drug toxicity testing has given us a firm foundation upon which to build a larger tissue for transplant,” Mr Murphy said. “Advancing our first therapeutic tissue into preclinical development is an important milestone for Organovo, and it speaks to the power of our technology platform in addressing multiple applications, including preclinical safety, disease modelling and tissue replacement products for surgical implantation. We believe that 3D bioprinted tissues have an opportunity to provide options for patients who suffer from liver disorders.” Mr Eric Michael David, the Organovo’s chief strategy officer and executive vice president of preclinical development, said the company’s approach was tailored to overcome many of the challenges that cell therapies and conventional tissue engineering have struggled to address, including limited engraftment and significant migration of cells away from the liver. “In our preclinical studies, we deliver a patch of functional tissue directly to the liver, which integrates well, remains on the liver and maintains functionality. We believe our tissues have the potential to extend the lives of patients on liver transplant lists, or those who do not qualify for transplants due to other factors,” he said. Organovo is also conducting early research on other tissues for therapeutic use in direct surgical applications. Liver tissue has been prioritised as the Company’s first program for preclinical development, having ranked highly in an initial strategic assessment performed by Organovo considering technical feasibility, commercial opportunity, clinical, regulatory, and reimbursement factors. “Preclinical ‘proof-of-concept’ is currently being pursued in additional areas, building on the breadth of Organovo’s leading bioprinting expertise,” reads the press release. Australian Manufacturing

Victorian manufacturer raises small business export loan to accelerate international growth Victorian polyethylene pipe butt welding equipment manufacturer, Worldpoly, has successfully resolved one of the main issue facing Australian manufacturers when it comes to exporting. Image provided Financing their export opportunities has proved to be a stumbling block for many Australian businesses, who often lack the necessary means to fund such ventures because of the high costs involved in maintaining state-of-the-art machinery and purchasing the raw materials needed to meet large export orders. This means that small to medium sized manufacturers are often in need of funding support to meet international demand, which represents a problem in itself, as banks require levels of cash flow that many of them can’t meet. Worldpoly Managing Director and owner Rob Hall said the company had identified an opportunity to establish a new distributor in South Africa, but had been unable to draw funds from their bank due to the cash flow nature of extended terms to a foreign country. In their search for new source of finance, the company has turned to Efic – the Federal Government’s export credit agency – which provides Small Business Export Loans with flexible repayment terms. “Efic’s funding allowed us to send our machines to a new distributor in South Africa. The Small Business Export Loan from Efic made this sale possible, and has allowed us to facilitate more stock in South Africa,” Mr Hall said. “The online portal, EficDirect, was straightforward, easy and self-explanatory all the way through. It gave me a sufficient degree of predictability on the loan that I was able to commit myself to the sale in negotiations with the client. Once we started the online application we were able to save it and return to it. Then once it was submitted, we were able to track the application through to completion.” Marketing Manager Nikita Hall described the company’s dealings with Efic as “fantastic”. “Our experience with Efic from the start has been fantastic. There’s always been help available. The people have been very real, which is refreshing,” she said. “The key to Worldpoly’s success is our passion for the industry, and the fact that we’re never scared of a challenge. We project our partnership in South Africa will grow substantially over the next few years and will allow us to expand further into Sub-Saharan Africa.” Established in 2000, Worldpoly’s history began in 1959 when Tom Hall made the first polyethylene pipe in the Southern Hemisphere. From small beginnings, Worldpoly now exports to over 108 countries worldwide, accounting for about 70% of total business. Australian Manufacturing

Kabuku and Honda jointly developed 3D printed vehicle for confectionary delivery purposes Kabuku and Honda have joined forces to develop a 3D printed vehicle for confectionery specialists Toshimaya, which faced a problem of finding a delivery vehicle that could be used for local deliveries and also for economical advertisement. Image credit: www.kabuku.co.jp Toshimaya’s head office in Kamakura is located amidst a maze of narrow roads which present a serious challenge for their home delivery business. The company, which has been using a standard vehicle for delivery purposes because the development of a promotional vehicle is time consuming and costly, needed a more practical solution that will answer its delivery needs while also providing an attractive advertising platform. Kabuku, a Tokyo-based startup that explores new uses for 3D printing, was able to provide a mass customised original vehicle by responding to Toshimaya’s individual needs for design, engineering and manufacturing by utilising 3D printers. “For this joint development, Kabuku took advantage of the “Rinkak Mass Customisation Solution” to provide on-demand digital manufacturing of customised products to meet a variety of user needs by offering comprehensive body design, engineering and manufacturing options,” the company said in a press release. “Also, the total development process was shortened to about two months while still offering an original vehicle with reduced time and costs. By using “Rinkak Mass Customisation Solutions”, the project could take advantage of rapid 3D design, a mould-less development process for 3D printers and a digital manufacturing factory network.” This 3D printed vehicle will be exhibited from Tuesday, 4 October to Friday, 7 October at CEATEC JAPAN 2016 which is being held at Makuhari Messe in Chiba, Japan. Australian Manufacturing

SA jobseekers boosted with new employment and training centre Federal Minister for Urban Infrastructure Paul Fletcher has announced the opening of a new ‘one-shop-stop’ for employment, training and education that will provide South Australian jobseekers will an unprecedented access to job vacancies on the $985 million Northern Connector project. Image credit: SA Department of Planning Transport and Infrastructure Commenting on the importance of the ‘NorthHub’ facility, Mr Fletcher said it set a new benchmark for local industry participation on public infrastructure projects in South Australia. “This facility is an innovative way to ensure local communities are receiving the full range of benefits major infrastructure projects can provide, and that includes employment opportunities,” the Minister added. Senator for South Australia David Fawcett said “NorthHub will provide support for around 480 jobs each year in a wide variety of roles such as civil and formwork construction workers, administrative professionals, safety professionals, project engineers, site supervisors, and trainees and apprentices. “The service can be accessed both online and in person at the Northern Connector project site at Waterloo Corner, where jobseekers can speak directly to staff about the opportunities on offer,” Mr Fawcett added. SA Premier Jay Weatherill noted that several Holden workers were among the 70 new South Australian employees already working on the project. “NorthHub will be vital in ensuring that local people benefit most from this major transport infrastructure project, and we have made a commitment that more than half the workforce will be from the northern suburbs,” the Premier said. “NorthHub will provide opportunities for locals to find work or train towards gaining employment on the project which is critical for an area experiencing higher unemployment than other parts of the state and which is facing the impending closure of the Holden factory.” South Australian Transport Minister Stephen Mullighan said positions were already being advertised and filled via the NorthHub website, which supports the on-site facility. “Jobs are already currently listed and available and are expected to increase when major construction on the project gets underway shortly,” Mr Mullighan added. “Interested jobseekers can register for expressions of interest online to receive alerts when jobs become available.” The Northern Connector project – which is being jointly funded by the Australian Government ($788 million) and the South Australian Government ($197 million) – is a 15-kilometre expressway travelling from the North-South Motorway to the Max Fatchen Expressway. Australian Manufacturing

GE introduces first-of-its-kind battery storage & gas turbine hybrid with SCE GE and its long-standing customer Southern California Edison (SCE) have unveiled a plan to install the world’s first battery storage and gas turbine hybrid. GE’s hybrid LM6000 aeroderivative gas turbine and battery storage systemImage credit: www.genewsroom.com According to Phil Herrington, Vice President of Generation for SCE, the two-project solution first involves the installation of a battery energy storage system from Current, powered by GE, followed by upgrades to a GE LM6000 gas turbine to integrate the two systems. “GE’s new LM6000 Hybrid EGT product fits well with SCE’s objective of providing cost–effective, innovative solutions that enhance grid reliability, flexibility, and fast response for our customers,” Mr Herrington said. Scheduled to be deployed at two SCE sites in the coming months, the LM6000 Hybrid EGT was developed in response to changing regulations and grid requirements in the wake of California’s Aliso Canyon energy crisis earlier this year. Eric Gebhardt, Chief Platforms & Operations Officer for Current, powered by GE, said the solution answers a critical need for Southern California, where regulations on natural gas usage and storage are changing in the wake of the aforementioned energy crisis. He said GE’s Power Services and Current businesses worked to develop the joint solution in a competitive offer in collaboration with Wellhead Power Solutions, LLC. “This was truly a best-in-class joint effort by Southern California Edison, our partners at Wellhead Power Solutions, and multiple GE businesses to enhance our technology and add Current’s battery storage system to existing GE turbines,” Mr Gebhardt added. “As a team, we worked together to quickly provide a complete scope of the challenge and find a solution in a very short time frame. Now we can bring this same technology to other GE gas turbine customers around the world.” Paul McElhinney, President and CEO of GE’s Power Services, said the LM6000 Hybrid EGT product integrates a 10 MW battery energy storage system from Current and an existing GE LM6000 aeroderivative gas turbine with control system upgrades provided by GE’s Power Services. He said system will allow the turbine to operate in standby mode without using fuel and enable immediate response to changing energy dispatch needs. According to him, the LM6000 Hybrid EGT will save fuel, reduce maintenance costs and cut down on greenhouse gas emissions by eliminating the need to constantly run the turbines at minimum loads to maintain spinning reserves. “We are excited to launch this innovative hybrid solution to provide immediate power, increase the flexibility of our gas turbines, leverage new software controls solutions and increase customer competitiveness,” Mr McElhinney continued. “With our total plant solutions capabilities, we are able to help California increase its grid efficiency and help SCE deliver more affordable energy in a changing marketplace.” According to GE’s press release, the battery energy storage system is expected to be installed and operational by the end of 2016, with the updated and integrated turbine controls scheduled to be operational in early 2017. Australian Manufacturing

Manufacturing recovers momentum in September Australia’s manufacturing sector has recovered from its dip in August driven primarily by increased activity in food and beverage manufacturing. Image credit: aigroup.com.au The Australian Industry Group’s performance of manufacturing index (PMI) rose by 2.9 points to 49.8 points in September, primarily influenced by the food & beverages sub-sectors which accounted for around 28% of all manufacturing output. According to Ai Group’s report, three of the seven activity sub-indexes expanded in September, with production (52.6 points), deliveries (56.4 points) and sales (51.4 points) all above the 50-point mark separating expansion from contraction. Employment (46.7 points) and stocks (44.3 points) contracted again in September and were joined by new orders which slipped to (48.3 points). Five of the eight manufacturing sub-sectors expanded in September, including printing & recorded media (62.8 points), petroleum & chemical products (52.7 points), metal products (51.3 points), food & beverages (52.8 points) and machinery & equipment (52.8 points). The report notes that comments from manufacturers in September indicate a steady improvement in demand and exports in some sectors after last month’s slump. “Variability in the exchange rate and persisting oversupply in some markets is curbing activity,” reads the report. “Margin pressures appear to be intensifying due to ongoing high input costs (particularly or imported inputs and energy). Lower government orders, the sharp fall-off in mining construction work and the completion of major infrastructure projects (with no imminent replacement projects in the pipeline) and wet weather in some locations has also dampened activity.” Australian Manufacturing

Hitachi makes $689m bid for Bradken Japanese giant Hitachi Construction Machinery (HCM) has submitted a $689 million takeover bid to acquire Bradken, an Australian supplier of mining equipment. Image credit: bradken.com The $3.25 a share offer, which was unanimously backed by the Bradken Board of Directors, represents a 34% premium to the company’s closing share price on Friday. The offer comes a year after Bradken knocked back a A$428 million takeover offer from Koch Industries Inc. and local private equity firm Pacific Equity, saying it didn’t reflect the company’s true value. If the deal goes through, Bradken will become part of Hitachi’s mining and industrial services business, with its head office expected to remain in Newcastle, NSW. HCM said the transaction will be funded from its cash reserves and bank borrowing. HCM was established in 1970 in Japan. Headquartered in Tokyo, the company is a leading global manufacturer and supplier of construction mining machinery, as well as machinery consumables and parts. HCM’s majority shareholder is Hitachi Ltd, which owns approximately 50% interest in HCM. Bradken is a global manufacturer and supplier of differentiated consumable and capital products for the mining, transport, general industrial and contract manufacturing markets. The company specialises in manufacturing fully machined cast iron steel products across 3 operating divisions, employing almost 3,500 people in 24 manufacturing facilities and 28 sales and service centres internationally. Australian Manufacturing

Merging nano and biotechnology in quest for maximum value in food and medicine production An international workshop focusing on merging biotechnology, nanoscience and manufacturing to reduce costs and waste will be held at the University of Sydney on 5 – 6 October. Image credit: the University of Sydney Facebook page The ‘Advances in Biotechnology for Food and Metal Applications’ workshop will gather leading international experts who will discuss biotechnology – in particular micro and nano technologies – and their current and future applications in food and medicine manufacture. Organised by the University of Sydney’s ARC Food Processing Training Centre, the workshop will aim to establish practical applications in biotechnology and manufacturing processes to maximise value from raw materials, enhancing efficiency and reducing energy consumption. The Centre has been working with 12 industry partners to help its efforts to improve manufacturing technologies. It has conducted a series of successful researches on the production of nutraceuticals – by-products from food and waste than can provide additional health benefits as supplements – and has developed a range of high value products for the prevention and treatment of acute and chronic diseases such as cancer, osteoporosis and cardiovascular disorders. “Workshop participants will discuss more cost-effective and sustainable methods of food production with a view to minimising waste and enhancing efficiency,” said Professor Fariba Dehghani, Director of ARC Food Processing Training Centre and co-convenor of the workshop. “Our aim is to open up new avenues for cross-disciplinary research between leading engineers, scientists, clinicians, and industry experts. Together we can find innovative solutions to bring benefits to industry and consumers alike. The delegates will discuss the gap between technology innovations and useful applications in biotechnology, as well as strategies to efficiently turn research innovations into commercial products. Representatives for the University’s flagship centres include the Charles Perkins Centre, the Australian Institute for Nanoscale Science and Technology, and the Institute for Biomedical Technologies. These will be joined by international delegates from world leading universities from around the globe, including Stanford University (USA), MIT (USA), Shanghai Jia Tong University, Nanyang University (Singapore), Nottingham University (UK), University of Mainz (Germany), Genoa University (Italy), Lorraine University (France), Lanzhou University (China), Northeastern University (USA), University of Auckland (New Zealand), and the University of Canterbury (New Zealand). Australian Manufacturing

L’Oréal and Poietis to combat hair loss with 3D printed follicles French cosmetics giant L’Oréal has entered into an exclusive research partnership with 3D bioprinting startup Poietis to explore the possibility of bioprinting a functional follicle capable of producing hair. Image credit: www.loreal.com The research will utilise Poietis’ laser-assisted technology which can position cells in 3D with extremely high cellular resolution and cellular viability by layering micro-drops of bioinks with a laser beam. The resulting biological tissue will then be required to mature for around 3 weeks before it can be used in tests. José Cotovio, Director of Predictive Methods and Models department, L’Oréal Recherche & Innovation, said the combination of this exclusive technology with L’Oréal’s expertise in hair biology could yield groundbreaking advances in the areas of hair biology and hair engineering. “For L’Oréal, the combination of our respective areas of expertise opens up the possibility of previously unheard of achievements in the field of hair,” Mr Cotovio said. “This research partnership is very stimulating for the Advanced Research teams.” Fabien Guillemot, CEO and Chief Scientific Officer at Poietis said the research partnership offers exciting perspectives at a time when conventional tissue engineering technologies remain limited in terms of the complexity of cell patterns. “We’re very proud to be working with L’Oréal. The fact that a world-renowned company is adopting our technology is a major step for Poietis,” Mr Guillemot added. “Our partnership with L’Oréal should lead to the development of innovative applications in terms of tissue engineering.” Australian Manufacturing

Lockheed Martin Australia selected as combat system integrator for DCNS subs The Australian Government has contracted French shipbuilder DCNS to commence the design phase of Australia’s new fleet of submarines. Image credit: dcnsgroup.com The deal marks the start of the $50 billion future submarine program, which will also see Lockheed Martin Australia work alongside DCNS as preferred combat system integrator for the project. Announcing the news on Friday, the Minister for Defence Industry, Mr Christopher Pyne, said the contract was signed ahead of schedule and signalled better times for Australian Defence industry. “Mobilisation and design activities will mark the start of the Future Submarine Program, with work also commencing to maximise Australian industry involvement and early planning for the construction of the Submarines in Australia,” Mr Pyne said. “Involvement of Australian industry in the Future Submarine Program is of vital importance to the construction and sustainment of the submarine fleet into the future, creating job opportunities across Australia. Minister for Defence, Marise Payne said the partnership between DCNS and Lockheed Martin Australia was expected to deliver a submarine that meets the country’s unique capability requirements, which include superior stealth and sensor performance. “This will be essential to meeting the security challenges we face over the coming decades as set out in the 2016 Defence White Paper,” she said. “We look forward to our cooperation with France and the United States to support the development of this most important Defence capability for our nation,’’ Minister Payne said. Mr Pyne said Australian industry will be directly involved in the highly technical work of designing and integrating the combat system for the Future Submarine, further developing Australia’s capability in this specialised area.” “This is another step towards building and harnessing the innovation potential of Australia’s defence industry, as outlined in our 2016 Defence Industry Policy Statement,” he added. Lockheed Martin Australia’s participation in the Future Submarine Program is expected to create around 200 skilled Australian jobs during the design and build phases of the program. Australian Manufacturing

Alcoa’s Board of Directors sanction the company’s separation into two entities Alcoa Inc. Board of Directors has approved the completion of the company’s separation into two independent, publicly-traded companies. The new Alcoa logo for the Upstream company One of the companies will retain the name Alcoa and will consist of Alcoa’s upstream mining projects, including its bauxite, alumina, aluminium, casting and energy assets. The second company, which will be named Arconic when the transaction effectuates, will be a leading global provider of high-performance materials and engineer products to the aerospace, automotive and other growth industries, positioned for profitable growth. “Upon separation, Klaus Kleinfeld will serve as Arconic Chairman and CEO. Michael Morris will become non-executive Chairman of Alcoa Corporation and Roy Harvey, current Group President of the Alcoa Global Primary Products business, will be its CEO,” the company told the ASX. “As previously announced, the separation will occur by means of a pro rata distribution by Alcoa Inc. of 80.1 percent of the outstanding common stock of Alcoa Corporation. Arconic will retain 19.8 percent of Alcoa Corporation common stock. The distribution is intended to qualify as a tax-free transaction to Alcoa Inc. shareholders for US federal income tax purposes. The separation will become effective on 1 November 2016. Australian Manufacturing

Tasmania’s Agri-Food Plan 2016-2018 officially launched Tasmanian Minister for Primary Industries and Water, Jeremy Rockliff has launched the state’s Agri-Food Plan 2016-2018 which was developed to grow Tasmania’s agriculture and food sector, including seafood. Image credit: dpipwe.tas.gov.au According to the Minister, the Plan lays out a number of initiatives for sustainably growing Tasmanian primary industries and creating regional jobs. “The plan includes initiatives in areas including: small business programs, energy, transport and freight, which contribute to the viability and growth of important agri-food sectors, and it includes an extension of the AgriGrowth Loan Scheme by an additional $10 million, to a total of $20 million, as part of the vision to grow agriculture,” Mr Rockliff said. He said the Scheme has funded a diverse range of agricultural projects including small fruit farm expansions, vineyard redevelopments, organic nut processing, expanded grazing operations, dam infrastructure, a farm retail outlet and boutique breweries. “A pilot of the $10 million Scheme to provide low interest loans to Tasmanian farm and agri-food businesses has been running for the past year and already there have been 15 loans approved worth a total of $7.465 million, we have four applications in progress worth another $2.144 million and a further six applicants working through the investigation stage,” the Minister explained. He said the Loan Scheme extension was expected to help deliver further economic benefits for the state. “The additional $10 million is expected to turn great ideas into long-term profitable businesses that will generate economic growth and jobs, particularly in regional Tasmania,” the Minister added. “The minimum loan amount has been increased from $30,000 to $100,000 while the maximum loan amount has increased from $1 million to $1.5 million. Applications for the AgriGrowth Loan Scheme have been extended until the end of September 2018.” Mr Rockliff said the Plan confirmed the commitment to working in partnership with the private sector – farmers, fishers, primary producers, processors, industry groups and agri-business – to keep delivering future policies and initiatives. “Tracking our progress is important and the Tasmanian Agri-Food ScoreCard provides extensive data on Tasmanian food production, including data on the value of agriculture and seafood production, the value added to packed and processed food along the chain and the markets into which the products are sold,” the Minister added. Tasmania’s Agri-Food Plan 2016-18 can be accessed online at: http://ift.tt/2dRLda4. Additional information, including Application Forms and Guidelines for the AgriGrowth Loan Scheme is available on http://ift.tt/2dnGs5B. Australian Manufacturing