Page 91 - KZN Top Business Portfolio eBook -2024

A FUTURE-FACING GLOBAL PLAYER applying a 4-Pillar platform entailing financial resources,
industry knowledge, customer trust and agility, to
LHL Engineering’s vision is to be ‘the-go-to engineering successfully drive product sales internationally.
team’ known for outstanding quality, safety, customer Target markets include sugar, chemical, pharmaceutical,
service and value. LHL has its roots dating back to 1969 petro-chemical, oil and gas, pulp and paper, water and
when the company was started to support the German- sanitation, transport, and food and beverage industries
imported LHL axel. LHL was taken over by CEO Nelson in both the public and private sector. Past projects have
Govender in 2015, who made a significant investment been completed at SAPREF, ASTRON, Illovo Sugar, SI
ensuring that the company was well capitalised and Group, Buckman Laboratory, Sappi Saiccor, Tongaat
resourced. LHL has a strong track record in the metals Hulett, Mondi, Engen and YARA Animal Foods.
and engineering industry with the past 50 years seeing
the company grow to become a future-facing global LHL Engineering has successfully exported pressure
player, adding strategic value to local and international vessels and other equipment including complete
brands, across South African and global markets. plants to Australia, the Far East, Zambia, Angola,
Tanzania, Mauritius, Seychelles, the Comores
LHL is a specialist fabricator and installer of tanks; Islands, Hong Kong, United Arab Emirates, Zambia,
pressure vessels; heat exchangers (manufacture Mozambique and Botswana, amongst others.
and refurbish); reactors; piping; structural steel and
general steel component manufacture. Project based LHL Engineering was selected to be part of the KZN
teams are available on call for site-based maintenance Localization, Import Replacement and Enterprise
and installation work. Development programme which commenced in
November 2021. Through the programme, initiatives
As a 100% black-owned enterprise with a Level 1 such as improved factory layout, production efficiencies,
BBBEE status with a 40% black female and 30% youth workflow methodologies, quality control measures,
ownership the business is growing from strength staff training have been implemented. In addition, new
to strength. The recently acquired >5 000m² under products have been launched to a competitive and
cover facility in Glen Anil, Durban (with 6 bays, 13 Over demanding market.
head cranes, 6 of which have a 10t capacity and 11m
under hook height), is well positioned to deliver on In order to satisfy the market demand, LHL, with a
all your fabrication requirements. The 1500m² facility group of companies, have adopted a co-operative
cluster approach to provide a one-stop facility that
in Atlantis, Cape Town is adequately equipped for
current needs. Both workshops are being fitted with boosts their overall competitive advantages, which is
new equipment to facilitate LHL’s growth plans with progressing well. The cluster creates an interdependent
and mutually beneficial relationship with shared
finalisation expected next year.
services, including state of the art equipment supplied
Technology will play a critical role in positioning the and maintained by strategic partners.
company as relevant and ensuring it is able to compete The increased workload consistency has led to
with established larger players well into the future.
Consequently, all new machinery and equipment, increased employment opportunities. As such LHL’s
permanent workforce has increased by 40% with
comprising robotics, 4IR, CNC and green technology, contracted project workers increasing substantially.
will have the aim of differentiating LHL’s offerings
as unique. In addition, a new PR Engineer has been employed to
improve design capabilities and client confidence.
Based on the changes made in the past year, LHL has LHL is looking to partner with a small number of key
been able to acquire new clients, treble its turnover clients as their manufacturing expert. This strategy
and improve on workload consistency.
will reduce the effect of project reliance, which is very
This workload includes long term contracts, with erratic, with major impact on planning and cashflows.
one client who owns specialist intellectual property Together with an impressive array of machinery
closing his facility and contracting LHL to be the and production facilities at its disposal and through
fabrication facility. This client has enjoyed increased its cluster partners, LHL has become a market
volumes, lower costs, improved lead times, improved leader with the flexibility, industry accreditation
quality and various other benefits that were not (ISO9001/2015, ISO45001, ISO3834, ASME V111
envisaged at the beginning.
APP10), skills and knowledge to supply a wide range
Future growth plans for LHL include becoming a leading of products and services to satisfy market demand
player in the metals and engineering industry by for different sectors.

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