Specialist equipment supplier Dints International has landed a vendor management inventory (VMI) contract with gold producer Gold Fields Ghana (GFG).

The Dints VMI contract with GFG provides inventory procurement and management from multiple original equipment manufacturer (OEM) suppliers, in a single consolidated process. The deal is backed by UK Export Finance (UKEF) and Investec Bank and will allow GFG to benefit from extended payment deadlines.

“The contract is a revolving framework enabling the buyer to undertake procurement as and when required. Within the framework is the support from UKEF, providing the ability to concertina depending on usage. This flexibility enables Dints to deliver to their end customers’ needs and respond quickly to each and subsequent order,” managing director of GKB Ventures and advisor to Dints, Gabriel Buck, tells GTR.

“Each of the major mining companies procures a whole array of goods and services to keep their operations going. This structure enables Dints to provide a procurement process which is both flexible and with inbuilt deferred payment terms. It’s the combination of the two which is very novel.”

The contract will give UK companies in Dints’ supply chain the opportunity to access new markets abroad via the process. UK Trade and Investment (UKTI) estimates over 4,000 businesses that supply to the mining sector could be eligible to use the facility.

“This VMI model is both replicable and scalable. The funding supporting this facility enables Dints to undertake the largest of procurements and already a number of other mining houses are pursuing this concept both in and outside of Africa,” says Dints CEO, Geoffrey de Mowbray.

Sullivan & Worcester in London advised Dints on the deal.