COMPANY PROFILE
2014
MegChem
www.megchem.co.za
Engineering excellence
Editorial: Harriet Pattison
Operating for nearly two decades, MegChem has cemented its position within the oil and gas, petrochemical, mining and industrial markets, providing its clients with a turnkey solution. Offering a range of project services from concept design to basic design, procurement through to commissioning; Managing Director, August Zerwick tells Total World Energy that the future looks set to be an exciting one, full of opportunity‌ An engineering services company providing solutions to the oil, gas and power generation industry, MegChem has been in operation for nearly 20 years, in which time it has built up a solid reputation across Africa and into the competitive international markets. Originally founded in 1995 as a result of a buy-out from Sasol Technology, Managing Director,
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August Zerwick explains the company started out mainly focusing on its roots from the management buy-out, the complex brownfields Petrochemical environment. Before long however, it began to render EPC services to its clients, starting with Petrochem before diversifying and executing numerous projects, including gaining experience in nuclear power generation processes
with the Helium Test Facility for the PBMR Project and working with ArcelorMittal in the modification and repairs on certain furnaces. Almost two decades on, MegChem has secured a niche market, managing complexities in EPC projects. Although these tend to be smaller, they are far more beneficial in helping to ensure the client’s plant operates efficiently and
MegChem the rewards tend to be far greater. As a result, larger and more competitive industry players are attracted too. Complexities involved in projects such as these might cover stringent time restraints, live and unpredictable equipment or particularly harsh and hazardous working environments. “We see our market as being a focused contractor rendering engineering services over various value contracting models in the complex brown fields maintenance environment,” Zerwick tells Total World Energy, “so we will do engineering consultation in terms of scoping the project for the client and then we have the ability to do a full turn-key execution of the project with various sub-contractors, giving the specific strategies.” It is this turn-key solution which places MegChem on such a noteworthy pedestal amongst not only its clients but key industry leaders. Able to provide in-house engineering capabilities to the client involves conceptual engineering,
construction and commissioning, helping to ensure the day to day running of the project continues both smoothly and efficiently. Of course, this one-stop solution helps build the reputation of trust and professionalism MegChem continues to uphold today.
VALUABLE CORE COMPETENCIES Perhaps one of the company’s most successful project solutions to date is 3D laser scanning: “What you’ll normally find in our environment is that you’ve got to integrate with existing operating plants and normally you’ll find that the plants could be in operation which brings safety risks to the table. Additionally, you have challenges in terms of reversed engineering and in terms of documentation that’s not necessarily available. “So you have to finger print the plant in what we refer to as at ease frame work and here we use, with
high success, laser 3d scanning,” explains Zerwick. “Over the years, we’ve developed it as a tool to be able to take a very accurate finger print of the plant within certain tolerances. So using that you can aggressively engineer solutions that consider the present operating environment with due regard to safety, optimising services to the likes of scaffolding, installation modifications and the whole execution of the work. “These core competencies that we’ve developed over the 20 years are adding value for the client.” Over the past two decades, MegChem has continued to expand its range of services and ventures into new markets. Working across Africa in Angola, Nigeria, Botswana, Mozambique, into the Middle East and supporting a number of Australian enterprises, Zerwick explains the company is now focusing on geographical expansion with its highly innovative 3D scanner. “We see that the 3D laser scanning
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ability gives you the opportunity to bring a dimensional accurate plant to your home or office, where you can with certain costing and execution strategies, unlock value. We can then accurately re-engineer or modify the design and interact with a fabricator and clients to support in executing the project. “So in terms of markets, we are looking to increase our footprint in Africa as we’ve got a market there in terms of energy. We’ve identified this as a sweet spot and we want to continue
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to support clients there in innovative energy projects,” Zerwick adds. Now a prominent player in the engineering market, Zerwick attributes MegChem’s exponential success to the support of its clients and ability to offer a no hassle turn-key solution. To maintain this industry position, Zerwick explains MegChem must remain innovative: “We must focus on how we can manage risks in terms of execution, not comprising on integrity, be sensitive and meeting the schedule objective so we are a no surprise contractor to our clients.” “Our core competencies, we like to think, include helping to develop our engineers in an environment to support clients in day to day operations. We have all the designer engineering tools and combinations
as well as software to go that extra mile,” explains Zerwick.
A POSITIVE WORK & LIFE BALANCE Of course, behind every highly innovative and successful company lies a team of hard working employees. Key to its success, Zerwick explains that training, development and opportunities to grow are vital in building a team focused on efficiency and customer satisfaction. “Challenges are important, especially from an engineering point of view as our employees really have to think and keep on their toes if they want to be successful engineering contractors. “From a training and development point of view, we continuously challenge ourselves. We have a multi set of skills to help our staff understand the needs of the client and engage with the client in a framework of support, helping to build confidence and trust with the client,” explains Zerwick. Of the 336 employees, 90 of these are graduate engineers.
MegChem Zerwick explains: “The professional, approval management of integrity is crucial because we work in high value, high risk operating environments, so you have to make sure you address those risks so we are focused on ensuring we get it right.” Outside the working environment, Zerwick explains the company’s importance of a work/life balance: “We have leisure time, an annual golf weekend and a big cycling club which many of our employees participate in.” Involved in the South African Mechanical Engineering Institute, Zerwick explains MegChem is active on various university advisory boards, interacting on the academic side. The company also has an engineering forum where whole days are spent on engineering case studies and projects that have been completed which are then shared with clients. Zerwick adds that MegChem also supports university students in studying vocational subjects for engineering and open days for schools are held to help promote engineering. “We also have smaller more niche projects on the go to further encourage engineering and the profession,” explains Zerwick.
SUSTAINABILITY MEASURES Increasingly important to South Africa, Zerwick explains, to be recognised as a sustainable company is a vital aspect of MegChem’s business mandate. “On each and every project that we do, we have an environmental and health and safety plan and we instigate management processes, requirements and philosophies to make sure we follow the rules. “In terms of the business, sustainability is very prominent and we are now looking at recycling
paper and energy efficient measures in our office building.”
A FUTURE OF EXCITEMENT AND OPPORTUNITY Looking to the future, Zerwick believes it to be a very positive one for MegChem: “We have just completed a make-over of the business where we’ve appointed a number of new line managers and we’ve also remodelled the business to ensure it is even more client driven. “We’ve given the business managers the mandate to structure their business division on the rules of that specific industry segment, so we’ve got more freedom in terms of strategies for different plant environments and
business sectors.” In terms of expansion, the company is looking to the petrochemical business to build relationships with other clients and other markets in both South Africa and the Middle East. Moving further afield, Zerwick explains: “We’ve done work in Australasia and there are opportunities in America where we can use the 3D laser scan to support the guys there in terms of resource capacity. “So excitement and lots of opportunities ahead. I think we’ve developed the toolset that puts us in a position where we can aggressively extend across borders, both our services and skills in the complexities environment,” Zerwick concludes
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