MINING A RICH VEIN
Extract from BRW Fast 100 article MINING A RICH VEIN by Dan Hall
A diversification two years ago from environmental and geotechnical drilling services into broader mineral exploration has been a boon for Sydney-based Macquarie Drilling, which debuts on the Fast 100 in 53rd place.
The company started life as Consulting Earth Sciences in 1994 but founder Michael Petrozzi's decision two years ago to broaden its operations has seen its revenue soar.
Macquarie turned over $11.9 million last financial year and Petrozzi says this might reach $30 million in 2010-11 as it continues its push in four markets: underground diamonds, base metals, gold and coal. "In our industry, being present and successful in multiple markets is critical," Petrozzi says.
"Too many people get focused on only one market - at some stage, each one of these markets will have some trouble."
Initially Petrozzi planned to grow the company organically, working in the Hunter Valley coal sector on exploration and underground development work.
"Instead of smattering ourselves across every coalfield in the country, we made a strong focus on what we considered to be the best coal region," he explains.
But after establishing in the Hunter Valley, Petrozzi was comfortable moving Macquarie Drilling into wider markets where its diverse offerings have allowed it to grow exponentially.
Switching between base metals, iron ore, gold and coal as been easy because of the diverse skill sets of managers employed to guide the company through the change.
"A big part of our success has been employing key people with experience in specific markets," Petrozzi says.
But he says money is not always the best way to attract experienced employees.
Instead, clear reporting lines and responsibilities allow key staff to focus on what they love doing.
"Our operational guys don't have to do accounts or financial forecasts," Petrozzi says, "and likewise our financial guys don't get into details of operations and logistics."