Brikor, which listed on the AltX in August 2007, is a diverse manufacturer and supplier of building and construction materials across a broad spectrum of the market from low-cost housing, residential to commercial, industrial, civil engineering and infrastructure projects and has a brick and coal segment through its subsidiary, Ilangabi Investments 12 (Pty) Ltd.
Brikor has various manufacturing plants in Gauteng. The two clay brick manufacturing plants, located in Nigel, have production capacities in excess of 155 million bricks per annum. These plants mainly produce semi-face clay bricks for the construction industry.
Ilangabi, which owns clay and coal reserves, is owned by the Brikor Limited Group which manufactures clay bricks. The location of the clay and coal reserves in close proximity to Brikor's clay brick manufacturing plants gives Brikor the advantage of being self-sufficient in the supply of raw materials. The clay overlaying the coal deposit at Ilangabi's Vlakfontein Mine is stripped and stockpiled for future use in the clay brick manufacturing process. The coal mined at Vlakfontein is used to ignite the kilns in which the clay bricks are fired.
Value creation in Brikor's business model is vested in its control over quality and input costs of raw materials and firing products (coal used in burning of kilns).
Brikor's competitive advantage is strengthened through its access to clay and coal reserves. Mining cost per tonne is significantly reduced as clay, which has an economic value, is overlaying the coal deposit. The clay is stripped and stockpiled for future use. The location of the clay and coal reserves in close proximity to the clay brick manufacturing plants further enhances the group's positioning.