Orica Limited () is an Australian-based multinational corporation that is one of the world's largest providers of commercial explosives and blasting systems to the mining, quarrying, oil and gas, and construction markets, a supplier of sodium cyanide for gold extraction, and a specialist provider of ground support services in mining and tunnelling.
Orica has a workforce of around 15,000 employees and contractors, servicing customers across more than 100 countries. Orica is listed on the Australian Securities Exchange. It has in recent years been subject to a number of high-profile industrial accidents and fatalities.
History
Initially founded in 1874 as Jones, Scott and Co., a supplier of explosives during the Victorian gold rush, the company was bought by Nobel Industries. Nobel later merged with several British chemical manufacturers to form Imperial Chemical Industries. In 1928, Imperial Chemical Industries of Australia and New Zealand (ICIANZ) was incorporated to acquire and coordinate all the Australasian interests of ICI Plc.
In July 1997, ICI Australia became an independent Australasian company after its parent company, ICI Plc, divested its 62.4 per cent shareholding in the company. As a result of the selldown ICI Australia was required to change its name and on 2 February 1998 became known as Orica.
In 2010, Orica successfully demerged Dulux Group leaving the company to focus on the provision of services to the mining, construction and infrastructure industries.
In November 2014, Orica Limited announced the sale of its chemicals business to the Blackstone Group. The sale was completed on 2 March 2015, and the chemicals business now operates under the name 'Ixom'.
Financial performance
Orica's revenue in 2016 was AUD$5.1 billion and statutory net profit after tax (NPAT) attributable to the shareholders of Orica for the full year ended 30 September 2016 was $343 million.
Sustainability
Orica is a member of the Dow Jones Sustainability Index (DJSI), the Australian SAM Sustainability Index (AuSSI) and the FTSE4Good Index. These Indexes provide a benchmark for the performance of investments in sustainable companies and funds. Orica releases an annual Sustainability Report that outlines performance against key sustainability metrics.
In 2014, Orica was identified as a global leader in Natural Capital Decoupling, which shows the ability of organisations to 'decouple' financial growth from environmental impact, by increasing revenue whilst decreasing their absolute impact.
Markets/industries
Orica operates across the following markets and industries: Surface metal Surface coal Underground mining Underground construction Construction Quarrying Oil & gas
Products and services
Orica operates three primary business areas:
Blasting
Orica is one of the world's largest provider of commercial explosives and blasting systems to the mining, quarrying, oil and gas, and construction markets.
Products and services
Contracted services
Initiators
Boosters
Bulk explosives
Packaged explosives
Data, reporting & analytics
Supplementary services
Seismic systems
Minova
Minova is no longer a member of the Orica Group. Products and services include: Steel bolts and plates Glassfibre reinforced polymer bolts Injectable chemicals and foams Mesh Resin capsules Cementitious grouts & coatings Pumps Soil anchoring systems Ballast bonding polymers Accessories and engineering services
Sodium cyanide
Orica is a supplier of sodium cyanide for gold extraction.
Products and services include: Analysers PRO service Data, reporting & analytics Sparge Training
Orica House
Once Australia's tallest building, the former ICI Building in East Melbourne, now Orica House, was Australia's tallest during the 1950s and was one of the first high-rise buildings in Australia's cities. It is one of the few post-war office buildings to be found on the Victorian Heritage Register.
Incidents
Corporate
Bullying scandal
In March 2015 then CEO Ian Smith was ousted from the business due to bullying of a female employee. During Smith's tenure as CEO, some of the senior leadership within the organisation left for other companies. Alberto Calderon replaced Ian Smith in 2015 until 2020. Orica’s earnings post Ian smith’s departure experienced a significant decline as well as incurred multiple extraordinary charges. During this time there was also significant turnover within the executive leadership team.