Rivercity Motorway Group (RCY), the owners of the CLEM7 in Brisbane, have decided to drop the toll to $2 from 1 July to 30 September, as the group struggles to meet its debt covenants. The average daily traffic volume is only around one-third of the predicted 60,000 cars forecast before the tunnel was built.
Ausenco Limited (AAX) said its 50% owned Ausenco Taggart Joint Venture has been awarded an $8 million contract to deliver engineering for the coal handling and preparation plant for the extension at Kestrel Mine in Central Queensland. The company said the award builds on its existing relationship with Kestrel Joint Venture partners Rio Tinto Limited (RIO) and Mitsui and follows last month’s award to Ausenco of the Project Construction Management contract for the Kestrel Mine Extension.
Transfield Services Limited (TSE) has invested an additional $43.2 million in Transfield Services Infrastructure Fund (TSI), representing 61.8 million shares at 70c each. In a statement released today, TSE said it remains on track to deliver on its full year guidance, which is for net profit after tax to be flat to modest against the prior financial year. The company said it expects to receive a forecast annualised distribution yield of 11.7% on the additional investment, while its share of the final distribution for the year ended 30 June 2010 from TSI would be $7.7 million.
UXC Limited (UXC) said subsidiary Utility Asset Management has recently been awarded five major electrical asset maintenance contracts with a potential combined value of up to $150 million. The company said three contracts for the inspection and treatment of power poles have been renewed by EnergyAustralia in New South Wales, with each four-year contract including two further four-year options. The company said two contracts for the inspection, treatment and data capture of electrical assets in Queensland have been renewed by Ergon Energy Corporation Limited. Each three-year contract includes two further one-year options. UXC said the initial contracted value of the combined works is $76 million with additional available works valued at $74 million if all options are exercised.
Alinta Energy Group (AEJ) said it has received a number of indicative, non-binding, confidential bids, including for both whole of the business and parts of the business, as the company looks to cut debts. The company said no decision has been made on whether any of these options would be pursued. Alinta said pending an outcome on its assessment of these options, the company has not yet implemented the equitisation of intra-group loans approved by shareholders earlier this year. The company reaffirmed its FY10 normalised EBITDA guidance of $288 million.
Foster’s Group Limited (FGL) has signed long-term distribution agreements with Southern Wine & Spirits in California, Florida and Illinois. Southern currently distributes Foster’s wines in each of these states but has shared the portfolio with other distributors and Foster’s own self-distribution.
MAp Group (MAP) said its foreign ownership level has fallen from 41% to 39.4% after a “large number” of foreign investors sold MAp shares, including many foreign investors to whom Disposal Notices were issued. The company said as a result, all Disposal Notices previously issued are withdrawn with immediate effect. MAp said it would not proceed to enforce the divestment of any shares required to be sold under any of the Disposal Notices which have been issued, including those requiring divestment by 17 June 2010. The company said it is not a “Foreign Person” under the Airports Act 1996 for so long as foreign ownership of MAp is below 40%.
Macmahon Holdings Limited (MAH) has been awarded a four-year contract extension valued at $72 million at Newmont Mining’s open cut gold mine in New Zealand. The company said it would continue to undertake full open cut mining activities until 2015, including drill and blast, load and haul and crushing works. Macmahon has been operating on site at Waihi since 1998.
Foster’s Group Limited (FGL) has signed long-term distribution agreements with Southern Wine & Spirits in California, Florida and Illinois. Southern currently distributes Foster’s wines in each of these states but has shared the portfolio with other distributors and Foster’s own self-distribution.
MAp Group (MAP) said its foreign ownership level has fallen from 41% to 39.4% after a “large number” of foreign investors sold MAp shares, including many foreign investors to whom Disposal Notices were issued. The company said as a result, all Disposal Notices previously issued are withdrawn with immediate effect. MAp said it would not proceed to enforce the divestment of any shares required to be sold under any of the Disposal Notices which have been issued, including those requiring divestment by 17 June 2010. The company said it is not a “Foreign Person” under the Airports Act 1996 for so long as foreign ownership of MAp is below 40%.
Macmahon Holdings Limited (MAH) has been awarded a four-year contract extension valued at $72 million at Newmont Mining’s open cut gold mine in New Zealand. The company said it would continue to undertake full open cut mining activities until 2015, including drill and blast, load and haul and crushing works. Macmahon has been operating on site at Waihi since 1998.
Elders Limited (ELD) shares were placed in trading halt pending an announcement regarding a trading and operational update. The rural services company requested the trading halt remain in place until the commencement of trade on Tuesday, 22 June 2010, unless an announcement is made beforehand.
Brierty Limited (BYL) said it has secured four new contracts to deliver civil construction services to industrial and residential land development projects in Western Australia. The civil contractor said the projects, totalling $25 million, have commenced with the revenue contributing to FY11. Brierty said three of the new contracts are with Landcorp to fast track the readiness of industrial land in the Pilbara, while the fourth contract is with LWP Property Group for the first stage of a multi-stage residential development in Perth’s coastal corridor.
Dexion Limited (DEX) anticipates G.U.D Holdings Limited (GUD) to be in a position to make an announcement in relation to its proposed offer to acquire Dexion prior to the opening of trading on Monday, 21 June 2010. On May 21 GUD offered to acquire Dexion for $83.8 million, subject to the satisfactory completion of confirmatory due diligence. At the same time Dexion confirmed that GUD had been allowed to undertake due diligence and was granted exclusivity until today.
Chandler Macleod Group Limited (CMG) said, in response to an article in the Sydney Morning Herald today, that it is not presently engaged in discussions with Skilled Group Limited (SKE) in relation to any of its assets. The HR outsourcing and recruitment company said the article contained speculation in relation to a proposed transaction between the two companies. Chandler Macleod said it would make a statement to the market if there were any event which is required to be disclosed under the listing rules. The company confirmed recent guidance that it expects EBITDA for FY10 to be approximately $22 million.
Perpetual Limited (PPT) reported a drop in funds under management to $27.5 billion as at 31 May 2010. The fund manager said this includes net inflows of $100 million from an institutional client in Australian equities. Perpetual said funds under management as at 30 April 2010 were $29.0 billion.
Swick Mining Services Limited (SWK) said it has secured a two rig, three-year underground diamond drilling contract with gold mining giant Newmont at the Hope Bay Gold Mine in Canada. The company said it would commence a three-year underground diamond-drilling contract at the mine in February 2011. Swick announced in March this year that it had been awarded a three year, $50 million contract renewal with Newmont for the provision of underground diamond drilling services at the Jundee and Tanami Gold Mines in Australia.
Leighton Holdings Limited (LEI) said Leighton Contractors’ Resources Division has been awarded a three-year, $170 million contract extension at the Woodie Woodie manganese operations by Pilbara Manganese Pty Ltd, a wholly owned subsidiary of Consolidated Minerals Pty Ltd. The company said the role of HWE Mining at Woodie Woodie is the load and haul of bulk waste material, with the movement of manganese ore and other mining activities predominantly undertaken by Consolidated Minerals. Leighton said HWE Mining would now assist Consolidated Minerals to increase the rate of production over the course of the next 18 months to an average of 1.4 million bank cubic metres.