24th Aug 2007 11:59
Cape PLC24 August 2007 24 August 2007 Cape PLC ("Cape" or the "Company") Letter of Intent from Aker Kvaerner Contracting AS Cape PLC (AIM:CIU), the international provider of support services for the energy sector is pleased to announce that it has received a Letter of Intent from Aker Kvaerner Contracting AS covering the initial call offs for the Early Work Activities, Hook Up and Commissioning of the Offshore Facilities associated with the Kashagan Field Development in Kazakhstan. The services to be provided will include scaffolding, rigging, winterisation,surface coatings, insulation and pipe cutting. Project completion is planned forlate 2010. The contract, which is based on a schedule of rates, will peak in2009 with a labour force of approximately 200 operatives indicating a totalcontract value in excess of US $10m. The award of this contract reinforces Cape's position as the leading supportservices provider in the Caspian Region and in particular Kazakhstan. Sinceentering the market in 2000 Cape has secured major contracts at Tengiz withParsons Fluor Daniel, at Karabatan with GAMA, Bateman, IGS Sicim, and now inKashagan with one of our global partners Aker Kaverna. Key to Cape's success inthis important market was our safety proposition, our ability to deliver ontime, and our commitment to train a local workforce to demanding internationalstandards. Earlier this year Cape established a purpose built training facilityin Atyrau. Martin May, Cape's CEO said: "We are delighted to have been awarded thisimportant and significant contract by Aker Kaverna. I am convinced thatKazakhstan will prove to be an important market for Cape for many years to come.Full credit should be given to our local and regional team for bidding thiscontract successfully." For further information, please contact: Cape PLCMartin May, Chief Executive +44 (0)1924 876 276 Bell Pottinger Corporate & FinancialNick Lambert / Victoria Geoghegan +44 (0)20 7861 3232 / +44 (0)7811 358 764 Notes to editors * Cape PLC is the parent company of a number of service providing organizations operating primarily in the oil and gas, petrochemical and power generation industries * In the year to 31 December 2006, Cape reported turnover of £295.5 million * Cape currently employs c. 8,200 people in 23 countries worldwide * Cape specialises in the provision of scaffolding, insulation, fire protection, specialist cleaning and other essential services to major industrial clients in the energy sector * Cape's ability to provide specialist cleaning services was enhanced by the acquisition of DBI Group Limited in October 2006 * On 23 April 2007, Cape's shareholders approved the placing of 26,923,077 ordinary shares at £2.60 per share to raise £70 million (before expenses) * On 6 June 2007, Cape acquired Total Rope Access International Limited * On 22 June 2007, Cape acquired Endecon Limited * On 23 August 2007 Cape agreed to acquire the Total Corrosion Control group of companies based in Australia ("TCC Group") effective 31 August 2007 for an initial consideration of £34.3 million, rising to a potential £39.4 million subject to the TCC Group achieving its earnings target for the year ending 30 June 2008 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
CIU.L