Enterprise NR
ST. ALBERT, ALBERTA, Mar 4, 2010 (Marketwire via COMTEX News Network) –
Enterprise Oilfield Group, Inc (“Enterprise” or the “Company”) (TSX:E) is pleased to announce that its underground utility and infrastructure division has finalized negotiations on a four year contract (plus a one year option) with one of Canada’s premier power suppliers. The contract is to provide underground construction and maintenance services over a significant region of Alberta.
The value of the contract could generate revenues in excess of $25 million for the duration of the agreement. The Company expects to add approximately $1.75 million in EBITDA annually to its consolidated results or nearly $9 million over the life of the contract.
This new development secures Enterprise’s future growth into the utility and infrastructure business and allows the Company to continue with its expansion across Western Canada. The Company anticipates that capital expenditure requirements to fulfill this new contract will be minimal.
Enterprise Oilfield Group, Inc. is a construction services company operating in the energy, utility and transportation infrastructure industry. The Company’s focus is primarily underground construction and maintenance and above ground plants and facilities. The Company’s strategy is to acquire complementary service companies in Western Canada, consolidating capital, management and human resources to support continued growth.
