North American Construction Group Announces 5-Year Term Contract in the Oil Sands
December 10 2018 - 4:05PM
North American Construction Group Ltd. (“NACG” or “the Company”)
(TSX:NOA.TO/NYSE:NOA) today announced a long-term extension to a
key Multiple Use Agreement with a major earthworks customer.
The three-year extension takes the existing expiration date of
December 2020 to December 2023. As part of this additional term,
the Company has secured a five-year contract through 2023 for
earthworks services at the customer’s base mine. The value of this
backlog is expected to be approximately $750 million.
Martin Ferron, Chairman and CEO, stated:
“Following on from the two term contract awards in June which have
resulted in current backlog over $300 million, we are very pleased
that a second significant customer has placed long-term faith in
us. The award from our customer is based on demonstrated and
tangible results of operational excellence at their mine as we
execute earthwork services. This step change in contractual backlog
provides us with even further confidence that our recently
increased equipment fleet will be fully utilized and our impressive
growth trajectory can be maintained for several more years.”
About the Company
North American Construction Group Ltd.
(www.nacg.ca) is a premier provider of heavy construction and
mining services in Canada. For more than 60 years, NACG has
provided services to large oil, natural gas and resource
companies.
For further information, please
contact:
David Brunetta, CPA, CMA Director, Investor RelationsNorth
American Construction Group Ltd. Phone: (780) 969-5574 Email:
dbrunetta@nacg.ca
This release refers to the non-GAAP financial measure “backlog”.
A non-GAAP financial measure is generally defined by the Canadian
regulatory authorities as one that purports to measure historical
or future financial performance, financial position or cash flows,
but excludes or includes amounts that would not be adjusted in the
most comparable GAAP measures. See the Company’s Management’s
Discussion and Analysis (“MD&A”) for the quarter ended
September 30, 2018 for a detailed definition and explanation of
backlog.
The information provided in this release
contains forward-looking statements. Forward-looking statements
include statements preceded by, followed by or that include the
words “will be”, “can be” or similar expressions. Forward
looking statements include statements about the Company’s backlog
and the Company’s belief that its increased equipment fleet will be
fully utilized and that its growth trajectory can be maintained for
several more years.
The material factors or assumptions used to
develop the above forward-looking statements include, and the risks
and uncertainties to which such forward-looking statements are
subject, are highlighted in the Company’s MD&A for the quarter
ended September 30, 2018. Actual results could differ materially
from those contemplated by such forward-looking statements because
of any number of factors and uncertainties, many of which are
beyond NACG’s control. Undue reliance should not be placed
upon forward-looking statements and NACG undertakes no obligation,
other than those required by applicable law, to update or revise
those statements. For more complete information about NACG, you
should read the Company’s disclosure documents filed with the SEC
and the CSA. You may obtain these documents for free by visiting
EDGAR on the SEC website at www.sec.gov or on the CSA website at
www.sedar.com.
PDF
available: http://resource.globenewswire.com/Resource/Download/f206da3e-05dc-423e-8407-61cef6c61af4
North American Construct... (NYSE:NOA)
Historical Stock Chart
From May 2024 to Jun 2024
North American Construct... (NYSE:NOA)
Historical Stock Chart
From Jun 2023 to Jun 2024