WorleyParsons is announcing today that it has signed agreements to purchase Komex Environmental and HG Engineering Ltd in a move that will significantly extend the company’s operations in Canada and add additional capability to the Hydrocarbons, Infrastructure and Minerals & Metals sectors.
Calgary based Komex provides a range of services including water resource engineering and specialist geotechnical and environmental consulting and engineering to the resources and energy sector. Komex’s services extend from initial environmental impact assessments to environmental management planning, ongoing site monitoring and end of operational life site remediation. Komex is recognized as one of the world’s leading groundwater consultants.
The company has operations in Canada, the USA and Europe and currently employs approximately 420 staff. Komex reported revenue of approximately US$43.5m (A$59m) in 2004. The acquisition price is approximately A$34m (C$30.1m) with an effective date of 01 January 2006.
WorleyParsons is also announcing today that it has signed an agreement to purchase Canadian minerals and metals company HG Engineering Ltd (HGE).
HGE is an engineering and project management business with operations in Toronto, Canada and Dallas, Texas. It has a proven project track record for engineering and project delivery in the minerals and metals sector. It is recognized as a specialist in hydrometallurgy and gas cleaning technologies as well as bulk materials handling, machine design and advanced design analysis. HGE has long and established relationships with key clients in the minerals and metals sector.
HGE reported revenues of approximately C$14.2m over the last year and has around 140 employees. The acquisition price is approximately C$11.4m comprising a fixed component and a deferred incentive based component. The fixed component will be satisfied by an initial payment of C$9.0m.
Commenting on these developments WorleyParsons chief executive officer Mr John Grill said:
“We see significant prospects in the Canadian market and the combination of these businesses positions WorleyParsons to capitalize on this growth. The acquisition of Komex Environmental and HGE complements and supports our existing Canadian operation, WorleyParsons MEG while providing additional capability for our global operations.
“As a world class supplier of key environmental and water resource services, Komex further expands WorleyParsons ability to support both the initial development and the ongoing operation of major resource projects around the globe. We look forward to the continued engagement of the management team at Komex to help us further develop this exciting opportunity.
“The addition of HGE is an important step forward for WorleyParsons in the development of our global Minerals & Metals business. HGE brings significant expertise and experience in mineral and metal processing in the base and ferrous metal industries that will complement that our existing capability,” he said.
