Integrated Services Offering Secures Client
CALGARY, June 18, 2012 /CNW/ - The Churchill Corporation (TSX: CUQ) (TSX: CUQ.DB) ("Churchill") today announced that its wholly-owned subsidiaries, Stuart Olson Dominion Industrial Contractors Inc. ("SODICI") and Churchill Services Group Inc. ("CSG") have executed a multiple use field and plant services master services agreement with a leading Canadian integrated energy company active in Alberta's oil sands. This master services agreement covers a five year capital expenditure program with an anticipated spend of $100 million per year. Under the agreement, multiple projects, ranging from new infrastructure facilities and buildings to upgrades and renovations of existing facilities, may be secured and executed through various delivery methods including lump sum, cost reimbursable and design-build.
"This agreement is a validation of our efforts to integrate services for the benefit of our large industrial clients," said Jim Houck, President and CEO of Churchill. "It establishes SODICI and CSG as suppliers of choice with one of our biggest repeat customers. While this is not a sole-source arrangement, it is our understanding that the SODICI/CSG team is one of a limited number of entities that this customer will consider for projects under this master services agreement, which involves sizeable and complex facilities. Additions to backlog will be made as specific projects are awarded to SODICI and CSG."
About The Churchill Corporation
The Churchill Corporation provides building construction, commercial and industrial electrical contracting, earthmoving and industrial insulation services to an array of public and private sector clients. Churchill operates office locations throughout British Columbia, Alberta, Saskatchewan, Manitoba, and northern Ontario. Churchill common shares and convertible debentures are listed on the Toronto Stock Exchange under the symbols "CUQ" and "CUQ.DB", respectively. www.churchillcorporation.com
Forward Looking Information
This press release contains statements that may constitute forward-looking information within the meaning of applicable securities laws. This forward-looking information includes, without limitation, statements pertaining to the expected duration of the customer's capital expenditure program, the types of projects that may be secured under the master services agreement and the anticipated value of the contracts expected to be executed annually. Forward-looking information is based on management's reasonable assumptions and estimates in respect of its experience and perception of trends, current economic conditions as well as other material factors that it considers to be relevant at the time of making such statements. The forward-looking information in this press release is included solely for the purpose of assisting investors in understanding the Corporation's financial position and the results of its operations as at the date hereof. By its nature, forward-looking information involves known and unknown risks and uncertainties, which give rise to the possibility that management's assumptions and estimates will be incorrect and that the Corporation's anticipated results will not be achieved. Such statements should not be interpreted as a guarantee of future performance or results, and will not necessarily be an accurate indication of whether or not such results will be achieved. Forward-looking information is subject to a number of factors that may cause actual results to differ materially from those results implied by the expectations suggested by such information. Those factors include, without limitation, the risks and uncertainties described in the Corporation's Annual Information Form filed with the securities regulatory authorities in Canada under the Corporation's profile at www.sedar.com. Readers are encouraged to consider the foregoing risks and other factors carefully when evaluating the forward-looking information and are cautioned not to place undue reliance upon such information when making investment decisions. The forward-looking information in this press release is current to the date hereof, and is subject to change following such date. While the Corporation may elect to do so, unless required by applicable law, it undertakes no obligation to update this information to reflect new information or circumstances at any particular time.