Foraco International enters Australian drilling market with acquisition of majority interest in Mosslake Drilling Services



    
    /NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE
    UNITED STATES/
    

    TORONTO and MARSEILLES, France, April 14 /CNW/ - Foraco International SA
(TSX: FAR) (the "Company" or "Foraco"), a leading global provider of
diversified drilling services, today announced it has entered into a
definitive agreement to acquire 51% of the share capital of Mosslake Drilling
Services Pty Ltd. ("Mosslake"), based in Perth, Australia, for total
consideration of A$5 million in cash and 500,000 Foraco common shares, subject
to certain adjustments based on Mosslake's operating performance up until
December 31, 2009. The common shares included in the purchase consideration
were acquired by Foraco on the open market under the Company's previously
announced Normal Course Issuer Bid. Mosslake specializes in diamond core,
directional, geotechnical and large diameter drilling services for top tier
companies in the mining and mineral exploration industry.
    Mosslake's founders and senior management team will remain with the
Company. Under the terms of the transaction, the parties will have a call and
a put option to transfer the remaining 49% ownership of Mosslake shares in
2013, provided that the exercise of the call and put option occurs on or
before on December 31, 2012.
    "The acquisition of Mosslake marks our entry into Australia, one of the
most active mining markets in the world, and further enhances our capability
to serve our customers throughout the entire Australasian region," said Daniel
Simoncini, Chairman and Chief Executive Officer of Foraco. "Supported by
Mosslake's strong operational and management teams, we intend to more
aggressively pursue and develop relations with large, globally recognized
mining companies that have decision centres in Australia."
    "With the addition of Mosslake's outstanding team, assets and established
market presence in Australia, we believe this transaction significantly
strengthens our platform for future growth," said Jean-Pierre Charmensat,
Vice-CEO and Chief Financial Officer. "We welcome the entire team from
Mosslake to Foraco and look forward to their contributions in advancing our
mission of establishing Foraco as a world leading drilling services company,
offering a unique combination of global experience, local expertise, and
constant customer focus."
    "This transaction is an excellent fit for us. Foraco is an emerging
global leader in our industry that has a proven track record of exceptional
performance in the field, and strong revenue and earnings growth," said
Mosslake founders Ken Macleay and Pete Fischer. "We look forward to exploiting
a broader range of market opportunities with the support of Foraco's
operations, infrastructure, know-how and resources."
    Through the acquisition, Foraco has acquired eight modern, deep
combination drills rigs, plus ancillary equipment and access to highly trained
and competent management and crews. Mosslake is expected to generate
approximately A$10 million in revenue for its fiscal year ending June 30,
2009. Subsequent to the acquisition, Foraco will have a total of 114 drill
rigs.

    About Foraco

    Foraco (TSX: FAR) is a worldwide drilling service provider headquartered
in Marseille, France. The Company provides a diverse range of drilling
services to the minerals, energy, water, environmental and infrastructure
sectors. The Company currently operates 114 drilling rigs, with a presence in
18 countries across five continents. For more information about Foraco, visit
www.foraco.com.

    Caution concerning forward-looking statements

    This document may contain "forward-looking statements" and
"forward-looking information" within the meaning of applicable securities
laws. These statements and information include estimates, forecasts,
information and statements as to management's expectations with respect to,
among other things, the future financial or operating performance of the
Company and capital and operating expenditures. Often, but not always,
forward-looking statements and information can be identified by the use of
words such as "may", "will", "should", "plans", "expects", "intends",
"anticipates", "believes", "budget", and "scheduled" or the negative thereof
or variations thereon or similar terminology. Forward-looking statements and
information are necessarily based upon a number of estimates and assumptions
that, while considered reasonable by management, are inherently subject to
significant business, economic and competitive uncertainties and
contingencies. Readers are cautioned that any such forward-looking statements
and information are not guarantees and there can be no assurance that such
statements and information will prove to be accurate and actual results and
future events could differ materially from those anticipated in such
statements. Important factors that could cause actual results to differ
materially from the Company's expectations are disclosed under the heading
"Risk Factors" in the Company's Annual Information Form dated March 31, 2009,
which is filed with Canadian regulators on SEDAR (www.sedar.com). Except as
required by Canadian securities law, the Company expressly disclaims any
intention or obligation to update or revise any forward-looking statements and
information whether as a result of new information, future events or
otherwise. Such statements speak only as of the date they are made. All
written and oral forward-looking statements and information attributable to
Foraco or persons acting on our behalf are expressly qualified in their
entirety by the foregoing cautionary statements.

    %SEDAR: 00025480E




For further information:

For further information: Bruce Wigle, Investor Relations, The Equicom
Group, T: (416) 815-0700 or 1-800-385-5451, ext. 228, F: (416) 815-0080, E:
bwigle@equicomgroup.com


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