DRUMMONDVILLE, QC, June 3, 2013 /CNW Telbec/ - CVTech Group Inc. ("CVTech" or "the Corporation") (TSX: CVT) today announced that its subsidiaries have been awarded several new contracts representing a total value of approximately $77.4 million. All amounts are in Canadian dollars unless otherwise indicated.
First, Ontario-based subsidiary Riggs Distler Inc. ("RDI") has obtained five contracts totalling $24.5 million.
- A $9.6 million contract for the construction of a large-scale underground substation in downtown Toronto. Work is expected to be carried out between July 2013 and December 2014. In addition to RDI, recently-acquired subsidiary B.G. High Voltage Systems Limited will also be involved on this project.
- A $3.4 million contract for electrical and civil work on Toronto's electricity distribution network. Work will be spread out until December 2013.
- A two-year contract valued up to $4.0 million to carry out work on a municipal utility company's aerial electricity distribution network. The contract covers the period from June 2013 to May 2015.
- A contract valued at $3.6 million to install an underground collector system and substation at a new wind farm located near Shelburne. Work is expected to begin in July 2013 and be completed in December 2013.
- A $3.9 million contract to perform electrical and civil work for the relocation of a Toronto Transit Commission track in downtown Toronto. Work is expected to begin in June 2013 and be completed in December 2013.
Second, U.S. subsidiary Riggs Distler & Company, Inc. ("RDC") has been awarded several contracts valued at US$45.4 million (Cdn $47.1 million).
- An important contract valued at US$14.0 million for the installation of piping and equipment at a new power generating facility in New Jersey. Work is expected to begin in June 2013 and extend over a period of six months.
- Another contract worth US$3.4 million for a turn-around project to complete mechanical maintenance work at a major refinery in New Jersey. Work is expected to be carried out between July and November 2013.
- A long-term contract totalling up to US$16.0 million awarded by a major Mid-Atlantic utility company to provide construction and maintenance services on its overhead electricity distribution network in Washington, DC and Southern Maryland. The contract covers the period from June 2013 to July 2015.
- Two contracts from a major solar energy system integrator for the installation of two ground mounted solar systems totalling 25.9 MW in New Jersey. The contracts have an aggregate value of US$12.0 million and work is expected to be completed by the end of 2013.
Finally, Thirau ltée was awarded a contract valued at approximately $5.8 million by Hydro-Québec for the construction of 315-kV and 120-kV electricity transmission lines to connect the new Lachenaie, Pierre-Le Gardeur and Saint-Bruno-de-Montarville substations, in the Greater Montreal area, to the network. Execution of the contract is expected to begin in June 2013 and be completed by the end of September 2013.
"CVTech is proud to have been awarded these contracts which highlight our extensive service offering. We are particularly pleased with the contracts obtained by RDI in Ontario where our market presence and reputation continue to gather further momentum. Meanwhile, the refinery mandate in New Jersey confirms the recovery in this sector and underline RDC's expertise in the heavy-industrial market. RDC also continues to show its leadership in the installation of solar systems, as evidenced by the two contracts awarded," said André Laramée, President and Chief Executive Officer of CVTech.
OVERVIEW OF THE CORPORATION
CVTech is a company operating in the energy sector. The Corporation is a leading provider of construction and maintenance services to the public utility and heavy industrial markets mainly in Quebec, Ontario and the eastern United States. Through its subsidiaries, the Corporation provides maintenance and construction services for electricity transmission and distribution networks, substations and electrical power houses, as well as the control of vegetation on rights-of-way for electrical lines.
This document may contain forward-looking statements that reflect management's current expectations regarding future events. Forward-looking statements are based on a number of factors and include risks and uncertainties. Actual results may differ from forecast results. Management assumes no obligation beyond what is required under the law to update or revise forward-looking statements pursuant to new information or future events.
SOURCE: CVTECH GROUP INC.
For further information:
André Laramée, MBA
President and Chief Executive Officer
Mario Trahan, CPA, CMA
Chief Financial Officer
Martin Goulet, CFA