TSX Exchange Symbol: HNL
CALGARY, Aug. 9 /CNW/ - Horizon North Logistics Inc. ("Horizon")
announced today that it has cancelled its contract to build 6 double hulled,
combination fuel oil/flat deck cargo barges. The contract provided for such
cancellation in the event that certain construction quality and timing
specifications were not met. Recent inspections by Horizon personnel and
consultants revealed construction deficiencies that would not allow the
vessels to meet specified quality standards and delivery dates. The party with
which Horizon had contracted to build the barges has refunded the full amount
of the progress payments made to date.
"Horizon remains committed to providing marine services in Canada's
northern regions in a safe and environmentally protective manner. Properly
constructed equipment is of paramount importance to minimize the risks
associated with working in harsh northern conditions and this was the primary
consideration in the decision to cancel the barge construction contract. We
are pursuing various alternatives for constructing double hulled barges," said
Rob Hunt, Horizon's President.
Certain information regarding Horizon and the above described future
plans may constitute forward-looking information under applicable securities
law and necessarily involves risks, including, without limitation failure to
achieve strategic objectives. As a consequence, actual results may differ
materially from those anticipated in the forward-looking information. Readers
are cautioned that the foregoing list of factors is not exhaustive.
Furthermore, the forward-looking information contained in this news release is
provided as of the date of this news release, and Horizon undertakes no
obligation to update publicly or to revise any of the included forward-looking
information, whether as a result of new information, future events or
otherwise, except as may be expressly required by applicable securities law.
For further information:
For further information: Ric Peterson, Chairman and Chief Executive
Officer or Bob German, Vice President, Finance and Chief Financial Officer;
Telephone: (403) 517-4654, Fax: (403) 517-4678