CALGARY, Feb. 2, 2012 /CNW/ - TSX Symbol: HNL
Horizon North Logistic Inc. ("Horizon") announced today that it has entered into a contract for the provision of a new 600 person camp including accommodation, office and recreation facilities along with catering and camp management services for an oil sands project in the Fort McMurray, Alberta area. The contract term is for 27 months with the first 200 beds expected to be in place by September 2012 with the full 600 beds being deployed by March 2013. Revenues over the term of the contract are expected to be approximately $40 million with associated capital investment amounting to approximately $27 million.
Bob German, President and Chief Executive Officer of Horizon noted, "This contract further solidifies Horizon's capital spending plans for the year and keeps us on track for continued growth. We continue to experience strong bidding activity and anticipate that 2012 capital spending will amount to approximately $100 million to meet this demand".
Additional information related to the Corporation, including the Corporation's annual information form, press releases, financial statements, and MD&A are available on SEDAR at www.sedar.com.
Certain statements contained in this news release constitute forward-looking statements or information. All statements other than statements of historical fact contained in this news release may be forward looking statements. These statements relate to future events or future performance of Horizon. In particular, forward looking information includes the statements that revenues from the new contract are expected to be approximately $40 million and that capital spending during 2012 is expected to be approximately $100 million to meet continuing strong demand for Horizon's products and services.
The foregoing statements assume that the new camp will be completed as expected and that the strong demand for Horizon's products and services will continue through 2012.
Although Horizon believes that the expectations set forth in this press release are reasonable, there can be no assurance that such expectations prove to be correct.
As such, many factors could cause the performance or achievements of Horizon to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements.
For further information:
please contact Bob German, President and Chief Executive Officer or Scott Matson, Vice President Finance and Chief Financial Officer, 1600, 505 - 3rd Street S.W., Calgary, Alberta T2P 3E6; Telephone: (403) 517 - 4654; Fax: (403) 517 - 4678; Website: www.horizonnorth.ca