VANCOUVER, Dec. 20, 2012 /CNW/ - WesternOne Equity Income Fund ("WesternOne Equity") (TSX: WEQ.UN, WEQ.DB.B, WEQ.DB.C) today announced that its modular construction division, WEQ Britco LP ("Britco"), executed a contract to design, build and install the first phase of a 2,000 room workforce accommodation complex for Manitoba Hydro.
The contract will occur in two phases and will provide workforce accommodations for the construction of the Keeyask Generating Station Project. In the first phase, Britco will provide 500 dorm rooms as well as a gymnasium, recreation centre, water treatment facilities and the kitchen and dining areas. Phase one will be complete in June 2014. Phase two of the project is subject to Manitoba Hydro receiving regulatory approval for the Keeyask Generating Station Project which is anticipated in early June 2014. In phase two of the project, Britco will supply and install the remaining 1,500 rooms for the workforce accommodation complex.
The two phases of the project are aggregately valued at approximately $207 million, with phase one totaling about $101 million and phase two $106 million.
Manitoba Hydro's proposed Keeyask Generating Station Project is estimated to be $6.2 billion. Keeyask is located in northern Manitoba, 725 kilometers northeast of Winnipeg on the lower Nelson River, 30 kilometers west of Gillam and will be Manitoba's 4th largest generating station.
"We are proud to be working with Manitoba Hydro and its First Nation and community partners on this important project and look forward to designing and building one of the most advanced workforce accommodations complexes anywhere in Canada," stated Darren Latoski, CEO of WesternOne Equity.
The rooms will be manufactured in Britco's two facilities in British Columbia and will have private bathrooms and hotel-quality finishes.
Said Latoski, "Not only does the Keeyask Project expand Britco's project delivery capabilities beyond northern Alberta and British Columbia but also it further diversifies our customer base by adding a strong renewable energy provider in Manitoba Hydro."
Manitoba Hydro's Keeyask Project is the largest project for Britco during its 35 years in business. Since it was acquired by WesternOne Equity in June 2011, Britco has announced a series of expansion initiatives including the establishment a modular building manufacturing facility in Waco, Texas (September 2011) and the purchase of a modular manufacturing business in Edmonton, Alberta (January 2012).
Certain statements in this press release may constitute "forward-looking" information that involves known and unknown risks, uncertainties and other factors, and it may cause actual results, performance or achievements or industry results, to be materially different from any future results, performance or achievements or industry results expressed or implied by such forward-looking information. Forward-looking information is identified by the use of terms and phrases such as "anticipate", "believe", "could", "estimate", "expect", "intend", "may", "plan", "predict", "project", "will", "would", and similar terms and phrases, including references to assumptions. Such information includes, without limitation, statements with respect to: the design, build and install of a 2,000 room workforce accommodation complex for Manitoba Hydro, the particular facilities to be used by Britco to manufacture the required modular buildings and the additional diversification of Britco's business that will result from its work on the Keeyask Project. Actual events or results may differ materially.
Forward-looking information contained in this press release is based on certain key expectations and assumptions made by WesternOne Equity, including, without limitation, expectations and assumptions respecting: the timing of the rollout of the Keeyask Project, the outlook of WesternOne Equity's business and the economy in Western Canada and the United States, the supply and demand for WesternOne Equity's products and services and management's assessment of future plans and operations. Although the forward-looking information contained in this press release is based upon what the WesternOne Equity's management believes to be reasonable assumptions, WesternOne Equity cannot assure investors that actual results will be consistent with such information. Forward-looking information reflects current expectations of management regarding future events and operating performance as of the date of this press release. Such information involves significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such results will be achieved. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking information, and a description of these factors can be found under "Risk Factors" in WesternOne Equity's Annual Information Form dated March 29, 2012 and Management's Discussion and Analysis dated November 14, 2012, which are available on SEDAR (www.sedar.com).
The forward-looking information contained herein is expressly qualified in its entirety by this cautionary statement. Forward-looking information reflects management's current beliefs and is based on information currently available to WesternOne Equity. The forward-looking information is made as of the date of this press release and WesternOne Equity assumes no obligation to update or revise it to reflect new events or circumstances, except as may be required by applicable law.
About WesternOne Equity
WesternOne Equity seeks to acquire and grow businesses in the construction and infrastructure services sectors in order to generate stable and growing distributions to its unitholders as well as to achieve overall capital appreciation.
Additional information relating to WesternOne Equity, including WesternOne Equity's Annual Information Form and other public filings, is available on SEDAR at www.sedar.com or on WesternOne Equity's website at www.weq.ca.
With over 600 employees, Britco is the one of the largest providers of temporary and permanent residential and commercial modular buildings in North America and has one of the largest lease fleets of office complexes, construction site offices and storage containers in Western Canada. Britco has four manufacturing facilities located in Canada and the United States; two in British Columbia, one in Alberta, and one in Texas. Britco is a leading design-builder of a wide range of innovative modular buildings for companies in the construction, energy and resource sectors in Western Canada and the United States. One of the largest and fastest growing construction companies in Western Canada, Britco is headquartered in Langley, British Columbia.
Additional information about Britco is available at www.britco.com
About Manitoba Hydro
Manitoba Hydro is a Provincial Crown Corporation providing hydro electric energy and natural gas to customers in the Province of Manitoba. Manitoba Hydro serves 542,000 electric customers throughout the province and 267,000 natural gas customers in various communities in southern Manitoba. The Crown Corporation exports electricity to electric utilities through participation in three wholesale markets in Canada and the mid-western United States. Manitoba Hydro generates self-renewing water power from 14 hydroelectric generating stations located primarily on the Winnipeg, Saskatchewan, Burntwood and Nelson rivers.
With annual revenues of approximately $2 billion and capital assets-in-service at original cost exceeding $13 billion, Manitoba Hydro is one of the largest energy utilities in Canada. Manitoba Hydro plans to invest almost $20 billion in new generation, transmission and upgrades and reinforcement to its existing distribution systems over the next decade.
Additional information about Manitoba Hydro is available at www.hydro.mb.ca
About the Keeyask Project
The Keeyask Project includes the Keeyask Infrastructure Project and the Keeyask Generating Station Project. Development of the Keeyask Project is a collaborative effort between Manitoba Hydro and four Manitoba First Nations - Tataskweyak and War Lake (acting as the Cree Nation Partners), York Factory and Fox Lake - working together as the Keeyask Hydropower Limited Partnership.
Manitoba Hydro's proposed Keeyask Generating Station will be a source of renewable energy, providing approximately 695 megawatts of capacity and producing an average of 4,400 gigawatt hours of electricity each year. Manitoba Hydro began work on the Keeyask Infrastructure Project - including preliminary work on access road construction and camp development - in early 2012. More information on the Keeyask Project can be found at:
Toronto Stock Exchange: WEQ.UN, WEQ.DB.B and WEQ.DB.C
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SOURCE: WesternOne Equity Income Fund
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For investor relations information, please contact:
Andrew Greig, Manager of Investor Relations
WesternOne Equity Income Fund
Suite 910, 925 West Georgia Street
Vancouver, BC V6C 3L2
Phone: (604) 678-4042