Aecon wins $123M Fort Hills oilsands contract
Aecon Group (TSE:ARE) said Monday it has won a $123 million mining contract from Fort Hills Energy for mine-site development at the Fort Hills oilsands project in Alberta.
Aecon stock rose 4.6% on the news to $16.52. The company has 56.45 million outstanding shares and a market capitalization of $933.10 million.
The Canadian construction and infrastructure provider said in a news release that work is to begin later this month and is slated for completion in the second quarter of 2016.
"We are very pleased to work with Fort Hills and its operator, Suncor Energy Operating Inc.," said Teri McKibbon, Aecon’s president and CEO. "Suncor is a long-time, valued client.”
McKibbon said the company has recently announced three important mining contracts. He described them as "a solid foundation of backlog for the mining segment as we enter the second half of the year, and further utilization of our mining fleet of equipment.”
Aecon provides integrated turnkey services to private and public sector clients.