Transfield Services Canadian JV terms amended
Transfield Services announced today that it has agreed important amendments to the terms of its Canadian Oil Sands FT Services joint venture with Flint Energy Services, which was recently acquired by URS Corporation.
As a result of the agreed amendments, Transfield Services has waived its pre‐emptive rights to acquire Flint's shares in FT Services and will remain a 50 per cent partner in the joint venture.
Both Flint and Transfield Services have reaffirmed their agreement to perform asset maintenance services, sustaining capital works and turnarounds in the Canadian oil sands petrochemical markets through FT Services.
On completion of its acquisition of Flint, URS will also be required to confirm that it will only offer such services through FT Services and if they do not provide the required confirmation, Transfield Services preemptive rights will be re‐instated.
For its part, with the limited exception of the market in which the joint venture participates in Canada, Transfield Services will have access to all other markets in North America including power, mining and energy resource sectors.
There have also been amendments to the operation of the change of control provisions.
"This is a win‐win outcome," said Peter Goode, Transfield Services Managing Director and Chief Executive Officer. "We'll be able to build on our successful joint venture using the considerable additional capability that URS brings to the partnership. At the same time, it also presents exciting opportunities to grow Transfield Services North American Resources and Energy business."
Transfield Services North American Resources and Energy business currently offers a comprehensive suite of maintenance, turnaround and construction services, working in approximately 40 of the 150 refineries in the USA. Its longstanding customer base includes some of the largest oil and gas and chemical companies in the world, including BP, ConocoPhillips, Chevron, ExxonMobil, Shell and Dow.
In addition Transfield Services' Chilean INSER TS S.A. business is a leading provider of mining maintenance and capital works services in the fast‐growing Chilean market.
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Transfield Services employs over 19,000 people across 18 industries and 10 countries.
We are a global provider of operations, maintenance and construction services to the Resources, Energy, Industrial, Infrastructure, Property and Defence sectors.
We deliver asset management services across all phases of the asset lifecycle, from concept and creation, to services that sustain, optimise and enhance our Client’s assets. With diverse global experience and expertise, we share our knowledge and challenge thinking to develop and implement innovative solutions that deliver real value for our Clients. Our unique approach enables us to deliver continuous improvements in asset performance and sustain long term relationships with our Clients and partners.