Acquisition(s)
FOR IMMEDIATE RELEASE
August 25, 2009
MUSTANG INVESTS IN SAUDI ARABIAN ENGINEERING BUSINESS
Mustang Al-Hejailan Engineering to provide international engineering
capability to Saudi oil & gas industry
HOUSTON - Mustang International, LP, part of international energy services
company John Wood Group PLC ("Wood Group"), has agreed to acquire a majority
interest in Al-Hejailan Consultants' business through a newly established joint
venture, Mustang Al-Hejailan Engineering. Al-Hejailan Consultants, which is
injecting its gross assets of approximately $11m at June 30, 2009, will retain
the remaining interest. Upon completion later this year, Mustang Al-Hejailan
Engineering will provide engineering and project management services to Saudi
Arabia's oil & gas and chemical industries.
"The formation of Mustang Al-Hejailan Engineering gives us the opportunity to
create a world-class international engineering capability in Saudi Arabia by
adding highly experienced project management and engineering resources from
Mustang to Al-Hejailan Consultants'existing capability and excellent project
delivery," said Steve Knowles, president of Mustang. "We look forward to this
strategic combination of staff and capabilities, which will enable us to
deliver a sustainable project management, engineering, procurement, and
construction management (EPCM) business in Saudi Arabia, home to the largest
oil reserves in the world."
Mustang is one of the world's leading oil & gas engineering companies,
providing project management, conceptual and detailed engineering, and
construction management services. Mustang brings a track record of successful
worldwide delivery of large, complex offshore and onshore oil & gas, refining,
and petrochemical projects. The formation of Mustang Al-Hejailan Engineering
further expands Mustang's presence in the Middle East region, following the
establishment of an office in Abu Dhabi earlier this year.
Al-Hejailan Consultants, based in Al-Khobar, provides engineering and project
management consultancy services to a wide range of markets, including oil &
gas, petrochemical, infrastructure, and power within Saudi Arabia. The company
employs a multi-disciplinary staff of 150 personnel, including engineers,
project managers, designers, schedulers and other engineering support, and is a
general engineering services (GES) contractor to Saudi Aramco.
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Faisal Al-Hejailan, president of Al-Hejailan Consultants, sees this new company
as "an important opportunity to enhance our services in the Kingdom of Saudi
Arabia through our association with Mustang and it is consistent with Aramco's
recently announced strategic plan for local GES contractors to partner with
international companies. Our partnering with Mustang will also bring to Saudi
Arabia a considerable engineering capability in the field of chemicals and
petrochemicals to address future plans of Sabic and the Royal Commission in
Jubail and Yanbu."
- ends -
Notes to Editors
Wood Group is an international energy services company with $5.2 bn sales,
employing more than 28,000 people worldwide and operating in 46 countries. The
Group has three businesses-Engineering & Production Facilities, Well Support,
and Gas Turbine Services-providing a range of engineering, production support,
maintenance management and industrial gas turbine overhaul and repair services
to the oil & gas, and power generation industries worldwide. www.woodgroup.com
Mustang is an independent services provider to the global oil, gas, chemical
and manufacturing industries. The company specializes in design, engineering,
procurement, project management and construction management and offers these
services through its six business units: upstream oil and gas, midstream,
pipeline, automation and control, refining and petrochemicals, and process &
industrial. Mustang has offices in the United States, United Kingdom,
Australia, India, and the Middle East. www.mustangeng.com
Al-Hejailan Consultants, established in 1980 and headquartered in Riyadh,
employs 150highly qualified engineers, designers, project managers, schedulers,
material specialists, and support staff in its Riyadh headquarters and
Al-Khobar engineering office. The company has successfully engineered and
managed the construction of more than ten billion Saudi Riyals worth of
grassroots and expansion projects for key industrial clients, government
agencies, and international development funds. Al-Hejailan's services extend
beyond the Saudi market to reach clients in the Gulf region and other
neighboring countries. www.alhejailan-consultants.com
For further information contact:
Media enquiries -
Mustang - Dena Lee, Tel: +1 713 215 8000; dena.lee@mustangeng.com
Wood Group - Carolyn Diack, +44 1224 851489, Carolyn.diack@woodgroup.com
Investor and analyst enquiries -
Nick Gilman, Group Head of Investor Relations and Corporate Communications
Tel: +44 (0) 1224 851404, nick.gilman@woodgroup.com