JOHANNESBURG (miningweekly.com) – Engineering and construction group Murray & Roberts (M&R) on Friday announced that it had been awarded new underground mining projects in North America and Australasia to the value of R3.8-billion.
The contracts, which would be delivered over the next four years, represented a 25% increase in the value of the group’s underground mining order book, which stood at R15.3-billion at the end of December.
M&R said that prospects for its mining business were strong, buoyed by improvements in the commodity cycle and increased investment by mining companies.
Despite the strong underground mining order book, CEO Henry Laas acknowledged last month that the group’s overall order book of R22.1-billion at December 31, was low and said that it could be difficult to replenish contracts owing to a weak oil and gas market outlook, as well as a decrease in work in its power and water unit.
On February 28, M&R reported a 283% rise in attributable earnings to R110-million for the six months ended December 2017, as well as a 104% increase in diluted continuing headline earnings a share to 55c.
M&R’s share price advanced on Friday, trading at a high of R10.85 a share, up 12% from the previous day’s closing price of R9.70 a share.