Toronto, Ontario – October 23, 2008: Aecon Group Inc. (TSX: ARE) today announced that its Infrastructure Division has entered into a four-year alliance contract from Enbridge Gas Distribution Inc. (“Enbridge”) that could total approximately $180 million over the term of the agreement.
Under the alliance agreement with Enbridge, Aecon will undertake Enbridge’s gas distribution construction work in the central and eastern portions of Enbridge’s natural gas distribution franchise area in Ontario. Work performed under the alliance agreement will include the installation of distribution mains as well as the connection of services to customers. Work under the alliance will begin immediately.
“Completing this alliance agreement with Enbridge Gas Distribution is an important strategic and operational milestone for Aecon. It represents an entirely new source of gas distribution work for us, and has the potential to double our gas distribution revenues over the next few years,” said Teri McKibbon, CEO of Aecon’s Infrastructure Group. “This award is a testament to the strength of Aecon’s ability to work with its key clients over an extended duration. We very much look forward to working together and building a strong strategic relationship with Enbridge Gas Distribution in the years to come.”
Aecon Group Inc. is Canada's largest publicly traded construction and infrastructure development company. Aecon and its subsidiaries provide services to private and public sector clients throughout Canada and internationally. Aecon is pleased to be recognized as one of the 50 Best Employers in Canada as published by Report on Business Magazine.
Enbridge Gas Distribution Inc. has a 160-year history and is Canada's largest natural gas distribution company. Enbridge Gas Distribution is owned by Enbridge Inc., a Canadian-based leader in energy transportation and distribution. Enbridge Inc. owns and operates distribution services serving about 1.9 million customers in Ontario, New York State, New Brunswick and southwestern Quebec. Enbridge Gas Distribution’s Ontario franchise area includes Toronto, Ottawa, Peel, Dufferin, York, Durham, the Niagara Peninsula, Brockville, Peterborough, Barrie, and Collingwood.