| LEI | Leighton Contractors announced that it has been selected as the preferred proponent by Wynn Resorts to design and build the Wynn Cotai integrated hotel resort in Macau, the world’s biggest gaming hub. Described as “the single most important project” for Wynn Resorts, the Wynn Cotai occupies a site on the Cotai Strip, which is reclaimed land between the islands of Taipa and Coloane. The project includes the construction of a luxury hotel and a mixed-use podium comprising gaming, dining, retail, and convention facilities, a nightclub and numerous specialist attractions. The resort site covers a construction floor area of more than 450,000 square metres. Wynn Cotai is a very significant project for Leighton as it demonstrates its ability to deliver high-quality and highly complex projects that meet or exceed client expectations. The project was won on the back of our solid track record and comprehensive building and project management competency and experience, and proactively positions the company to provide end-to-end solutions for clients. | Company report |
| LEI | Leighton Contractors Pty Limited, in conjunction with its Gateway WA Consortium partners Georgiou, GHD, AECOM and BG&E, will begin detailed planning for the Gateway WA Perth Airport and Freight Access Project, after signing an alliance agreement with Main Roads WA. The project, valued at more than $1 billion, involves much-needed improvements around Perth Airport as well as the nearby Kewdale and Forrestfield industrial estates, including extra lanes on Tonkin Highway, new interchanges and the upgrade of Leach Highway to an expressway. | Company report |
| LEI | Leighton Properties has announced its 55,000m2 office development at 567 Collins Street and intends to commence construction within weeks with the signing of an anchor tenant for the building. Leighton Contractors has been appointed to build the 55,000 sqm building and are considering being one of two anchor tenants in the building leasing the podium campus component of the development. Terms have also been agreed with leading law firm Corrs Chambers Westgarth Legal to take 8,800 sqm of the sky rise in the 26 level Premium Grade tower between Spencer and King Streets in Melbourne’s CBD. | Company report |
| MIN | Mineral Resources announces that it has concluded a four year, $558 million syndicated loan and guarantee facility (the Facility). The loan portion totals $322 million and will be used to refinance all existing bank facilities, provide funding for recently awarded plant installations and also additional resources for anticipated new contracting work. The facility, consisting of term loan and revolving portions, attracts a margin of 235 bps over BBSY based on MRL’s gearing levels. Transactional and equipment finance facilities are available separately. The guarantee facility of $236 million will be used to replace existing statutory and performance bonds and provide additional capacity for future contracting opportunities. | Company report |
| IPL | may bid for a 49% stake in ammonia group Yara Pilbara, formerly known as Burrup Fertilisers, which could be worth more than US$400 million as US energy giant Apache Energy is poised to offload its 49% stake | AFR |
| IPL | could be running the ruler over ELD’s rural services arm | AFR |
| IDL | Industrea shareholders approved a scheme of arrangement with a local division of GE | AFR |
| QBE | While the company’s $500m convertible securities issue announced alongside yesterday’s earnings downgrade was supposed to clear up any thoughts of an equity raising, some investors failed to get the message, worried one may be needed to protect the A+ credit rating | AFR |
| AGO | doubts surround AGO’s anticipated December debt raising after BSL withdrew its $300m raising | AFR |
| BHP | BHP is considering shipping a portion of its US shale gas reserves to Asia, a strategy that would reshape the global gas industry and compete with exports from Australia’s huge LNG projects in WA, the NT & Qld. The company is buying more shale acreage in the US, and believes its recent $US2.84bn impairment charge will be more than offset by looming valuation boosts on three front | SMH |
| WPL | Woodside Petroleum has dismantled its work compound at James Price Point in the Kimberley amid mounting speculation that its planned $40bn Browse gas project will be developed offshore using floating LNG technology | The Australian |
| BCS | BrisConnections, owner & operator of Brisbane’s troubled Airport Link tunnel, is on the verge of receivership after acknowledging for the first time it may not be able to pay back more than $3bn in debt | AFR |
| ORG | Origin Energy has renewed its attacks on pricing regulations, telling shareholders there were “substantial changes” ahead with the company forced to operate in an uncertain regulatory environment as it looks to fund its share of the $2.3bn Australia Pacific LNG project | The Australian |
| LYC | Australian rare earths producer Lynas Corporation has completed a $150m institutional placement as it raises the finances required to fund the completion and start-up of its processing facility in Malaysia | The Australian |
| LEI | Following the announcement made yesterday by BrisConnections, Leighton Holdings Limited confirms that it is reviewing the carrying value of its $63 million deferred equity commitment to BrisConnections. In the event that Leighton Holdings was to impair the deferred equity commitment to BrisConnections, it would be offset against the capital gain of $115 million before tax and $81 million after tax made on the recent sale of Thiess Waste Management. Any impairment would have no impact on Leighton Holdings’ previously advised underlying NPAT forecast of $400 to $450 million for the financial year ended 31 December 2012. Underlying NPAT excludes capital gains and impairments. | Company report |
| NAB | National Australia Bank has agreed to settle a shareholder class action brought against the group by shareholders who acquired NAB shares between 1 January 2008 and 24 July 2008. The settlement involves a payment of $85 million plus an allowance in respect of interest and costs in full and final settlement of the class action. As $50 million of the settlement comprises available insurance proceeds with the remainder covered by existing provisions, there will be no action on 2013 financial year earnings, NAB said. In a statement to the Australian Securities Exchange, NAB said the settlement does not reflect an admission of liability by the bank. “We have always said we would vigorously defend the class action and we remain confident about our legal position in the proceedings,” NAB company secretary Michaela Healey said in the statement. “The settlement of the class action is a purely commercial decision made in the interests of our shareholders,” she said. Healey said that following the agreement, NAB is now able to continue its focus on improving company returns of shareholders. The settlement is subject to approval from the Supreme Court of Victoria. If approved, it will be administered by Maurice Blackburn in accordance with a settlement scheme. NAB said if the settlement is approved by the court, the proceedings will be dismissed without admission of liability. | Morningstar |
| UGL | UGL announced that is has been awarded a new five and a half year contract with Shell Refining (Australia) Proprietary as the Primary Mechanical Services contractor at the Shell Geelong site. The contract has a total value of approx. $200m. Under the contract, UGL will provide maintenance services, minor capital works and turnarounds at the Shell Geelong site. Work is expected to commence under the new contract in December 2012. | Morningstar |
| IPL | NPAT excluding individually material items decreased by 24%, or $125.4m, to $404.7m. EBIT excluding individually material items decreased by 22% or $173.0m to $599.1m, due to a 40% fall in Fertiliser EBIT, partially offset by 8% growth in Explosives. Operating cash flows decreased by $98.3m to $620.8m (2011: $719.1m) reflecting the decline in Fertiliser earnings and the resumption of tax payments, partially offset by an improvement in the Trade Working Capital (“TWC”) position. Net Debt increased by $98.1m to $1.3Bn (30 September 2011: $1.2Bn), as the Group spent $303m completing the construction of the Moranbah ammonium nitrate (“AN”) plant. Strong credit metrics were maintained: Net | Company report |
| UGL | UGL has reiterated FY13 guidance at its AGM: “UGL continues to expect 2013 trading conditions overall to be volatile and challenging which we presently forecast to result in a similar trading performance to the 2012 financial year as we forecast at the full year. We anticipate that the continuing uncertainty and projects timing will result in a more pronounced earnings skew to the second half.” Furthermore: “There is some indication that the slowdown of 2012 may be abating and that some delayed projects may get the go ahead in 2013. As is typical with any cycle, time alone will tell.” | Shaw |
| SVW | Seven West Media has said it plans to strip $50 million out of its annual cost base within two years | AFR |
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