North American Energy Partners Inc.

North American Energy Partners Inc.

May 24, 2005 23:59 ET

North American Construction Group Positioned For the Future

ACHESON, ALBERTA--(CCNMatthews - May 24, 2005) - North American Construction Group Inc. has positioned itself to benefit from the demand for heavy construction and mining services required by major resource projects in Canada. The company's newly stabilized financial position and its recent senior management appointments to top leadership roles position it well to participate in the rapidly expanding development of the oil sands in Alberta, the planned expansion of pipeline capacity in western Canada, the opening of coal mines in Alberta and British Columbia, the opening of new diamond mines in northern Canada and the development of new industrial and government infrastructure projects in western Canada.

On May 19 the company closed the sale of US $60,481,000 in 9% Senior Secured Notes due 2010 and a new revolving credit facility of $40,000,000, which together replaced the company's prior senior secured credit facility. "We are extremely pleased to have our new financing in place," said Ron McIntosh, chairman of the board of directors. "Our ability to attract quality people from around the globe and our ability to finalize this important financing transaction allows us to move forward with renewed confidence," said McIntosh.

Rod Ruston, the company's new president and CEO said, "The completion of our financing stabilizes our company and puts us in a position to better serve the needs of our customers and our suppliers. It allows us to pursue the many exciting opportunities available in the strong resource industry and economy in which we operate." Mr. Ruston added "By bolstering our senior management team we have the skills and expertise to compliment our extensive equipment fleet."

North American Energy Partners is one of the largest providers of mining and site preparation, piling and pipeline installation services in western Canada.

This news release contains forward-looking statements. Although the company believes that its expectations are based on reasonable assumptions, no assurance can be given that its goals will be achieved. Any number of factors and uncertainties, many of which are beyond the company's control, could cause actual results to differ materially from those contemplated by such forward-looking statements. Important factors that could cause actual results to differ materially from those in the forward-looking statements are enumerated in the company's reports on Form 6-K filed with the United States Securities and Exchange Commission. Undue reliance should not be placed upon forward-looking statements, and the company undertakes no obligation to update those statements.

Contact Information

  • Bernie Robert
    Assistant Treasurer
    North American Energy Partners Inc.
    (780) 960-2266