Toromont Industries Ltd.
TSX : TIH

Toromont Industries Ltd.

August 29, 2007 11:30 ET

Toromont Selected by Agnico Eagle Mines Ltd. to Supply Equipment and Service for Meadowbank Gold Mine in Nunavut

TORONTO, ONTARIO--(Marketwire - Aug. 29, 2007) - Toromont Industries Ltd. (TSX:TIH) announced today that it has been selected by Agnico Eagle Mines Limited to supply the mobile equipment and power systems needs of the Meadowbank Project north of Baker Lake, Nunavut - the Territory's newest open pit gold mine.

In the fall of 2007, Toromont's CAT division will provide three high efficiency, low emission, 2 Megawatt Arctic-grade power modules for the construction phase of the Mine. Starting in 2008 and completing in 2009, Toromont CAT will provide a total of six 4.4 Megawatt power modules for the main power plant complete with heat recovery facilities and plant controls. The total nominal output capacity of Meadowbank Mine main power plant will be 26 Megawatts.

Toromont CAT will also deliver the mining equipment fleet consisting of 32 Caterpillar machines planned for the production and construction phases of mine development. In addition to Caterpillar equipment, Toromont will supply three German-made O&K large hydraulic excavators in front shovel and backhoe configurations. The mining equipment will be delivered in two phases - twelve units will be shipped to the site in the fall of 2007 and the balance of the fleet will arrive at the mine in summer of 2008.

The total estimated value of the mobile fleet and power generation equipment sale is $62 million spread over the next three years.

In addition, Toromont CAT will provide product support to the Meadowbank Project on all power and mobile equipment and Toromont's on-site parts and service depot is expected to be open late this year.

"We are extremely proud to play a role in the development of the newest Nunavut mine," said Scott Medhurst, President of Toromont CAT. "On behalf of my colleagues at Toromont CAT and our Inuit partners at Toromont Arctic, I sincerely thank Agnico Eagle Mines Limited for their confidence in us. Caterpillar's track record of mining equipment innovation and its reputation for productivity are key differentiators for us, as are Toromont's leading northern service and support resources."

Toromont Arctic is a partnership that has been in place for over a decade with the Inuit of Nunavut. The partnership was formed to pursue business opportunities of mutual benefit and to ensure the involvement and participation of the Inuit in the development of the Nunavut economy.

Toromont Industries Ltd. operates through two business segments: The Equipment Group and the Compression Group. The Equipment Group includes one of the world's largest Caterpillar dealerships by revenue and geographic territory in addition to industry leading rental operations. The Compression Group is a North American leader specializing in the design, engineering, fabrication and installation of compression systems for natural gas, fuel gas and carbon dioxide in addition to process systems and industrial and recreational refrigeration systems. Both groups offer comprehensive product support capabilities. Toromont employs approximately 4,400 people in more than 115 locations. This press release and more information about Toromont Industries can be found at www.toromont.com.

Contact Information

  • Toromont Industries Ltd.
    Paul R. Jewer
    Vice President Finance and Chief Financial Officer
    (416) 667-5638
    Website: www.toromont.com