Business
New Contract, Trading Update & Strategic Progress
New Contract, Trading Update & Strategic Progress.
About this update from Keller Group Plc
[{"type":"text","content":"\n \n \n \n 27 June 2022\n \n \n \n \n \n \n \n \n \n Keller Group plc\n \n \n \n \n \n \n \n \n \n Major new contract, update on trading, strategic progress and interim dividend increase\n \n \n \n \n \n \n \n \n Keller Group plc ('Keller' or 'the Group'), the world's largest geotechnical specialist contractor, today announces a trading update ahead of the announcement of its interim results for the half year ended 26 June 2022 scheduled for 2 August 2022. \n \n \n \n \n \n \n Major new contract \n \n \n \n \n \n \n Keller is one of a small number of geotechnical contractors to have been selected to undertake work on the prestigious NEOM Giga project in the Tabuk Province of North West Saudi Arabia. The first element of the NEOM project is 'The Line', a 170-kilometre-long mega-city, starting in the west at the Gulf of Aqaba, continuing through the Sharma Valley and terminating at the NEOM International Airport within the upper valley region. The Line is subdivided into approximately 135 modules, each containing 8 buildings founded on large diameter bored piles. Keller has signed an umbrella Framework Agreement in respect of the project, and is mobilising for an anticipated first works order on a portion of Module 40 which has an expected value to Keller of around £50m, with the work anticipated to be completed within the next twelve months. Further works orders are expected to be awarded later in the year on subsequent modules.\n We have a longstanding presence in Saudi Arabia and we are delighted to have been invited to participate in NEOM, a world class construction project. Following the signing of the Framework Agreement Keller is very well positioned to participate in the future geotechnical work, with the potential to generate contract revenues in the hundreds of million pounds in future years.\n \n \n \n \n \n \n Trading Update\n \n \n \n \n \n \n The Group is trading as anticipated in the first half of the year and t\n he Board's expectations for the full year remain unchanged. As previously indicated, we expect 2022 to be a year of growth, with full year performance to have the customary second half weighting, and to reflect our usual increase in trading momentum as the year progresses. As previously highlighted, across the Group we have successfully passed on a sign...