Sharechat Logo

Contact Energy Limited (NZX: CEN) Buys Geothermal Specialists Western Energy Services

Tuesday 6th April 2021

Text too small?

Contact Energy has purchased 100% of the shares in Western Energy Services (westernenergy.co.nz), a specialist geothermal well service company based in Taupo. Contact and Western Energy have worked closely together for over five years and have jointly developed innovative technology that has materially lowered the cost of Contact’s geothermal operations.

Mike Dunstall, General Manager Geothermal Resources and Development at Contact said: “We are thrilled to bring Western Energy and its thirty talented staff on board and can’t wait to build on the great work we have been doing together. Western Energy has extensive expertise in well services and combined with our 60 years of geothermal field and plant experience and a geothermal development pipeline, we see this partnership delivering our renewable geothermal energy at even lower cost.”

Western Energy is a well-established business with strong operating earnings and cash flow. It will continue to be run as a separate company with its own management team and governance structures to deliver on their ambitious growth plans.

Karl Spinks, General Manager of Western Energy said: “Contact has been a fantastic customer and partner in developing innovative services and their influence will propel us forward. With a great team and Contact’s backing, we are excited to grow our range of quality services by further innovating to deliver world-class solutions for all of our geothermal customers.”

Contact CEO Mike Fuge said: “This transaction is a fantastic strategic fit with our ambition to lead New Zealand’s decarbonisation and complements our investment to build renewable generation at Tauhara.”

The transaction completed on 31 March 2021 and the acquisition has been funded from existing credit facilities. The transaction price is confidential.

Please see the link below for details:

Contact purchases geothermal specialists Western Energy Services

Source: Contact Energy Limited



  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

GEN - Completion of Purchase of Premium Funding Business
Fletcher Building Announces Executive Appointment
WCO - Director independence determination
AIA - welcomes Ngahuia Leighton as 'Future Director'
Mercury announces Executive team changes
Fonterra launches Retail Bond Offer
October 29th Morning Report
BIF adds Zincovery to its investment portfolio
General Capital Resignation of Director
General Capital subsidiary General Finance update