ArmorGroup awarded 7 mln usd mine contract in Sudan

July 13, 2006 (LONDON) — ArmorGroup International PLC said it was yesterday awarded a 7 mln usd mine contract in Sudan by the United Nations Office for Project Services.

A member of the Swiss Foundation for Demining (FSD) team surveys an area near Rumbek, January 2005, to retrieve landmines.

The initial contract for its weapons reduction and mine clearance division, which the group said “has had a quiet half year”, is for one year and is due to start in early July with a phased deployment of manpower up to full strength by Sept 1.

The provider of protective security services, security training and weapons reduction and mine clearance services added in a separate statement that revenues and pretax profit for the six months ended June 30 2006 are expected to be in line with market expectations.

The group said it is continuing to see consistent growth from its defensive protective security operations, with its activities in support of the UK Government’s programme in Afghanistan and the oil and gas industry in Nigeria showing particularly strong growth.

“Although the security situation in Iraq remains unstable, the group has continued to win new and incremental contracts, including an additional 4.5 mln usd of revenues since 1 April from Parsons Infrastructure & Technology Group, one of the major US reconstruction engineers operating in Iraq,” said a statement from the company.

ArmorGroup CEO Dave Seaton added: “We continue to make progress in diversifying our revenues and profits away from Iraq, particularly into the rest of the Middle East, Afghanistan and West Africa. However, Iraq remains an important market for the business and we see significant long-term potential once the newly appointed government’s initiatives improve stability and allow greater focus on infrastructure investment.”

(AX/ST)