MURPHY’S LAW PREVAILS IN PIPE AND CIVIL ACQUISITION
Written on the 22 March 2011
UK CONSTRUCTION giant Murphy Pipelines has acquired a 50 per cent stake in Brisbane company Pipe and Civil Constructions for an undisclosed sum.
The merger will allow the new company Murphy Pipe and Civil to capitalise on market expansion as it targets large scale pipeline projects in Australia.
Australia is facing a strong demand for resources-based construction and major infrastructure with the pipeline industry undergoing a multi-billion dollar expansion with the development of the coal seam gas projects.
Projects manager Tony O’Sullivan says the investment in Pipe and Civil was an important step in penetrating the Australian market.
“This fits with our international expansion of the construction business to continue to drive long term growth,” he says.
“Pipe and Civil’s good track record, along with their sound financial systems was what attracted us most.”
Pipe and Civil director Brenton Euler says that over the past four years, the company has grown from strength to strength and the merger supported its strategy for growth.
“This exciting partnership will allow both companies to leverage their respective strengths and work towards greater presence in a wider range of market sectors,”
Pipe and Civil was recently awarded a $100 million per year contract by QGC to build an upstream gathering system for its mining projects. It is also working on a $100 million contract in mining services construction in WA and on the Gateway Motorway upgrade.