ST. LOUIS--(BUSINESS WIRE)--Insituform Technologies, Inc. (Nasdaq Global Select Market: INSU) announced today that Corrpro Companies, Inc. (“Corrpro”), a subsidiary of Insituform, has been awarded a four-year contract valued at $20.7 million (USD) from the Kuwait Oil Company (“KOC”). Corrpro expects to begin work on this project in November 2011.
Under the new contract, Corrpro will develop and execute a comprehensive corrosion management program from installation of monitoring equipment to data collection and analysis working closely with KOC. Corrpro has been providing KOC with internal corrosion monitoring services since 2005.
David Kroon, President of Corrpro, said, “We are excited to continue our relationship with KOC. In addition, this contract award will provide substantial visibility in Kuwait for Corrpro’s internal corrosion monitoring work over the next four years and should lead to future cathodic protection projects and provide opportunities for internal lining work. We believe the Middle East represents a significant opportunity for not only Corrpro, but also for Insituform’s other energy and mining companies.”
Research from Business Monitor International indicates Middle East investment in production and infrastructure will grow over the next 10 years as oil production is expected to increase by 5.3 million barrels, or 26.5%, per day and consumption is expected to grow by 43% within the Gulf Cooperation Council countries and Iraq.
As recently reported, Insituform has been actively focused on increasing its presence in the Middle East through multiple strategic channels. In addition to this contract award, recent Insituform releases have announced a new office in Oman and a joint venture with Saudi Trading & Research Co. Ltd. (STARC). In July, Insituform announced the acquisitions of CRTS, Inc., a pipeline coating services company that has performed significant work in Saudi Arabia, and Hockway Limited, a cathodic protection company with operations in the United Kingdom and in the Middle East.
Corrpro is represented in Kuwait by Ratqa General Trading & Contracting Co. W.L.L.
About Insituform Technologies, Inc.
Insituform Technologies, Inc. is a global leader in infrastructure protection. Insituform provides proprietary technologies and services for the corrosion protection of industrial pipelines and the rehabilitation and strengthening of sewer, water, energy and mining piping systems, buildings, bridges and tunnels and waterfront structures. More information about the Company can be found on its internet site at www.insituform.com.
About Corrpro Companies, Inc.
Corrpro Companies is the leading provider of corrosion protection systems and engineering services in North America and also has operations in Europe and the Middle East. As a subsidiary of Insituform Technologies, Inc., Corrpro offers corrosion solutions for every industrial market including pipeline, refinery, above and underground storage tanks, water, wastewater, concrete, infrastructure, offshore, and marine. More information about Corrpro can be found on its website at www.corrpro.com.
Forward-Looking Statements
The Private Securities Litigation Reform Act of 1995 provides a “safe harbor” for forward-looking statements. The Company makes forward-looking statements in this news release that represent the Company’s beliefs or expectations about future events or financial performance. These forward-looking statements are based on information currently available to the Company and on management’s beliefs, assumptions, estimates or projections and are not guarantees of future events or results. When used in this document, the words “anticipate,” “estimate,” “believe,” “plan,” “intend,” “may,” “will” and similar expressions are intended to identify forward-looking statements, but are not the exclusive means of identifying such statements. Such statements are subject to known and unknown risks, uncertainties and assumptions, including those referred to in the “Risk Factors” section of the Company’s Annual Report on Form 10-K for the year ended December 31, 2010, as filed with the Securities and Exchange Commission on February 28, 2011 and in our subsequent quarterly reports on Form 10-Q. In light of these risks, uncertainties and assumptions, the forward-looking events may not occur. In addition, our actual results may vary materially from those anticipated, estimated, suggested or projected. Except as required by law, we do not assume any duty to update forward-looking statement, whether as a result of new information, future events or otherwise. Investors should, however, review additional disclosures made by the Company from time to time in its periodic filings with the Securities and Exchange Commission. Please use caution and do not place reliance on forward-looking statements. All forward-looking statements made by the Company in this news release are qualified by these cautionary statements.
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