NEW YORK--(BUSINESS WIRE)--NRC Group Holdings Corp. (NYSE American: NRCG, NRCG.W) (“NRCG” or the “Company”) today announced that its wholly owned subsidiary NRC Group Holdings, LLC (“NRC Group”), has received a permit for its landfill facility located in Reagan County, Texas, which lies within the Permian Basin. Similar to the Pecos County permit that was announced earlier this month, construction will begin immediately, with operations expected to begin in the first part of 2019. With construction commencing on both landfill facilities simultaneously, NRC Group is ahead of its anticipated schedule for its Permian Basin waste disposal expansion which is further supportive of fiscal year 2019 revenue and adjusted EBITDA guidance.
“This permit underscores NRC Group’s compelling near-term waste disposal expansion strategy,” said Jim Baumgardner, Chairman of NRCG. “The continuing opportunity to invest in our waste disposal capabilities results in highly attractive returns on invested capital with a rapid payback for facilities that will be operational for decades. We look forward to accelerating our waste management expansion strategy and continue to seek additional investments in this business.”
NRC Group is in the process of expanding its waste disposal capabilities into the Permian Basin to meet the growing demands of its waste disposal and environmental services customers. This new facility is modeled on the success of its existing Karnes, Texas facility, and anticipates strong customer adoption rates.
NRCG CEO Chris Swinbank commented: “We have been serving customers in the Permian Basin for over six years through our environmental services business and look forward to offering those customers our compelling and cost effective waste disposal services, many of whom utilize our existing Karnes County landfill facility. After the completion of our Reagan County landfill and our other planned Permian Basin facilities in Pecos and Andrews County, we will be able to serve our customers throughout the Permian Basin by providing cost effective access to environmentally safe waste disposal services. Our 'cradle-to-grave' environmental and waste management solutions provide a unique services offering to solve our customers’ waste problems from the point of generation to ultimate disposal at our landfill facilities.”
About NRCG
NRCG is a global provider of comprehensive environmental, compliance and waste management services. NRCG’s broad range of capabilities enable it to provide global reach to meet the critical, non-discretionary needs of its more than 5,000 customers across diverse industries and end markets to ensure compliance with environmental, health and safety (“EH&S”) laws around the world. NRC Group, a wholly owned subsidiary of NRCG, was established in June 2018 through the combination of two businesses, National Response Corporation and Sprint Energy Services, both previously operating separately under the ownership of investment affiliates of J.F. Lehman & Company (“JFLCO”). For more information, please visit www.nrcg.com. For more information on JFLCO, please visit www.jflpartners.com. No portion of the websites referenced in this paragraph is incorporated by reference into or otherwise deemed to be a part of this news release.
Forward‐Looking Statements
This news release includes, or incorporates by reference, "forward-looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words such as "estimate," "plan," "project," "forecast," "intend," "expect," "anticipate," "believe," "seek," "target" or other similar expressions that predict or indicate future events or trends or that are not statements of historical matters.
These forward-looking statements are not guarantees of future results and are subject to risks, uncertainties and assumptions that could cause actual results to differ materially and adversely from those expressed in any forward-looking statement. Important risk factors that may cause such a difference in connection with the Company’s operations and future results include, but are not limited to, the following factors: (1) the Company may not fully recognize the financial benefits of this permit due to an inability to source adequate volumes or a delay in construction; (2) the occurrence of any event, change or other circumstances that could give rise to the termination of the permit; (3) unexpected costs, charges or expenses related to or resulting from construction; (4) changes in applicable laws or regulations; (5) the possibility that NRCG may be adversely affected by other economic, business, and/or competitive factors; and (6) other risks associated with the permit and proposed operations. Investors and potential investors are urged not to place undue reliance on forward-looking statements in this news release, which speak only as of this date. The Company undertakes no obligation to revise or update publicly any forward-looking statement to reflect future events or circumstances. Nothing contained herein constitutes or will be deemed to constitute a forecast, project or estimate of the future financial performance of the Company or its subsidiaries. In addition, actual results are subject to other risks identified in the Company’s prior and future filings with the SEC, available at www.sec.gov.
