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Snowy 2.0 in the news, it sounds as though the engineering firm were walking a financial tightrope, as a late mate of mine once told me "engineering companies are only one bad quote away from oblivion". It's sad really United construction group a W.A based company went under a few years ago, over a solar farm cost overrun, it must be terrible for the workers and their families.
https://www.smh.com.au/business/com...after-white-knight-walks-20221206-p5c40t.html
From the article:
Snowy Hydro 2.0 builder Clough’s rescue has fallen over after its white knight buyer, Italy’s Webuild, pulled the pin on buying the company.
The South African parent of the Australian-based group appointed on Monday evening administrators from Deloitte to Clough, with the collapse of the builder expected to have ramifications for a range of major infrastructure and mining projects already facing delays and cost overruns.
Clough is one of the country’s biggest builders, employing about 1250 people in Australia and a further 1250 overseas. Those employees now face a nervous wait to see if the group can be salvaged from the administration.
Like many builders, Clough has struggled over the past 12 months as ongoing supply chain constraints and the increasing cost of labour eroded its profits and in some cases led to cost overruns on its projects.
Perth-headquartered Clough is the builder or preferred builder for a range of projects in Western Australia and overseas including the Waitsia gas project in Western Australia, Transgrid’s Energy Connect project and Energy Australia’s Tallawarra project, both in NSW, and the Stephenson Avenue extension in Perth.
Its offshore projects include the Lihir gold mine shutdown work for Newcrest Mining and building the Lombrum Naval Base in Papua New Guinea for the Australian Department of Defence.
Joint venture partners in the Waitsia gas project – Kerry Stokes-controlled Beach Energy and Mitsui’s local energy investments arm – said in separate statements on Tuesday that they had been planning for various outcomes including the scenario where Clough entered administration.
Clough called in administrators after Webuild decided it was unable to continue with the deal.
https://www.smh.com.au/business/com...after-white-knight-walks-20221206-p5c40t.html
From the article:
Snowy Hydro 2.0 builder Clough’s rescue has fallen over after its white knight buyer, Italy’s Webuild, pulled the pin on buying the company.
The South African parent of the Australian-based group appointed on Monday evening administrators from Deloitte to Clough, with the collapse of the builder expected to have ramifications for a range of major infrastructure and mining projects already facing delays and cost overruns.
Clough is one of the country’s biggest builders, employing about 1250 people in Australia and a further 1250 overseas. Those employees now face a nervous wait to see if the group can be salvaged from the administration.
Like many builders, Clough has struggled over the past 12 months as ongoing supply chain constraints and the increasing cost of labour eroded its profits and in some cases led to cost overruns on its projects.
Perth-headquartered Clough is the builder or preferred builder for a range of projects in Western Australia and overseas including the Waitsia gas project in Western Australia, Transgrid’s Energy Connect project and Energy Australia’s Tallawarra project, both in NSW, and the Stephenson Avenue extension in Perth.
Its offshore projects include the Lihir gold mine shutdown work for Newcrest Mining and building the Lombrum Naval Base in Papua New Guinea for the Australian Department of Defence.
Joint venture partners in the Waitsia gas project – Kerry Stokes-controlled Beach Energy and Mitsui’s local energy investments arm – said in separate statements on Tuesday that they had been planning for various outcomes including the scenario where Clough entered administration.
Clough called in administrators after Webuild decided it was unable to continue with the deal.