Engineering firm RCR Tomlinson his shipped two large iron ore scrubbers worth $5.5 million to a Hamersley Iron Pilbara operation.
The scrubbers were designed and manufactured in Western Australia at the Australian Stock Exchange-listed company’s Bunbury and Welshpool workshops over the past seven months.
The deal with Hamersley Iron followed the successful fabrication and delivery of a large headframe, which would ensure continuity of work for RCR’s Bunbury and Welshpool workshops.
State Development Minister Clive Brown, who attended an unveiling event held by the firm, said the deal indicated the growing capacity of local industry to supply WA’s resource sector.
RCR Tomlinson has enjoyed recent success on the back of the resources industry.
Last year the company completed a $3.3 million purchase of the business and business assets of Austheat.
At the time of the acquisition, RCR Tomlinson’s managing director John Linden said the Austheat purchase would establish RCR as the dominant supplier of heat treatment services in Australia and increase its leverage in the oil and gas sector.
The company also concluded a $2 million capital raising through the placement of about 4.8 million shares at 41 cents each.
The shares were placed to institutional and retail clients of Hartleys Limited.
Major shareholder MTQ Corporation Limited, the Singapore-based company that launched an $11 million unconditional takeover bid for RCR in May 2003, subscribed for 1,4 million shares to maintain its 28 per cent holding.
The company’s share price reached a 12-month high of 52 cents in January this year, after hovering around 27 cents in July 2003.
The share price closed at 36 cents at the time of printing.
