WG Wearne: Two contracts awarded worth R70m

WG WEARNE had been awarded two contracts valued at R70 million for the supply of ready-mixed concrete and earthworks services for a solar energy project in Pofadder, the financially troubled listed company said yesterday. The contracts were awarded to WG Wearne by Abeinsa EPC Xina, a subsidiary of the Abengoa group of companies that has been selected by the Department of Energy to develop Xina Solar One. Xina Solar One is a 100 megawatt (MW) parabolic trough plant with a five-hour thermal energy storage system using molten salts. WG Wearne said the contract would be for a period of 20 months, while the earthworks contract would be completed in five months. The company said it was awarded the contracts after successfully completing a R30m contract for Abeinsa EPC at their Khi Solar One project in Upington. WG Wearne was also tendering on many other contracts in the renewable energy sector. The share price sank 18.18 percent to close at 9 cents yesterday. – Roy Cokayne