£114m deal a share boost for Aggreko

SHARES in Aggreko, the Glasgow-based temporary power supplier, hit fresh highs yesterday after it announced a £114m contract in Bangladesh.

The contract with the Bangladesh Power Development Board (BPDB) will see Aggreko provide 150mW of emergency power capacity for the country over a three-year period. It would power the equivalent of 200,000 homes.

The power plant - the largest deal for a gas-fired site ever secured by Aggreko - follows the recent commissioning of 200mW of diesel-powered capacity supplied by the company to the BPDB.

The latest contract was awarded after the breakdown of a large gas turbine in the country. The temporary power plant will minimise disruption caused by the loss of generating capacity until a new permanent plant is brought online.

When it is commissioned the new plant will take Aggreko's generating capacity in Bangladesh up to 390mW.

Chief executive Rupert Soames said: "We are delighted that BPDB has shown its continued confidence in the ability of Aggreko to deliver reliable power in very short timescales.

"This will be Aggreko's largest gas-powered contract to date. The use of gas as a fuel will also significantly reduce the cost of this temporary power for BPDB."

Shares in Aggreko closed up 7p at 1,685p after hitting a record 1,698p during trading. The company's market value has more than doubled over the past year.