Would anyone know why there has been such a large number of shares sold and no buying? Is there something we are not aware of?

Costain Awarded GBP60m Oil & Pipelines Agency Contract

Costain, one of the UK's leading engineering solutions providers, announces that it has been awarded a three-year asset support contract for the operation and maintenance of the Government Pipeline and Storage System.* The contract is expected to have a value over three years of approximately GBP60m, and has the potential to extend for a further two years.

The Group was awarded the contract by the Oil and Pipelines Agency (OPA), which manages the Government Pipeline and Storage System and six Royal Navy oil fuel depots on behalf of the Ministry of Defence. Under the terms of the contract Costain will be responsible for asset management and capital project delivery in addition to operations and maintenance of the entire network.

As well as bringing to bear Costain's skills and capability in engineering, construction and project management, the operations and maintenance experience of Promanex, which the Group acquired in August 2011, was instrumental in securing the contract.

Andrew Wyllie, Chief Executive of Costain, commented:

"The award of this contract by a new customer demonstrates the value that Promanex has brought to Costain in providing the full life of asset services in high growth market sectors. It also marks an important stage in the ongoing transformation of the Group as we continue to broaden our service offering, both organically and by targeted acquisitions."

"Our strategy of focussing on major customers whose spending plans are driven by national need, regulatory commitments or essential maintenance requirements continues to deliver results. We look forward to working with the OPA to ensure the safe, cost effective and efficient operation and maintenance of this strategic national asset."

*As referenced in the full year results announcement of 7 March 2012

yes excelent new contract win skinny.

GF- re post 270

There was a £140m year-end net cash balance and no significant debt.

Is this correct? if so its more than the value of company

That is correct devon, been the same situation for the last few years (not sure how many without looking it up)
Surprising we haven't been take out by now.

There used to be a problem with a pension fund deficit. Has that been sorted yet?

TOK, they do keep making inroads into the deficit:

Costain Pension Scheme

23 February 2012

Costain, one of the UK’s leading engineering solutions providers, today announces further actions taken to manage the obligations in the legacy Costain Pension Scheme (the ‘CPS’).

The Board has agreed with the Trustee of the CPS to transfer the Group’s interest in a portfolio of two PFI investments into the CPS, at an agreed valuation of £20.3 million. This represents an effective discount rate of circa 7%. As a result of the transaction, the accounting profit realised on the transfer of the assets is £10.2 million in 2012.

Furthermore, as part of the package of measures being implemented, the Group has instigated a liability risk management exercise. The Group is in the process of issuing Enhanced Transfer Value and Pension Increase Exchange offers to the members of the CPS. These initiatives, which potentially include every member of the CPS, will offer each individual greater choice and flexibility regarding their pension entitlement, and will also reduce the overall pension liabilities and risk remaining within the scheme. The level of liability reduction will depend on the take-up of the offer by members and financial conditions at the point the entire exercise completes (expected to be May 2012). At this stage, it is estimated that the initiatives could reduce the scheme liabilities by approximately £50 million, and could incur a one-off accounting cost, estimated at £6 million, to be expensed in 2012.

Together, the above actions are estimated to reduce the pension deficit by approximately £16 million, with an associated potential reduction in annual deficit contributions, following the next triennial actuarial valuation of the CPS which is due as at 31 March 2013.


Notes:

1. The two PFI assets transferred into the CPS are:

Integrated Bradford Holdco Two Limited
Lewisham Schools For The Future Holdings 2 Limited

2. The gross asset value as at 30 June 2011 of the two PFI investments transferred was £7.5 million (31 December 2010: Nil) after the IAS 39 mark-to-market swap adjustment and £8.9 million (31 December 2010: £0.2 million) excluding this adjustment.

The profits attributable to the two PFI assets for the six months to 30 June 2011 were £0.2 million (for the twelve months to 31 December 2010: £0.1 million).

3. The IAS19 gross deficit in the CPS as at 30th June 2011 was £35.8 million.

What a move today! Now if this wasn't Costain we could be rocketing to new highs....oh heck what have I said :-/
.... well at least we can't go down until the morning :-))

Up again....




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I noted its sensitivity to small buys on 28th Feb.Mms were keeping it down. Not much furtehr after then.

Good move by Costain I believe:

New Technology Specialist Joins Costain

22 March 2012

Costain Energy & Process has appointed Dr Bryony Livesey as Manager, Research and Technology, to identify and develop new commercial opportunities for the Company based on the implementation of new technology.

Bryony, who is a Chartered Engineer with a First Class Honours degree from Manchester University and a PhD from Cambridge University, will initially focus on the Power, Nuclear Process and Hydrocarbons & Chemicals sectors.

She joins Costain from Doosan Babcock where she established their Global R&D Centre for clean energy, managing a team of over 100 technical multi-discipline staff. Under her leadership the number of patents held by the Company trebled in two years.

Bryony had previously worked for AEA Technology, leading technology and innovation in senior management roles both in the UK and internationally, including Europe, Japan, US and South Africa. She was President of a joint venture between AEA Technology and Sumitomo Corporation based in Japan. In this role, she led the development of joint UK-Japan projects across a wide range of industry sectors, working with R&D organisations and academic institutions from across UK, Europe and North America.

Charles Sweeney, Managing Director of Costain’s Energy & Process division said: “We are delighted that Bryony has joined Costain’s Front End Solutions team. This is a key appointment as we continue to enhance the strength and depth of technical skills and capability within Costain.”

This performance must help in the acquiring of major contracts in the future:

Costain Excels In Safety And Environment

27 March 2012

Costain’s *MAC 10 Project, M62, J9 to 11 Improvement Works has excelled in the latest results released by the Considerate Constructors Scheme (CCS).

The project was awarded a total score of 37 out of a possible 40.

With the CCS measuring a total of eight categories, the MAC 10 Project received the maximum score possible, an impressive 5 out of 5, for both the safety and the environment categories, showing that exceptional measures were taken in line with the scheme’s requirements.

The CCS monitor commented that: “Regular toolbox talks are carried out. Operatives are encouraged to make safety suggestions. The site has introduced safety innovations developed through lesson learned / operative suggestions” and that “Attention to detail regarding site safety is first class”.

The project was also awarded a score of 4.5 out 5 for each of the remaining six categories: considerate, appearance, a good neighbour, respectful, responsible and accountable. This score showed that a ‘high level beyond compliance’ was achieved.

In summary, the monitor remarked that: “The site team are running a compliant site under the Considerate Constructors Scheme in a professional manner. The site gives a good impression and the whole team fully embraces the scheme requirements”.

The MAC 10, £9.5million scheme combines three sets of improvements into one ‘rolled together’ scheme including the widening of the link roads from the M6 at junction 21A (Croft Interchange) onto the M62 eastbound carriageway at junction 10.

The Croft Interchange is one of the busiest junctions on the motorway in the North of England with the M62 at this point carrying 57,000 vehicles a day in each direction.

Gerard Ward, Site Manager at MAC 10 commented: “There is always a great sense of achievement to get a great score especially when you know the high standards expected from the CCS. The team’s response to delivering a much needed improvement scheme for the local community will be impressive and extremely welcomed by the local community. It is important that High Profile Highway Schemes are given some recognition with hopefully a modest Award to hang up alongside the Silver achieved last Year.”

Neal Symmons, Highways Agency Service Delivery Manager for this scheme stated: “Achieving a CCS score of 37 out of 40 is an excellent score and reflects the efforts of the entire project team. The linear nature of highway network projects mean our work areas are large when compared with other construction projects, this fact coupled also with our customers travelling through our works area means our constructions teams have to be extra vigilant and work very hard to achieve CCS scores of this level.”

*MAC 10 is an A-one+ Project, which is a Joint Venture Project with Colas and Halcrow.

Interim Management Statement.

Overview

Following on from its strong performance in 2011, the Group is continuing to perform well and trading is in line with the Board's expectations.

The Group is undergoing significant and ongoing transformation as a result of the successful implementation of its "Choosing Costain" strategy. That strategy is focussed on building the Group into one of the UK's top engineering solutions providers, delivering services for blue chip customers whose major spending plans are underpinned by strategic national priorities, regulatory commitments or essential maintenance requirements in chosen sectors.

A core component of this has been the broadening of the skills and capabilities across the full asset life cycle demanded by our customers. Consequently, the services we now offer to our customers, and the composition of our earnings, are being transformed as we continue to broaden the business through the implementation of our strategy. Currently 25% of our 2012 order book now comes from support services activities and this will continue to grow.

In this context, Costain in 2011 made two acquisitions both of which have been successfully integrated and are providing a broader range of opportunities for the Group. The enhanced capability provided by Promanex enabled the Group to win a £60m operations and maintenance contract from new customer the Oil & Pipelines Agency earlier this year.

Don't overlook this skinny... less but still in excess of £100mill.

Financial Position



There has been no material change in the robust financial status of the Group, which continues to have a strong net cash position of in excess of £100 million, and has no significant borrowings.

Hi Optomistic - I think I've said before, I find these a very frustrating share to own/trade - but then that's true of a few in the sector.

A recent dividend increase and steady news flow, but it seems to be attached to £2 by elastic.

Skinny, it will be interesting to see what enthusiastic comments the CEO makes at the AGM later....as you say we seem to be attached to the £2 line, it will need some catalyst to get us away from it, not enough buyers to do it!

And there in lies the rub - £22k (ish) worth traded so far today.

Costain Group Makes Senior Strategic Appointment

The Costain Group has appointed Mark Rogerson MBE to its Executive Board in the new role of Chief Development Officer.

As part of the on-going transformation of Costain, Mark, who joins from Serco, will be responsible for developing and negotiating large long-term contracts with customers. These will combine the broadening range of design, construction and maintenance services provided by the Costain Group.

His focus will be on growth through the further development of effective partnering strategies, optimising business development capability and playing a major part in the achievement of future targets through long term customer relationships, new contracts and acquisitions.

Previously Mark played a key role in Serco's development into a global brand. He joined Serco Group plc in 2004 and gained experience in account management and business development roles before being appointed as Managing Director of Serco's Defence Operations and Civil Aviation business. Subsequently, he joined the Board of Serco North America. In 2010, he became the Serco Group's Head of Operational Efficiency.

"I am delighted to be joining the Costain Group at a time when the Company is transforming into a leading UK engineering solutions provider," said Mark. "Costain has already made significant progress in developing its design and maintenance capabilities in addition to the established construction operation. We have a tremendous opportunity to establish further our presence as a broad based Tier One engineering solutions provider and I look forward to playing a major part in that process."

Andrew Wyllie, Costain Group Chief Executive, said:

"Our target customers are spending billions of pounds per annum on capital, operations and maintenance contracts. Those same customers are expecting suppliers to provide broad and bespoke solutions to their specific requirements by delivering a service across engineering consultancy, construction and operations and maintenance. We want to be the first choice for those customers and Mark, with his considerable experience and success in this field, will bring additional expertise and leadership which can only benefit the Company in the future."

Costain Joint Venture awarded fifth Crossrail contract

Costain (COST.LN), one of the UK's leading engineering solutions providers, is pleased to announce that in Joint Venture ('the JV') with Skanska, it has been awarded a contract by Crossrail Limited worth approximately GBP40m in total.

The JV will provide all works associated with the construction and fit out of the intermediate shafts and headhouses* at Eleanor Street and Mile End Park, along with the connecting adits to the main running tunnels. The shafts will provide access for ventilation, maintenance intervention, emergency exit and emergency services access for the operational railway.

This is the fifth contract which a Costain-Skanska JV has won from Crossrail and follows on from the successful delivery of Royal Oak Portal and Pudding Mill Lane portals. Work will commence immediately and is expected to complete in August 2018.

Andrew Wyllie, Chief Executive of Costain, said:

"This contract award is as a result of the successful implementation of our 'Choosing Costain' strategy, in which we focus on winning repeat business with major blue chip customers who are spending and will continue to spend on large scale projects. This is our fifth contract with Crossrail and further contributes to the strength of our order book, of which 90% is repeat business."

Ends

Costain Group PLC

("Costain" or "the Group")



Pre-Close Trading Update



http://www.moneyam.com/action/news/showArticle?id=4397197

Joint Venture

Costain and Severn Trent Announce New Joint Venture

Costain Group PLC and Severn Trent Plc have entered into a new Joint Venture ('JV') to provide complete business water and wastewater management services to high volume commercial and industrial water users.

The new entity, Severn Trent Costain, will combine the skills and experience of both Severn Trent Services and engineering solutions provider, Costain, to offer large multi-site water users a single expert supplier for all of their water and waste water requirements, from source to disposal. With a cohesive approach to water management Severn Trent Costain will help customers improve efficiencies, leverage cost savings, manage legal compliance and risk management issues, and resolve water efficiency challenges.

The UK water supply market is undergoing significant change as Government legislation drives increased business retail competition in the competitive UK water market. Severn Trent Costain will be at the forefront of these changes, helping to shape the emerging landscape, and enabling customers to combine their requirements for on-site water services with the opportunity to buy their water from a single national supplier.

Severn Trent Services and Costain have a proven track record in delivering improved efficiencies in water and waste water management through an existing joint venture to operate and maintain over 5,000 assets and 1,300 sites for the Ministry of Defence, one of the largest PFI contracts in Europe.

The two companies will combine parts of their existing operations within the JV (see Note 1 below), in which Costain will have an initial 40% shareholding.