M&R foresees more immediate liquidity challenges as Venetia contract ends

Engineering and contracting group Murray & Roberts (M&R) has advised that its interim earnings for the six months ended December 31 will be impacted on by the loss of business it had in place with De Beers’ Venetia operation, in South Africa, as well as continued liquidity constraints.

M&R’s mining business in South Africa, Murray & Roberts Cementation, has for more than a decade been working with De Beers on its Venetia project. Recently, De Beers informed the group that it is reviewing its operational plans at Venetia mine and that a significant portion of the works under Murray & Roberts Cementation’s contract will imminently be descoped.