Orica Announces New Hong Kong Tunnel Contracts

19th May, 1999

Orica managing director and CEO Mr Philip Weickhardt, speaking in Hong Kong today, announced that Orica has won all five major civil tunnelling contracts in Hong Kong’s West Rail Development and the MTR Junk Bay Extension projects.

The projects are scheduled to commence during 1999 as part of Hong Kong’s major infrastructure development program.

"Orica is offering a new total product and services package with a focus on the extremely competitive tunnelling market, supplemented by strong civil engineering back-up from our Hong Kong and Macau distributor, Suniway International Limited," Mr Weickhardt said.

"Orica Hong Kong Limited was established only last August when Orica purchased ICI’s explosives assets in Hong Kong. In this short space of time we have rebuilt the Hong Kong Explosives operation to enhance its ability to anticipate and meet the needs of the quarrying and civil construction markets.

"These new contracts illustrate the success of our restructuring. It’s an example of Orica building on its global technology and strengths by partnering with a local Asian firm to deliver optimum results for customers. Orica will supply world’s best underground bulk technology, equipment and products, while Suniway will ensure the tunnels feature leading-edge design.

"Devising an innovative approach to delivering customer needs is consistent with the Orica vision of ‘winning against the world’s best’. Orica and Suniway are involved at every step of the project, from civil design to blasting and construction. Our combined expertise and resources means we can understand our customer’s most exacting needs."

Mr Weickhardt said Orica Hong Kong’s relationships with some of the largest civil and tunnelling contractors in the world could potentially offer new global opportunities for Orica.

"What we are doing is providing a package to meet our customers’ needs anywhere in the world," he said. "We currently deliver benefits to our Hong Kong customers’ local operations, but longer term we believe we could deliver similar benefits to their global networks."

Mr Weickhardt is in Hong Kong to visit the company’s emulsion phase (EP) manufacturing plant at Shek’O Quarry which has been upgraded to meet world class (gold accreditation) operational and safety, health and environment standards. The plant produces EP, a water resilient water-in-oil bulk emulsion for application as a high energy blasting agent in quarries and tunnelling. Orica is the only local manufacturer of bulk emulsion in Hong Kong.

Mr Weickhardt, who will officiate at a presentation ceremony to mark this new world class milestone, said "The Shek’O plant is of strategic significance because it provides a regional manufacturing base for Hong Kong and positions us for opportunities in Greater China."

Orica is headquartered in Melbourne, Australia. The company is the world’s leading supplier of commercial explosives and explosives related services, supplying and servicing the mining, quarrying and construction industries with bulk and packaged explosives, initiating systems and blasting accessories. Orica has local and international operations manufacturing commercial explosives, agricultural chemicals, industrial chemicals and consumer products including paint and handyman products.