Engineering and construction services company Forge Group has flagged a further profit writedown of $23 million to $28 million on its West Angelas Power Station project.
In a statement to the ASX this morning, Forge said the loss was a result of full engineering nearing completion on the project and a revised delivery schedule.
“The company has identified previously unplanned scope and subsequent unplanned and extended delivery durations which are forecast to result in additional costs to complete,” Forge said in a statement.
“The additional costs include additional engineering, construction and site establishment costs for the additional delivery schedule.”
Get business news first
Sign up to SmartCompany’s daily newsletter
To complete the project, an additional $14 million to $19 million net cash outlay is required.
The company’s shares had dropped 12.40% to $1.10 in early trade.
Beverage and grain entrepreneur dies in Bali
A South Australian-based entrepreneur has died in Bali while holidaying with his family, InDaily reports.
Duncan MacGillivray, 66, built businesses in the agriculture, beverage and tourism sectors, and reportedly died of a heart attack.
His businesses spanned wineries, the Two Dogs beverage company and Kangaroo Island Pure Grain, which he launched in 2009.
MacGillivray served on various boards, including the Premier’s Food Council and the Premier’s Wine Council.
Shares plummet on open
Aussie shares have dropped significantly this morning, following losses on Wall Street overnight.
The S&P/ASX200 was down 53.6 points to 5238.5 at 11:49am AEDT. Overnight the Dow Jones lost 1.09%, down 179.11 points to 16,257.94.