Quanta Services & ATCO Team Selected by Alberta Electric System Operator for the Fort McMurray West 500 kV Transmission Project

Largest Transmission Project Award in Quanta's History

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Dec 18, 2014, 04:30 ET

HOUSTON, Dec. 18, 2014 /PRNewswire/ -- Quanta Services, Inc. (NYSE: PWR) announced today that Alberta PowerLine, a limited partnership formed by Quanta Services and ATCO Group, was selected by the Alberta Electric System Operator (AESO) for the Fort McMurray West 500 Kilovolt (kV) Transmission Project under its newly created competitive transmission process. The AESO received interest for this project from companies around the world, including Asia, Europe, South America and North America. After an extensive process that examined technical, financial and development expertise, the AESO chose Alberta PowerLine.

"We are proud to team with ATCO on this industry leading project. We believe this is the largest engineering, procurement and construction (EPC) electric transmission project ever awarded in North America and our selection for this project demonstrates confidence in our ability to work with partners to successfully deliver cost- and risk-efficient infrastructure solutions to the competitive transmission marketplace," said Jim O'Neil, president and chief executive officer of Quanta Services. "Quanta brings significant scope, scale and financial resources, as well as a track record of safely executing large, complex projects, to the Fort McMurray West 500 kV Transmission Project."

The Fort McMurray West 500 kV Transmission Project will consist of approximately 500 kilometers of transmission line between the Wabamun area west of Edmonton and the Fort McMurray area and two new 500 kV substations. Quanta will provide turnkey EPC services for the entire project. Led by Valard Construction, a Quanta Services company, the team will leverage the capabilities of a number of Quanta's operating units. Quanta expects construction to begin in 2017 after the necessary permits and rights of way for the project are obtained, and expects to complete the project in 2019.

Alberta PowerLine was formed with investments from both Quanta Capital Solutions, Inc., a Quanta Services company, and Canadian Utilities Limited, an ATCO company. This transmission line, which will increase the capacity of the electricity system and address increasing growth in northeastern Alberta, is designed to satisfy objectives identified in the AESO Long-term Transmission System Plan. When complete, the new 500 kV transmission line will form an important part of Alberta's electricity grid. The Fort McMurray West 500 kV Transmission Project is the first to be awarded through a world-wide competitive concession tender process, which was designed by the AESO and approved by the Alberta Utilities Commission in February 2013.

About Quanta Services
Quanta Services is a leading specialized contracting services company, delivering infrastructure solutions for the electric power and oil and gas industries. Quanta's comprehensive services include designing, installing, repairing and maintaining energy infrastructure. Additionally, in certain markets Quanta licenses fiber optic telecommunications infrastructure, offers lit network management services and provides related design, procurement, construction and maintenance services. With operations throughout North America and in certain international markets, Quanta has the manpower, resources and expertise to safely complete projects that are local, regional, national or international in scope. For more information, visit www.quantaservices.com.

Forward-Looking Statements
This press release (and any oral statements regarding the subject matter of this press release) contains forward-looking statements intended to qualify for the "safe harbor" from liability established by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, but are not limited to, any expected value of the contract; the scope, services, terms and results of the project awarded under the contract; the anticipated commencement and completion dates for the project; the safety, efficiency or success of the project; potential opportunities that may be indicated by bidding activity or similar discussions with customers; the impact of the project on the electric power grid and infrastructure reliability; expectations regarding the business outlook, growth or opportunities in particular markets; the business plans or financial condition of customers; Quanta's plans and strategies; and prospective growth in the demand for power and related infrastructure; as well as statements reflecting expectations, intentions, assumptions or beliefs about future events and other statements that do not relate strictly to historical or current facts. Although Quanta's management believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. These statements can be affected by inaccurate assumptions and by a variety of risks and uncertainties that are difficult to predict or beyond our control, including, among others, the effects of industry, economic or political conditions outside of the control of Quanta; successful performance and completion of the contract and the project awarded thereunder; failure to realize the anticipated value of the contract or the project; the potential for claims or damages associated with schedule delays or performance shortfalls, including as a result of warranty claims following completion of the project; the failure of subcontractors to perform their obligations, including warranty obligations, under their subcontracts; adverse changes in economic conditions and trends in relevant markets; future growth in the electric utility industry; delays, reductions in scope or cancellations of the contract or the project awarded thereunder, including as a result of weather, regulatory or environmental issues; cancellation and termination provisions present in the contract; the potential that participation in a joint venture exposes Quanta to liability and/or reputational harm for acts or omissions by a joint venture partner; and other factors affecting the business of Quanta generally, including risks detailed in Quanta's Annual Report on Form 10-K for the year ended December 31, 2013, Quanta's Quarterly Reports on Form 10-Q for the applicable quarters in 2014 and any other documents filed by Quanta with the Securities and Exchange Commission (SEC). Should one or more of these risks materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those expressed or implied in any forward-looking statements. Investors are cautioned not to place undue reliance on these forward-looking statements, which are current only as of this date. Quanta does not undertake and expressly disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Quanta further expressly disclaims any written or oral statements made regarding the subject matter of this press release by any third party. For a discussion of these risks, uncertainties and assumptions, investors are urged to refer to Quanta's documents filed with the SEC that are available through the company's web site at www.quantaservices.com or through the SEC's Electronic Data Gathering and Analysis Retrieval System (EDGAR) at www.sec.gov.