Mullen Group Invests $25 million in Trucking Business
OKOTOKS, AB. — Talk about confidence going into 2012.
Mullen Group Ltd. announced yesterday that they are investing $25 million to their Trucking/Logistics segment.
The majority of the $25 million, Mullen Group said, to purchase 60 trucks and 200 trailers, replacing older models. The company said that it is also expanding its "Pipeline on Wheels" through investment in fluid hauling equipment.
"This decision reflects not only our confidence in the long term prospects for the markets Mullen Group serves but also in our 27 independently operated business units. We want to ensure that our employees continue to have access to the best and most efficient equipment and have best in-class facilities in which to work, as these are integral components of our quality initiatives", said Murray K. Mullen, chairman and CEO.
In total, Mullen Group is allocating $100 million to their various business segments; $50 million to Oilfield Services, $25 million to development their network of facilities, and $25 million to their trucking/logistics segment.
"There are significant issues and challenges that continue to dominate the headlines, events well beyond our control. Here at the Mullen Group we are taking an optimistic view that 2012 will be another great year for our organization and we intend on taking full advantage of the opportunities," said Mullen.
Mullen Group said their 2012 capital budget does not include any capital for acquisitions, but they didn't entirely rule out the possibility. "We continue to see acquisition opportunities in our Oilfield Services segment and Trucking/Logistics segment," said Stephen H. Lockwood, president and Co-Chief Executive Officer.
"Mullen Group will continue to evaluate these opportunities and act upon those that meet our objectives of generating free cash and enhancing shareholder value," he said.