Atlas Development & Support Services Limited (AIM: ADSS), the African focussed support services and logistics company has announced positive progress on activities in East Africa in a trading update to the AIM market on the London Stock Exchange.
The company announced that it has started construction on a logistics hub in Lokichar. The site will have extensive warehousing and provide logistics support to Atlas Development customers that require storage and distribution services.
Carl Esprey, CEO, Atlas Development, said: “Lokichar is a highly strategic location for our clients operating across the entire extractive industries value chain. It is in the heart of the Turkana basin and a great location for us to provide development and support services to projects in that area, including the Lamu, South Sudan and Ethiopia transport corridor program (LAPSSET).”
Atlas Development also announced more resource development in the Turkana region through increased civil engineering activities on behalf of clients. It has increased well pad construction and road and infrastructure projects.
The Company also announced that it had completed its restructuring programme and is trading in line with market expectations. Revenues for the year ending 31 December are expected between $38-$40 million against $23 million in 2013.
The Company announced on 13 October 2014, that it intends to dual list on the Growth Enterprise Market Segment of the Nairobi Securities Exchange, by way of an introduction. Completion of the Kenyan Listing will make Atlas Development the first AIM listed company to join the Kenyan exchange and will mark a further important step in the Company’s development as it looks to expand its existing support services business in East Africa.
Esprey added: “We continue to make excellent progress on the ground, and an annualized revenue of $38- $40 million looks highly achievable. With the work on our logistics hub currently underway, and extensive development activities elsewhere in the region, we believe this will only improve further.