Lincoln Crowne Weekly Engineering & Mining Services Report for period to 5th July 2013. This report also comments on potential increasing appetite for regional players to look at Australian opportunities given sharp recent decline in AUD vs USD

1. 5 July 2013 WWW.LCC.ASIA
IMPORTANT DISCLAIMER
This report has been prepared by Lincoln Crowne & Company Pty. Limited ("LCC"). The research is based on information obtained from sources believed to be
accurate and reliable. LCC does not guarantee the accuracy, reliability, completeness or suitability of any such information and makes no warranty, guarantee
or representation, expressly or impliedly about this research. LCC accepts no obligation to correct or update the information. No opinion or recommendation is
made within this research. This report is not intended to be, nor should it be relied on, as a substitute for professional advice. This report should not be relied
upon as the sole basis for any investment decision or planning, and LCC does not accept any responsibility on this basis for actions made.
Page 1 / 2
WEEKLYAustralianEngineering&MiningServices
Macro Market Commentary
The start to the new financial year saw the S&P/ASX 100 up almost 3% although the trend for increased volatility continues
with the ASX releasing data indicating a 41% increase in daily trading volume compared with one year ago. The Australian
dollar continued its decline, dropping under US91 cents for the first time since September 2010.
Following a series of meetings in Hong Kong last week, LCC anticipates that the lower AUD may result in an increasing
amount of deal activity around sector as regional players again commence reviewing Australian opportunities for market
entry and / or expansion. Various parties still see strategic value in being able to service the Australian resources sector,
although over the last 2 years there has been hesitation at increasing investment in Australia via a combination of high
currency & high commodity prices (effectively buying services businesses at the top of the cycle).
Source: Capital IQ
News Headlines and Key Sector Developments
Ticker News/Event Ticker News/Event
BLY Moody’s Investors Services has downgraded BLY’s debt ratings as
follows: Corporate Family Rating and Probability of Default rating –
downgraded to Ba3 and Ba3-PD from Ba2 and Ba2-PD,
respectively. Senior unsecured note rating – downgraded to B1
from Ba2. Rating outlook is negative
RQL Provided an activity update in which highlighted ‘insourcing’ by
mining companies of one of the company’s core activities
being dewatering activities within mine sites. Commented on
market conditions in Queensland (coal) and WA (iron ores),
and still seeing opportunities for growth.
DGL Has been awarded a $137M contract from the Commonwealth
Government. The contract is for the construction of a major
Department of Immigration and Citizenship accommodation facility
on Manus Island in Papua New Guinea
UGL Has been awarded a new three year contract by GDF SUEZ
Hazelwood Power Partnership. The contract has a total value
of approximately $110M and two one-year options have the
potential to extend the contract up to a maximum of five years
FGE Completed the acquisition of Taggart Global. All closing
conditions of the acquisition have been met and Taggart
commenced operation as part of Forge Group on 3 July 2013.
Deal size approximately A$68m.
WTP Has been awarded a $146M contract from the Department of
Defence to deliver building and infrastructure upgrades at 16
bases in Queensland, New South Wales, the Australian Capital
Territory and Victoria
Source: Capital IQ, Thomson Reuters, LCC research
3800
3900
4000
4100
5 Jun 13 20 Jun 13 5 Jul 13
S&P/ASX 100 Index
0.900
0.920
0.940
0.960
0.980
5 Jun 13 20 Jun 13 5 Jul 13
AUD vs USD

2. 5 July 2013 WWW.LCC.ASIA
IMPORTANT DISCLAIMER
This report has been prepared by Lincoln Crowne & Company Pty. Limited ("LCC"). The research is based on information obtained from sources believed to be
accurate and reliable. LCC does not guarantee the accuracy, reliability, completeness or suitability of any such information and makes no warranty, guarantee
or representation, expressly or impliedly about this research. LCC accepts no obligation to correct or update the information. No opinion or recommendation is
made within this research. This report is not intended to be, nor should it be relied on, as a substitute for professional advice. This report should not be relied
upon as the sole basis for any investment decision or planning, and LCC does not accept any responsibility on this basis for actions made.
Page 2 / 2
WEEKLYAustralianEngineering&MiningServices
Market Cap Open Price Close Price High Low Weekly Volume TEV/ TEV/
Ticker (AUD Million) (AUD) (AUD) (AUD) (AUD) % Change Trend EBITDA EBIT
AJL 262 1.20 1.24 1.25 1.20 ▲ 3.3% NM NM
ASL 279 0.85 0.90 0.92 0.78 ▲ 5.9% 2.6x 4.4x
AAX 226 1.95 1.83 1.95 1.65 ▼ -6.2% 3.5x 4.1x
ANG 225 3.14 3.08 3.27 2.95 ▼ -1.9% 4.7x 5.4x
BLY 230 0.67 0.51 0.68 0.48 ▼ -24.1% 2.4x 3.7x
BKN 738 4.28 4.39 4.44 4.14 ▲ 2.6% 5.1x 6.6x
BYL 26 0.23 0.24 0.28 0.23 ▲ 4.3% 1.7x 2.7x
BOL 54 0.09 0.12 0.13 0.09 ▲ 27.8% 2.7x 4.9x
BSA 39 0.15 0.17 0.17 0.15 ▲ 13.3% 4.8x 12.2x
CDD 756 5.11 5.26 5.26 4.90 ▲ 2.9% 6.6x 7.7x
CGH 101 0.35 0.33 0.37 0.32 ▼ -5.7% 1.5x 2.3x
CLO 886 1.08 1.14 1.17 1.06 ▲ 6.0% 7.6x 7.9x
COF 29 0.12 0.12 0.13 0.12 ▼ -4.2% 3.1x 4.3x
DCG 325 1.78 1.93 2.05 1.72 ▲ 8.4% 3.4x 3.6x
DSB 16 0.33 0.34 0.34 0.33 ▲ 1.5% 2.5x 3.2x
DOW 1517 3.49 3.50 3.64 3.44 ▲ 0.3% 3.2x 5.8x
EAL 54 0.53 0.48 0.54 0.45 ▼ -8.6% 6.6x 8.2x
EGN 50 0.15 0.16 0.16 0.15 ▲ 10.3% NM NM
EHL 146 0.28 0.25 0.29 0.24 ▼ -10.7% 2.4x 5.1x
EVZ 11 0.06 0.06 0.06 0.05 0.0% 8.1x 13.5x
FWD 271 3.58 4.47 4.50 3.56 ▲ 24.9% 4.4x 5.8x
FGE 385 4.15 4.47 4.55 4.07 ▲ 7.7% 2.9x 3.7x
GCS 73 0.44 0.43 0.44 0.43 ▼ -2.3% 3.3x 5.0x
GNG 65 0.46 0.43 0.46 0.43 ▼ -6.5% 3.6x 3.9x
HDX 38 0.21 0.21 0.21 0.21 0.0% 3.4x 5.2x
IMD 146 0.60 0.70 0.71 0.60 ▲ 15.8% 3.0x 3.5x
LEI 5642 16.00 16.73 16.88 15.54 ▲ 4.6% 3.2x 6.6x
LCM 88 1.30 1.26 1.30 1.25 ▼ -2.7% 4.5x 4.8x
LYL 171 4.27 4.38 4.40 4.26 ▲ 2.6% 4.0x 4.2x
MLD 311 1.79 1.80 1.86 1.73 ▲ 0.6% 3.3x 4.9x
MAH 175 0.13 0.14 0.14 0.13 ▲ 12.0% 1.1x 2.0x
MYE 52 0.70 0.69 0.73 0.69 ▼ -1.4% 2.0x 2.6x
MIN 1507 8.19 8.10 8.38 7.99 ▼ -1.1% 6.4x 9.7x
MCE 74 0.78 0.78 0.83 0.78 0.0% NM NM
MND 1400 16.00 15.40 16.03 14.86 ▼ -3.8% 5.4x 6.2x
NMS 59 0.03 0.03 0.03 0.03 ▼ -3.0% 59.8x NM
NFK 76 0.46 0.47 0.48 0.46 ▲ 3.3% NM NM
NWH 264 0.90 0.95 0.97 0.88 ▲ 5.0% 1.4x 1.8x
OTC 10 0.05 0.05 0.06 0.05 0.0% 1.2x 1.7x
PRG 287 2.35 2.43 2.45 2.28 ▲ 3.4% 5.7x 6.9x
RCR 285 2.26 2.15 2.31 2.13 ▼ -4.9% 4.1x 5.7x
RQL 42 0.14 0.17 0.19 0.14 ▲ 21.4% 2.9x 4.6x
SND 57 0.72 0.73 0.74 0.71 ▲ 1.4% 6.2x 6.6x
SDM 166 0.53 0.76 0.76 0.53 ▲ 41.9% 1.7x 2.5x
SWL 84 1.03 1.08 1.08 1.02 ▲ 4.9% 6.8x 8.6x
SXE 173 0.83 1.07 1.07 0.83 ▲ 28.9% 5.6x 6.8x
STS 21 0.33 0.34 0.34 0.32 ▲ 3.1% 2.1x 5.0x
SWK 47 0.28 0.28 0.29 0.28 0.0% 1.6x 3.1x
TPP 9 0.05 0.06 0.06 0.05 ▲ 22.2% NM NM
TSE 384 0.74 0.75 0.78 0.71 ▲ 1.4% 4.8x 9.2x
UGL 1147 6.96 6.99 7.14 6.56 ▲ 0.4% 8.8x 12.0x
VMG 11 0.01 0.01 0.01 0.01 0.0% NM NM
WDS 54 0.35 0.37 0.38 0.35 ▲ 5.7% 2.5x 5.5x
WOR 4973 19.50 20.15 20.53 19.00 ▲ 3.3% 9.6x 10.6x
WTP 106 0.55 0.58 0.58 0.55 ▲ 4.5% NM NM
Source: Capital IQ, LCC research
Logicamms Limited
Imdex Limited
Seymour Whyte Limited
UGL Limited
Leighton Holdings Limited
Ausenco Limited
Watpac Limited
Lycopodium Limited
MACA Limited
MacMahon Holdings Limited
Mastermyne Limited
WorleyParsons Limited
Sedgman Limited
VDM Group Limited
WDS Limited
Structural Systems Limited
Boart Longyear Limited
GR Engineering Services Limited
Calibre Group Limited
E&A Limited
Bradken Limited
DeltaSBD Limited
Boom Logistics Limited
EVZ Limited
Fleetwood Corporation Limited
Hughes Drilling Pty Limited
Transfield Services Limited
Swick Mining Services Limited
Tempo Australia Limited
Programmed Maintenance Services
Norfolk Group Limited
Neptune Marine Services Limited
Monadelphous Group Limited
Mineral Resources Limited
Resource Equipment Limited
Saunders International Limited
Southern Cross Electrical Engineering
Matrix Composites & Engineering
OTOC Limited
RCR Tomlinson Limited
NRWHoldings Limited
Engenco Limited
Emeco Holdings Limited
Forge Group Limited
Global Construction Services Limited
Coffey International Limited
Clough Limited
Cardno Limited
BSA Limited
Brierty Limited
Decmil Group Limited
Austin Engineering Limited
Ausdrill Limited
Downer EDI Limited
Company Name
AJ Lucas Group Limited