AGILITY
CAPABILITY
FLEXIBILITY
Kentz Corporation Limited
Annual Report and Accounts 2012 Kentz is a leading global 
provider of engineering 
and construction specialty 
solutions to energy  
and resource clients. 
Kentz is listed on the main 
market of the London Stock 
Exchange (LSE: KENZ).
OVERVIEW 
IFC Kentz at a glance
01 Financial highlights
02 Chairman’s statement
BUSINESS REVIEW 
04 Chief Executive’s review
06 Our strategy
08 Our business model
18 EPC
20 Construction
22 Technical Support Services
24 Outlook
26 Principal risks and uncertainties
30 Corporate responsibility
34 Chief Financial Ofﬁcer’s review
GOVERNANCE 
38 Board of Directors 
40 Directors’ report
42 Corporate governance
47 Report of the Risk Review Committee
48 Report of the Nomination Committee
49 Report of the Audit Committee
51 Report of the Remuneration Committee
FINANCIAL STATEMENTS 
57 Independent auditors’ report
58  Consolidated income statement
59  Consolidated statement of 
comprehensive income
60  Consolidated statement of 
ﬁnancial position
61  Consolidated statement of cash ﬂows
62  Consolidated statement of changes 
in equity
63 Notes to the ﬁnancial statements
92 Shareholder information KENTZ  
AT A GLANCE
Americas
Kentz has achieved exceptional 
growth in the Americas in 2012 driven 
primarily by its operations in Canada 
where it is executing a number of 
projects at the Athabasca Oil Sands in 
Alberta. Further investment in 
unconventional oil developments, 
along with new Arctic projects, 
provides conﬁdence for continued 
growth for Kentz’s Americas 
operations. 
 EPC
Kentz offers a broad range of 
engineering and construction services 
providing clients with fully designed and 
delivered turnkey solutions. Our 
approach to projects is client-focused, 
preferring a “one team” style of 
execution. Our full in-house team design, 
engineer and build complex facilities for 
our clients in remote and challenging 
locations throughout the world. 
 Construction
Kentz executes multi-discipline 
construction contracts that add 
signiﬁcant value to a client’s end asset. 
We focus on the technically challenging 
areas of construction; the provision of 
structural, mechanical, electrical, 
instrumentation and piping services. Our 
construction management teams are 
highly experienced in the construction of 
new plant facilities, and the retroﬁt and 
expansion of existing plant facilities. 
 Technical Support Services
Through the Technical Support Services 
(TSS) business Kentz offers a range of 
services for capital projects from 
front-end and detailed engineering, 
project and construction management, 
through to completions and 
commissioning of major energy plants. 
This has been a key area of growth for 
Kentz and highlights clients’ demand for 
our specialist engineering and 
construction capabilities. 
Three business units coming together as One Kentz
Kentz is organised into three global business units whose broad range of services allows for multiple entry points 
into the life of a project. These business units complement each other providing high value services and complex 
project solutions to some of the world’s largest energy and resource companies. 
192m
55m
15.8% Middle East and Caspian
Kentz’s core operations in the Middle 
East are centred around Kuwait, UAE 
and Saudi Arabia, all three of which 
are included in the world’s top ten oil 
reserves countries. 2012 has seen 
increased bidding activity in the 
region, evident by the contract awards 
in Iraq during the year. The region is 
also an important engineering centre 
for Kentz, where services are provided 
globally to projects under execution.
Australasia
Our operations in both Australia and 
Papua New Guinea relate primarily to 
the liqueﬁed natural gas (LNG) sector 
as these countries are home to some 
of the largest LNG projects currently 
under construction anywhere in the 
world. All three of Kentz’s business 
units are providing services to clients 
on these major facilities and the 
continued investment by the world’s 
largest oil and gas companies in this 
region, provides Kentz with exciting 
opportunities on projects which have 
received ﬁnal investment decision 
(FID). By focusing our attention 
towards projects with FID, Kentz is 
able to considerably lower its exposure 
when committing resources. 
Far East and Russia
Through its operations in Sakhalin 
Island, Kentz has successfully delivered 
services in one of the most challenging 
and remote locations on earth. Having 
developed an expertise for such difﬁcult 
conditions, Kentz is now expanding its 
focus to northern and western Russia 
where many opportunities lie with the 
very signiﬁcant proven oil and gas 
reserves that the country possesses. 
This expertise has also fed through to 
the Americas region, in the form of 
Arctic contracts, demonstrating the 
agility of Kentz. 
Africa
The African oil and gas sector 
continues to provide many 
opportunities for Kentz where the 
Group is looking to new locations 
within the region for future projects. 
Following a strong year for mining and 
metals in 2011, the lower revenues 
achieved in 2012 in this sector reﬂect 
the slow-down for mining projects 
globally. Kentz continues to focus on 
longer term investments across 
sectors where the improving outlook 
for future investment is encouraging. 
EPC
Construction
Technical Support 
Services
Revenue ﬁgures (US$)
193m
111m
121m
27.2%
69m
4.4%
160m
58m
156m
23.9%
42m
287m
28.4%
115m Revenues incl. JVs
(US$m)
08 09 10 11 12
676.8
740.9
1,159.8
1,469.0
1,563.2
EPS Diluted
(US¢)
08 09 10 11 12
25.09
26.35
39.91
48.98
58.05
Backlog
(US$m)
08 09 10 11 12
1,004
1,497
1,602
2,401
2,565
Return on Capital
Employed 
08 09 10 11 12
27.5%
25.7%
30.6%
30.5%
34.1%
Proﬁt before tax
(US$m)
08 09 10 11 12
40.7
44.5
67.5
79.4
104.8
EBITDA
(US$m)
08 09 10 11 12
42.2
51.1
81.7
97.5
118.5
01
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
GOVERNANCE FINANCIAL STATEMENTS BUSINESS REVIEW OVERVIEW
DELIVERING  
EXCEPTIONAL GROWTH
FINANCIAL HIGHLIGHTS
Strong operational performance
 32% US$13.2bn
 18% 14.5 cents


5 year performance
 131%
***
 131%
***
 155%
***
 157%
***



Revenues incl. JVs*
US$1 ,563.2m
+6%

Proﬁt before tax
US$104.8m
+32%

Backlog
US$2,565m
+7 %

EPS Diluted
US58.05¢
+1 9%

EBITDA**
US$1 18.5m
+22%

ROCE
34. 1 %

 181%
*** 02
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
Overview












Public listing

















Operating Environment























CERTAINTY OF DELIVERY
CHAIRMAN’S STATEMENT







 03
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
GOVERNANCE FINANCIAL STATEMENTS BUSINESS REVIEW OVERVIEW
Strategy

Kentz 2013 and Beyond 












Board
























Outlook











Tan Sri Mohd Razali Abdul Rahman
Chairman
Five year highlights
2008

2009



2010
2011


2012

 04
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
























Our relationships














The last ﬁve years













ADDING SERVICES AND  
EXTENDING MARKETS
CHIEF EXECUTIVE’S REVIEW








 05
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS















Christian Brown
Chief Executive Ofﬁcer





















Growth strategy






























 SPECIALIST CAPABILITIES
BROADENING OUR
CAPABILITIES GEOGRAPHICALLY
LEVERAGING OUR
   ENHANCING OUR CORE
   MARKETS AND CAPABILITIES
SPECIALIST CAPABILITIES
BROADENING OUR
CAPABILITIES GEOGRAPHICALLY
LEVERAGING OUR
   ENHANCING OUR CORE
    MARKETS AND CAPABILITIES
CAPABILITIES GEOGRAPHICALLY
LEVERAGING OUR
SPECIALIST CAPABILITIES
BROADENING OUR
   ENHANCING OUR CORE
    MARKETS AND CAPABILITIES
06
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
Strengthen Middle East ●●●
Strengthen our Middle East business by 
improving our focus on EPC, increasing 
competitiveness, and growing both sales 
and proﬁtability. 







Develop construction 
capabilities in Canada ●●
Expand our capability to provide a full range 
of structural, mechanical, electrical, 
instrumentation and piping (SMEIP) services 
and leverage TSS experience to better 
capitalise on market opportunities.











STRENGTHENING OUR 
PROPOSITION FOR GROWTH
OUR STRATEGY 07
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
Keep focus on growing base business 
●●●
Our existing business is one of the leading 
providers of specialist solutions to blue-chip 
natural resource clients.



Expand across East and West Africa 
●●●
Establish a strategic long-term presence in 
East and West Africa, with Kentz recognised 
as the leading contractor in the region.










Expand in Australasia ●●●
Capitalise on our established execution 
capabilities and expand the service breadth, 
as well as focusing on organisation 
alignment to ensure continued growth. 














Build out EPC ●
Phased EPC growth strategy, leveraging 
existing capabilities and differentiators, 
while expanding ability to provide EPC for 
small to medium onshore process facilities.






Expand in Russia ●●
Leverage our experience, relationships, 
reputation, and successful track record with 
key global clients, into new developments in 
the Arctic area.










Three Global Business  
Units coming together  
as One Kentz
 EPC  
 CONSTRUCTION 
 TSS 08
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
Client focus 




































DEVELOPING CLIENT 
RELATIONSHIPS
OUR BUSINESS MODEL





C Co on nst tru uc ctio on n  
DNA A
PG 10
En nd d m ma ar rke et 
fl fle exib bilit ty
PG 16
Va alu ue e c chain  
fl fle exib bilit ty
PG 14
D De ece en ntr ralise ed d 
op pe era ationa al  
a ap ppr ro oac ch h
PG 12
C Clie en nt fo oc cu us s – –  
t to o d de ev vel lo op p 
l lo on ng-t term m  
r re ela atio on nship ps Top ﬁve clients 
by revenue 
(% of Group Revenues)
15.1%
13.0%
9.6%
7.5%
6.3%
Chevron
ExxonMobil
Sasol
Fluor
Qatar Petroleum
Backlog by contract
(%)
78% Cost reimbursable
15% Lump sum
7% Unit rate
Backlog to revenue conversion
(US$m)
5,000
4,375
3,750
2,500
3,125
1,875
625
1,250
0
Dec 09
Backlog
Order
intake
Revenue Order
intake
Revenue Dec 10
Backlog
Dec 11
Backlog
Order
intake
Revenue
Dec 12
Backlog
1,497 1,264 (1,159) 1,602 2,268 (1,469) 2,401 1,727 (1,563) 2,565
09
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
FOCUS ON EARNINGS  
GROWTH




Backlog conversion



















Contracts


























71
 10 OUR BUSINESS MODEL
CONSTRUCTION DNA
The foundation on which we have built our business.
Photo: Pluto LNG Australia OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
11 Kentz has retained its strong 
ability to build physical assets 
for clients.
Since its beginnings in Ireland providing 
electrical and instrumentation services 
during a period of industrial development 
to the expansion of the Group to 
international markets in 1977 and its 
further globalisation to the worldwide 
presence that it currently has, Kentz has 
retained its strong ability to build physical 
assets for clients. 
From 1919, Kentz has been a leading 
provider of construction solutions to 
clients through the provision of electrical 
and instrumentation services, with the 
addition of mechanical, structural and 
piping services in recent decades.
Advantage
The capabilities that Kentz possess to 
deliver such crucial services for clients 
on a global level distinguishes it from 
many of its peers. The risk in many 
projects lies with the physical 
construction of the asset and Kentz has 
its own construction workforce that has 
developed the skills and experience to 
successfully build these assets. 
The provision of services to energy and 
resource companies leads Kentz to 
remote and challenging locations of the 
world. Kentz’s success in providing high 
quality construction services in such 
difﬁcult locations has allowed it to 
develop an extensive track record and 
being one of the few global construction 
contractors with the capability to deliver 
high quality end products for its clients. 
10 OUR BUSINESS MODEL
CONSTRUCTION DNA
The foundation on which we have built our business.
Photo: Pluto LNG Australia In practice



































OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
11 12 OUR BUSINESS MODEL
DECENTRALISED OPERATIONAL 
APPROACH
Decision making capabilities across the world and close to our clients.
Photo: Site meeting, Medupi Power Plant, South Africa OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
13 The leadership team of Kentz 
is spread throughout the 
globe, near projects and close 
to clients.
Unlike many international companies, 
Kentz does not operate from a central 
headquarters. The leadership team of 
Kentz is spread throughout the globe, 
near projects and close to clients.
The beneﬁts of this operating model 
can be seen in the excellent and 
long-standing relationships that Kentz 
has developed and maintained with key 
clients over a long period of time. The 
very ﬁrst client that Kentz worked for 
when it began its international operations 
in 1977 continues to be a key client to 
this day. The importance of fostering 
such strong relationships is evident in 
the level of repeat business that Kentz 
undertakes for core clients and the 
expansion of its operations to new 
locations of the world with such clients. 
Advantage
On a practical level, the main advantages 
of having a decentralised model are:
 Having our senior executives close 
to projects and clients assist in the 
business winning and retaining 
process as constant dialogue is being 
maintained and knowledge being 
shared allowing Kentz to focus on any 
upcoming client developments. 
 Operating on large complex projects in 
remote and challenging locations 
means that difﬁculties and delays have 
to be overcome from time to time. 
Having our people close to these 
projects who can make the necessary 
decisions to resolve any difﬁculties is 
12 OUR BUSINESS MODEL
DECENTRALISED OPERATIONAL 
APPROACH
Decision making capabilities across the world and close to our clients.
Photo: Site meeting, Medupi Power Plant, South Africa In practice




































Top

Bottom

OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
13 14
VALUE CHAIN  
FLEXIBILITY
OUR BUSINESS MODEL
Providing valuable services to clients throughout the life of a project. OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
15 Having the capability to 
provide a wide range of 
services can mean a greater 
and longer involvement in any 
individual project.
Kentz operates through three global 
business units where it provides a broad 
range of services to clients in the energy 
and resources sectors. 
Advantage
The greatest beneﬁt of this for Kentz is 
the multiple entry points this allows into a 
project, which can afford the Group the 
opportunity to provide one client with 
services from all three of our business 
units, or alternatively, the identiﬁcation of 
speciﬁc parts of the value chain where 
we can focus business winning efforts. 
As some of our services are 
concentrated on the early stages of a 
project, the project personnel often have 
a clear insight into the clients’ future 
needs where they can identify an 
additional service offering for any of 
our business units. This aids the 
collaboration of our business units and 
provides our clients with a one-team 
approach to providing solutions in the 
development of their project. 
Through its three business units, Kentz 
often has the opportunity for bidding on 
multiple contracts within a project. The 
loss of one contract bid does not mean 
that Kentz is precluded from working on 
the project in delivering other scopes of 
work. Having the capability to provide a 
wide range of services can mean a 
greater and longer involvement in 
any individual project. 
14
VALUE CHAIN  
FLEXIBILITY
OUR BUSINESS MODEL
Providing valuable services to clients throughout the life of a project. In practice
































Top

Bottom

OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
15 16
END MARKET  
FLEXIBILITY
OUR BUSINESS MODEL
Making challenging projects happen across a diverse client base.
Photo: Jwaneng Open Cast Diamond Mine OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
17 Kentz provides engineering 
and construction specialty 
solutions to energy and 
resource clients throughout 
the world.
Kentz provides engineering and 
construction specialty solutions to 
energy and resource clients throughout 
the world. Although the oil and gas 
sector has dominated Kentz’s project 
portfolio, the services that Kentz provide 
can be just as valuable for clients in other 
sectors such as mining and metals, 
infrastructure and power. 
Advantage
Kentz’s international business developed 
in the Middle East and Africa where it 
executed projects primarily in the 
hydrocarbon space. This has been very 
good grounding for the Group as it has 
developed the expertise to deliver large 
scale projects for international energy 
clients in some of the most difﬁcult 
conditions and remote locations on earth. 
Not only has the experience from the oil 
and gas sector led to further work from 
these clients in other parts of the world, 
it has also led to us expanding our core 
competencies into other sectors, often 
in the wider energy and resources arena.
Medupi Power Plant, South Africa
16
END MARKET  
FLEXIBILITY
OUR BUSINESS MODEL
Making challenging projects happen across a diverse client base.
Photo: Jwaneng Open Cast Diamond Mine In practice









































Top

Bottom

OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
17 18
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
































Australasia
























BUSINESS REVIEW
EPC
BROADENING OUR SPECIALIST CAPABILITIES




Tush Doshi
Chief Operating Ofﬁcer,  
EPC EPC Revenue
(US$m)
08 09 10 11 12
191.3
200.8
438.9
448.2
395.0
EPC Backlog
(US$m)
08 09 10 11 12
316.2
837.3
780.4
626.1
340.7
Middle East* South Africa Australia Canada
Employees and Engineering Capacity
(Employee numbers)
*  Three engineering centres in Qatar, Saudi Arabia, UAE.
500
450
400
350
300
250
200
150
100
50
0
415
150
50 50
19
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
Africa


































Middle East












EPC 
Strategy for 
growth:












Middle East South Africa Australia Canada
Man-hours/year
Discipline













 20
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com


























Australasia










Africa




















BUSINESS REVIEW 
CONSTRUCTION 
ENHANCING OUR CORE MARKETS AND CAPABILITIES




Eoin Hurley
Chief Operating Ofﬁcer, 
Construction Construction Revenues 
(US$m)
08 09 10 11 12
271.3
347.9
475.0
710.1
759.3
Construction Backlog
(US$m)
08 09 10 11 12
517.0
529.4
658.1
1,403.1
1,606.7
21
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
Americas

































Construction 
Strategy for 
growth:









 
Countries where Kentz has worked
  
Construction current operations 
12 countries 22
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com




































Africa





















BUSINESS REVIEW 
TECHNICAL SUPPORT SERVICES
LEVERAGING OUR CAPABILITIES GEOGRAPHICALL Y 




Mike Murphy
Chief Operating Ofﬁcer,  
Technical Support Services TSS Revenues 
(US$m)
08 09 10 11 12
180.7
192.1
245.9
310.7
408.9
TSS Backlog
(US$m)
08 09 10 11 12
170.6
130.7
164.1
371.7
618.0
Technical Support Services Overview
– 40 deg (Arctic) +50 deg (Desert)
Conceptual
Concept Design Construct Commission Operate Maintain Mothball
Construction
Begins
Mechanical
Completion
Mothballed
Shutdown, Turnaround, 
Operations and Maintenance
 General Support Services
Completions and 
Commissioning
Remote Construction Services
Global Engineering 
Services
Project Management Consultancy Services
23
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
Americas



















Far East
















Technical Support 
Services 
Strategy for 
growth:








 Backlog over ﬁve years
(US$m)
08 09 10 11 12
1,003.8
1,497.4
1,602.6
2,400.9
2,565.4
Backlog by sector
(%)
Oil and Gas 79% 
Petrochemicals 9%
Mining and Metals 6%
Power 5%
Other 1%
Market Opportunity
Total value of global resource projects
Total value of contracts awarded
Kentz Addressable
Kentz 
Pipeline
US$4.5tr
US$845bn
US$503bn
US$13bn
24
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com


















Upstream


















Midstream





















































OUTLOOK
SUSTAINING GROWTH
THROUGH CHALLENGING TIMES


 Pipeline by Region
(%)
Americas 7%
Africa 15%
Middle East and Caspian 30%
Australasia 39%
Far East and Russia 9%
Pipeline by GBU
(%)
EPC 52%
Construction 32%
TSS 16%
25
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
Summary



































Downstream









Mining and Metals

















EPC
Construction
TSS
Pipeline of prospects
77%
17%
Middle East
(US$3.901bn)
6%
70%
2%
28%
Africa
(US$2.026bn)
42%
35%
23%
Americas
(US$0.956bn)
11%
49%
Australasia
(US$5.176bn)
40%
48% 52%
Far East and Russia
(US$1.107bn) BOARD OF DIRECTORS
Internal Management System (IMS)/Risk Management (RM)
Procedures Functional Oversight
Commission 
and Handover
(Risk Register)
 
Construction
(Risk Register)
Procurement
(Risk Register)
Engineering
(Risk Register)
T ender 
Preparation
(Risk Register)
Development
(Risk Register)
Post-Award
Management 
Executive
Committee
Operational
GBUs
Pre-Award
Risk Review 
Committee*
Business Development
Group
Mitigation Plans 
Insurance 
Project Controls
Oversight 
Regular Reviews 
Lessons Learned
Selective Approach
Pricing Strategy
Qualifications
Reviews
Contingency
26
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
Introduction





























Review of 2012 



























PRINCIPAL RISKS AND UNCERTAINTIES
SUSTAINING SHAREHOLDER 
VALUE






 
David Beldotti, Chairman,  
Risk Review Committee
 27
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS






















































Outlook 2013 













Low
Medium
High
Impact
Likelihood
Loss 
of major 
customer 
relationship
JVs; partner 
underperformance; 
loss of key 
employees; Ethical 
Breaches
Legal, political 
and economic 
conditions
Contract 
performance/
execution
Competition, 
investment in new 
areas/markets
SSH&E
Key risks  28
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
PRINCIPAL RISKS AND UNCERTAINTIES 
Risk Description of Risk Mitigation Commentary
Contract 
Performance, 
Execution 





































Investment in 
new areas/new 
business























Competition

























Loss of major 
customer 
relationship


















 29
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
Risk Description of Risk Mitigation Commentary
Legal, political 
and economic 
conditions and 
regime changes 


























Joint ventures, 
partner 
performance 
and other 
supply chain 
participants





















Loss of key 
employees




















Ethical 
breaches, 
regulatory 
compliance





















SSH&E























 30
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
CORPORATE RESPONSIBILITY
BUILDING BETTER FUTURES
Employees





























































































46

 31
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS





















































Safety, Security, Health 
and Environment





























 Climate neutral with firstclimate.com
32
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
CORPORATE RESPONSIBILITY 




















Communities























Relationships
























 33
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS






















































 34
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
Revenue





































Gross proﬁt











SG&A expenses






CHIEF FINANCIAL OFFICER’S REVIEW
FINANCIAL HIGHLIGHTS 
2012 RESULTS OVERVIEW






Ed Power,  
Chief Financial Ofﬁcer
2012 
(US$m)



 1,563.2 150.6 1,412.6 118.5 8.4% 104.8 7.4% 79.1 5.6% 34.6 15.7 223.3 58.05 14.5 34.1% 2,565.4
 Revenue by region
(US$m)
246.8
443.9
425.0
73.5
374.0
Americas
Africa
Middle East
Far East and Europe
Australasia
EBITDA
(US$m)
08 09 10 11 12
42.2
51.1
81.7
97.5
118.5
35
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
Non-controlling interest





Earnings per share













Deﬁned Beneﬁt Pension Scheme











Dividend





























Operating proﬁt










Share of joint ventures proﬁt



Net ﬁnance expense










Proﬁt before tax







 Taxation






Net proﬁt for the year



 Earnings per share 
(US$¢) (diluted)
08 09 10 11 12
25.09
26.35
39.91
48.98
58.05
Dividends
(US$¢)
08 09 10 11 12
5.7
6.0
10.0
12.3
14.5
36
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
CHIEF FINANCIAL OFFICER’S REVIEW 



















Equity




Total assets

















Summary of Consolidated Statement 
of Financial Position Highlights
Working capital














 2012 
US$000


ASSETS
 83,544 Current assets
 134,635 264,731 223,312 Total assets 706,222 LIABILITIES
 24,525 2,152 15 Current liabilities
 394,324 5,017 25 Total liabilities 426,058 Net assets 280,164 Cash ﬂow analysis
(US$m)
300
250
200
150
100
50
0
Dec 11
Advances/Related parties Loans and borrowings Kentz own cash Positive flows Negative flows
Investing Operating Financing
Dec 12
42.0
238.1
6.3
13.1 (33.8)
223.3
13.0
183.1
35.6
7.2
180.5
37
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
OVERVIEW BUSINESS REVIEW GOVERNANCE FINANCIAL STATEMENTS
Cash and Cash equivalents













Ed Power
Chief Financial Ofﬁcer
Summary of Consolidated Statement 
of Cash Flows Highlights 
Cash flow from operations








Cash flow from investing activities








Cash flow used in financing activities







 38
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
BOARD OF DIRECTORS
EXTENSIVE KNOWLEDGE 
AND EXPERIENCE
Tan Sri Mohd Razali 
Abdul Rahman
Non-Executive Chairman 
Aged 65
Christian Ian Brown
Chief Executive Officer  
Aged 43
Ed Power
Chief Financial Officer 
Aged 58
































































 39
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
OVERVIEW FINANCIAL STATEMENTS GOVERNANCE BUSINESS REVIEW
David Michael Beldotti
Senior Independent Director 
Aged 71
Brendan Lyons
Independent  
Non-Executive Director 
Aged 65
Hans Kraus
Independent  
Non-Executive Director 
Aged 75
David MacFarlane
Independent 
Non-Executive Director
Aged 56


















































































































 Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
40 DIRECTORS’ REPORT
The Directors have pleasure in presenting the Annual Report and Accounts for the year ended 31 December 2012.
Principal activities
The principal activities of the Group consist of the provision of mechanical, electrical, controls and instrumentation, engineering, construction 
and management services to the oil and gas, petrochemical, power, process, water and environmental, communications and commercial and 
infrastructure services.
Board of Directors
The Directors who served the Company during the year ended 31 December 2012 were:
Tan Sri Mohd Razali Abdul Rahman
Christian Brown (Appointed 1 February 2012)
Hugh O’Donnell (Resigned 31 January 2012)
Hassan Abas (Resigned 29 August 2012)
David MacFarlane (Appointed 29 August 2012)
David Beldotti
Ed Power
Hans Kraus
Brendan Lyons
Results and dividends
The Consolidated Income Statement and Consolidated Statement of Financial Position for the year ended 31 December 2012 are set out on 
pages 58 and 60. Proﬁt before taxation for the year amounted to US$104.8m, an increase of 32.0% on the previous year. After providing for tax 
and non-controlling interests, the net proﬁt attributable to shareholders was US$69.7m (2011: US$58.9m). Basic earnings per share amounted 
to 60.03 US$ cents compared with 50.61 US$ cents in the previous year, an increase of 18.6%. Dividends proposed and paid during the year 
amounted to US$14.9m.
Business review and future developments
A review of the Group performance for the year is included in the Chief Executive’s review.
Signiﬁcant shareholders
Interests in 3% or more of the issued share capital which have been notiﬁed to the Company in accordance with the Articles of Association of 
the Company were:
At 31 December 2011 At 31 December 2012 At 4 March 2013
No. of shares % No. of shares % No. of shares %
Kerbet Limited 30,875,000 26.53 15,875,000 13.45 15,875,000 13.37
Legal and General Investment Management 11,127,681 9.56 11,541,776 9.78 11,327,001 9.54
Schroder Investment Management 2,731,692 2.35 7,037,070 5.96 7,262,988 6.11
Standard Life Investments 7,340,744 6.31 7,309,830 6.19 7,241,594 6.10
BlackRock Investment Management (UK) Limited 6,438,477 5.53 6,475,686 5.49 5,949,131 5.01
BAE Systems Pension Fund Investors 4,581,906 3.94 4,248,865 3.60 4,232,180 3.56
Dr Hugh O’Donnell 7,500,000 6.44 4,216,404 3.57 3,576,404 3.01
Artemis Investment Management 2,250,809 1.93 4,069,815 3.45 3,250,858 2.74
Kames Capital 2,412,901 2.07 3,998,006 3.39 804,244 0.68
Danache Holdings Limited 5,623,325 4.83 –– –– 41
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
Principal Risks and Uncertainties
In accordance with the Disclosure and Transparency Rules of the United Kingdom’s Financial Services Authority, the Directors are required to 
give a description of the principal risks and uncertainties facing the Group. These are addressed in the Principal Risks and Uncertainties 
outlined on pages 26 to 29.
Going concern
The Directors conﬁrm that it is appropriate to apply the going concern concept in preparing the Financial Statements of the Group. In forming 
this view, the Directors have reviewed the Group’s budgets and projections, and have satisﬁed themselves that the Group is in a sound 
ﬁnancial position.
Statement of Directors’ responsibilities
The Directors are responsible for preparing the Annual Report and the Financial Statements in accordance with applicable law and 
regulations.
Jersey company law requires the Directors to prepare the Financial Statements for each ﬁnancial year which give a true and fair view of the 
state of affairs of the Group and of the proﬁt or loss of the Group for that year. In preparing those ﬁnancial statements, the Directors are 
required to:
 Select suitable accounting policies and then apply them on a consistent basis.
 Make judgements and estimates that are reasonable and prudent.
 State whether applicable accounting standards have been followed, subject to any material differences disclosed and explained in the 
Financial Statements.
 Prepare the Financial Statements on the going concern basis unless it is not appropriate to presume that the Group will continue in 
business.
The Directors conﬁrm that they have complied with the above requirements in preparing the ﬁnancial statements. The Directors have prepared 
the Group Financial Statements in accordance with International Financial Reporting Standards (IFRS).
The Directors are also required by the Listing Rules issued by the London Stock Exchange, to prepare a Report of the Directors and reports 
relating to Directors’ remuneration and corporate governance. In accordance with the Disclosure and Transparency Rules of the United 
Kingdom’s Financial Services Authority (“the Transparency Regulations”), the Directors are required to include a management report 
containing a fair review of the business and a description of the principal risks and uncertainties facing the Group.
The Directors are responsible for keeping proper books of accounting records which disclose with reasonable accuracy at any time the 
ﬁnancial position of the Group and to ensure that the ﬁnancial statements comply with relevant legislation. They are also responsible for 
safeguarding the assets of the Group and for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The Directors are responsible for the maintenance and integrity of the corporate and ﬁnancial information included on the Group’s website. 
Legislation in Jersey governing the preparation and dissemination of ﬁnancial statements may differ from legislation in other jurisdictions.
Directors’ Statement Pursuant to the Transparency Regulations
Each of the Directors, whose names and functions are listed on pages 38 and 39, conﬁrms that, to the best of each person’s knowledge and 
belief:
 the Financial Statements, prepared in accordance with IFRS, give a true and fair view of the assets, liabilities, ﬁnancial position and proﬁt of 
the Group; and
 the Directors’ Report includes a fair review of the development and performance of the Group’s business and the position of the Group, 
together with a description of the principal risks and uncertainties facing the Group.
On behalf of the Board of Directors
Christian Brown  Ed Power
Director  Director
22 March 2013 Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
42 CORPORATE GOVERNANCE
Statement of Compliance
The Board considers that applying best practice in corporate governance is an integral element in developing, maximising and maintaining the 
success of the Group and in achieving its long-term goals. It is therefore committed to the highest standards of corporate governance and to 
instilling in the Group the related principles with which it believes business should be undertaken. This process is reviewed on a quarterly 
basis at each Audit Committee meeting where the Group Compliance Ofﬁcer and the Committee review relevant updates and best practices 
in relation to Corporate Governance requirements. The Company is substantially compliant with the UK Corporate Governance Code (the 
Code) and, except where indicated, the provisions have been met. The Directors are responsible for the management and control of the 
Company and recognise the value of the principles of good governance whereby the Company follows the recommendations of the Code.
Board composition
Director Position Year appointed Experience and skills
Tan Sri Mohd Razali Abdul Rahman Non-Executive Chairman 1994 Public company boards, executive management, 
international ﬁnance
David Beldotti Senior Independent Director 2003 Engineering, international oil and gas, operational 
and executive management
Hans Kraus Non-Executive Director 2008 Engineering, international oil and gas, operational 
and executive management
Brendan Lyons Non-Executive Director 2008 Engineering
David MacFarlane Non-Executive Director 2012 International oil and gas, international ﬁnance, 
public company boards, executive management
Christian Brown Chief Executive Ofﬁcer 2012 Engineering, international oil and gas, operational  
and executive management
Ed Power Chief Financial Ofﬁcer 2008 International oil and gas, international ﬁnance, 
executive management
Board changes
On 31 January 2012, Hugh O’Donnell resigned as Chief Executive Ofﬁcer and as a Director of the Company. He was succeeded in these roles 
by Christian Brown on 1 February 2012 who previously held the position of Group Chief Operating Ofﬁcer.
On 29 August 2012, Hassan Abas resigned as Non-Executive Director and Member of the Audit Committee and was replaced by David 
MacFarlane on the same date.
The terms and conditions of appointment of all Directors are included in the Remuneration Committee Report on pages 54 and 55 of the 
Annual Report.
Re-election
The Company does not currently comply with the Code in respect of the annual re-election of all Directors. The Board believes that its 
existing arrangements on the re-election of Directors as set out in the Articles provide continuity of governance, while enabling proper 
accountability and underpinning board effectiveness. In accordance with Articles 33 and 34 of the Articles of Association, the Directors 
submit for re-election every three years with the exception of David Beldotti who having been a Director for more than nine years will 
submit for re-election on an annual basis. At the AGM in 2013, David Beldotti, Brendan Lyons, Tan Sri Mohd Razali Abdul Rahman and 
David MacFarlane will retire and, being eligible will offer themselves for re-election.
Independence
The Board considers the independence of each of the Non-Executive Directors upon appointment and on an annual basis or at any other 
time when circumstances change. The Board is satisﬁed that its composition will ensure that no individual, or group of individuals, will 
dominate the decision-making process.
Following a review of the Board composition, the Company, in line with provisions B.1.1 of the Code, regards four of the current Non-Executive 
Directors to be independent within the meaning of “Independent” as deﬁned in the Code. The Board considers that David Beldotti, Hans 
Kraus, Brendan Lyons and David MacFarlane are independent in character and judgement and free from relationships or circumstances that 
affect their judgement. In judging the independence of these individuals, the Board has taken account of the following:
 Independent Directors are not and have never been employees of the Group.
 Independent Directors do not receive any remuneration from the Group other than Director fees, nor do they participate in the Company’s 
share option scheme, long-term incentive plan or the Company’s pension scheme.
 Independent Directors do not have any close family ties with any of the Company’s advisers, Directors or senior employees.
 Independent Directors do not have any shareholdings in the Company other than a nominal amount of shares.
 Independent Directors do not have any links with other Directors through involvement in other companies. 43
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
The Chairman of the Board was, when appointed, not independent as he was then (and remains) a signiﬁcant shareholder of the Company. 
The Chairman was appointed in 1994 and has extensive knowledge and experience of the Company along with an effective leadership style, 
all of which are deemed important to the role of Chairman.
Although David Beldotti has been a Non-Executive Director of the Company for ten years in February 2013, he continues to meet all the above 
criteria to be considered independent. The Board considers his extensive experience and knowledge of the Company and industry to be 
invaluable to the Company’s success. The Company does not consider his longevity as a Director to be a determining factor in determining 
his independence.
The Board undertakes regular reviews to ensure that its composition is balanced and that its Directors have relevant industry and ﬁnancial 
experience.
Role and functioning of the Board
The Board is collectively responsible for providing leadership, setting the Group’s strategic objectives and key policies and ensuring that 
appropriate resources are in place to achieve business success.
During 2012, the following matters were covered at each of the Board meetings:
Q1 Q2 Q3 Q4
Matters covered at all Board meetings:
Audit, Remuneration, Risk and Nomination committee reports to the Board
Operational review including contracts, commercial and legal updates
Business Development review
Corporate Governance matters for Board review and approval
SSH&E report
Speciﬁc matters for review at each Board meeting:
Review of full year ﬁnancial 
results, Preliminary Statement 
and Annual Report
Review of  
Q1 ﬁnancial results
Review of interim ﬁnancial results 
and Interim Statement
Review of  
Q3 ﬁnancial results
Approval of  
ﬁnal dividend
Approval of AGM  
and Interim Management 
Statement
Approval of  
interim dividend
Approval of  
2013 annual budget
Other matters reserved for the Board’s attention and approval include:
 The Group’s long-term objectives and strategy.
 Matters relating to the structure and capital of the Group.
 Matters relating to major capital expenses: projects, contracts and acquisitions.
 Approval of the dividend policy.
 Board membership and senior appointments; approval of contracts with Directors or related parties including the determination of the 
remuneration for the Directors and executive management.
 Approval of the Board Committees’ terms of reference.
 Undertaking an annual review of the Board’s performance and that of its Committees and individual Directors.
The Chairman and Chief Executive Ofﬁcer
There is a clear and formally documented division of responsibility between the roles of the Chairman and the Chief Executive Ofﬁcer to 
ensure an appropriate balance of responsibility and accountability.
It is the Chairman’s responsibility to ensure the effective functioning of the Board, including the provision of accurate, timely and clear 
information in relation to the Group and its business. He chairs the Board meetings, ensures the agendas are appropriate and is responsible 
for facilitating that all Directors actively contribute to the determination of the Group’s strategy. The Chairman is also responsible for 
encouraging debate and constructive criticism, speaking and acting for the Board and representing the Board to shareholders. The Board 
is satisﬁed that he makes sufﬁcient time available to serve the Group effectively.
The Chief Executive Ofﬁcer is responsible for the day to day management of the Group and implementation of Group strategy, developing 
proposals for Board approval, and ensuring that a regular dialogue with shareholders is maintained. Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
44 CORPORATE GOVERNANCE CONTINUED
Advice
All Directors have unrestricted access to the Corporate Company Secretary. The current Company Secretary is a corporate entity, which 
provides advice on the normal statutory compliance items that enables the Board to fulﬁl its role.
Directors also have unrestricted access to members of Group senior management and a right to obtain independent professional advice at 
the Group’s expense in relation to their duties where they consider it appropriate to do so.
Development
On joining the Board in August 2012, David MacFarlane received a full induction which was provided to develop his knowledge and 
understanding of the Group’s business. This induction included brieﬁngs during and between Board meetings, visits to a number of the 
Group’s ofﬁces and discussions with members of the Group’s senior operational and functional management.
Management of conﬂicts of interest
The Articles of Association include provisions for dealing with Directors’ conﬂicts of interests under which Directors are required to notify the 
Company Secretary of such events as they arise so that they can be considered by the Board. A Director may not vote on or be counted in 
the quorum to vote on any contract, arrangement, transaction or proposal in which he is interested except those speciﬁcally permitted in 
article 61.3 of the Articles of Association.
Non-Executive Directors are also required to avoid any engagements with or instructions from other persons that might result in the creation 
of a conﬂict of interest. In the event such a situation has arisen, or is about to arise, the Non-Executive Director is required to notify the Board. 
If the Board decides that a conﬂict of interest has arisen, or may arise, the Non-Executive Director must immediately cease such activity or 
resign from the Board.
Directors are required to disclose any conﬂicts of interests at all Board and Committee meetings that may exist or appear to exist.
The Company has a share dealing code that covers dealings in its own shares by Directors and employees. It complies with the provisions of 
the UK Listing Rules and restricts dealings in shares and other relevant securities by Directors and employees during the designated close 
periods and any time that they are in possession of unpublished price-sensitive information. A notiﬁcation outlining the dates of close periods 
is issued to Directors and employees by the investor relations team prior to commencement of the close period.
Directors are also obliged to notify the Company of their shareholding in the Company on appointment and to seek Board approval for any 
acquisition or disposal of shares while acting as a Director.
The Company maintains a Register of Directors’ Interests at its registered ofﬁce. Changes to Directors’ interests are reviewed at each 
scheduled Board meeting.
Board performance evaluation
For 2012, each of the Directors completed a detailed questionnaire evaluating the performance of the Chairman, Board and Board 
Committees. This questionnaire was prepared and its results collated independently of the Board. The results summary was provided to 
the Board.
2012 Board and Committee members’ attendance
Board
Audit 
Committee
Remuneration 
Committee
Nomination 
Committee
Risk Review 
Committee
Number of meetings 57544
Non-Executive Directors
Tan Sri Mohd Razali Abdul Rahman 5 – – 4 –
Hassan Abas (Resigned 29 August 2012) 4 4–––
David MacFarlane (Appointed 29 August 2012) 2 1–––
David Beldotti 57544
Hans Kraus 575 –4
Brendan Lyons 5754 –
Executive Directors
Christian Brown (Appointed 1 February 2012) 5––– 4
Ed Power 4––– 4
Hugh O’Donnell (Resigned 31 January 2012) 1–––– 45
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
Control framework and activities
The Directors are responsible for establishing, maintaining and reviewing the effectiveness of the Group’s internal control systems. These 
systems are designed to manage, but not necessarily eliminate, the risks to the Group. They provide reasonable but not complete assurance 
against material loss or misstatement, including that from fraud.
The internal control systems are reviewed by the Board on a regular basis. Throughout the year, senior management provide the Board with 
related reports to assist them with this review.
The main elements of the internal control framework are set out below.
The Group has a clear management structure with deﬁned lines of responsibility and clear delegation of authority. A key element of the overall 
control is directed by the Management Executive Committee, comprising the key senior executives of the Company.
The Committee met seven times in 2012 and its main focus and responsibilities were:
 Overseeing the Safety Leadership Charter.
 Developing and implementing Group strategy.
 Carrying out formalised risk reviews on selected projects throughout the Group.
 Reviewing Group ﬁnancials, annual budgets and forecasts.
 Ensuring appropriate guidance is given to analysts.
 Planning news/project announcements.
 Reviewing Group backlog position across the Group.
The Chief Executive Ofﬁcer reports at each Board meeting on the Group operational environment and activities of the Management Executive 
Committee.
The Group’s policies and procedures are reviewed on a periodic basis and updated as necessary on an on-going basis, for example those in 
relation to ethical business dealings as noted below. This process is designed to ensure that the Group’s policies and procedures are 
up-to-date, meet the Group’s requirements and are in line with best practice.
UK Bribery Act 2010
The new UK Bribery Act came into force in July 2011. No Kentz employee may take part in or condone any bribery or other corruption.  
The use of improper payments to gain advantage is never acceptable. All Kentz employees and the other parties noted above must act  
with integrity at all times, comply with the bribery and corruption laws of the country in which they are operating and not induce or facilitate 
someone else to break such laws. They must not make or receive improper payments either directly or indirectly through third parties.
As part of Kentz’s adherence to the UK Bribery Act, during 2012 approximately 500 employees throughout the Group completed an on-line 
training programme along with a competency test which covered Trust and reputation; Laws and offenses; and Policies and procedures. 
The Company relationships with shareholders
The Board represents the shareholders and is accountable to them for creating and delivering value through the effective governance of the 
business. It aims to develop a mutual understanding with shareholders on the Group’s strategic objectives and remains fully committed to 
ensuring regular communication with shareholders by reviewing the following activities:
 The provision of regular dialogue with major institutional shareholders.
 Press releases regarding Company news which have been issued throughout the year.
 Kentz Group website, which contains all current news, including corporate presentations and accounts.
 The Annual Report is issued to all registered shareholders and contains extensive information about the Company’s activities.
Shareholders are encouraged to attend the Annual General Meeting which is attended by all Directors, to deal with any matters raised by 
shareholders. Questions relating to the strategy, performance and progress of the Company are welcomed at this meeting.
The CEO, CFO and the investor relations team maintain regular dialogue with institutional shareholders. Formal meetings with investors, 
analysts and media take place throughout the year; at full year and interim results and at other times as requested by the investment 
community. Copies of these results presentations can be viewed on the Group’s website. The Group’s investor relations team which is based 
in London acts as a point of contact for investors throughout the year. The Senior Independent Director is also available to shareholders at 
their request.
Insurance cover
The Company maintains Directors’ and Ofﬁcers’ liability insurance cover, the level of which is reviewed annually. Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
46 CORPORATE GOVERNANCE CONTINUED
Company Secretary
The current Company Secretary is a corporate entity, which provides advice on statutory compliance that enables the Board to fulﬁl its role. 
Other duties that would normally be carried out by an internal Company Secretary, such as the provision of timely information to the Board, 
are fulﬁlled by either the CEO or CFO. In terms of Corporate Governance issues the Board is advised by the Group Internal Audit Manager 
and external advisers as appropriate. The appointment or removal of a Company Secretary is a matter for the Board as a whole. The Board 
is satisﬁed that the current arrangement is adequate but will continue to review its effectiveness.
Code of Business Conduct
The Group continues to maintain and build on our already well-established high standards of business conduct and ethics. In September 
2011, the Company formalised all of the important behaviours expected of Group employees into a single Code of Business Conduct, which 
was approved by the Board.
The Group is committed to ensuring the highest legal standards and moral ethics guide all its business activities. This applies to the behaviour 
of all Directors, staff, sub-contractors, agents, consultants, contract labour, suppliers and others representing or acting for, or on behalf of the 
Company, its subsidiaries or joint ventures.
The Code of Business Conduct sets out to ensure that at every level of the organisation, at all times, all employees conduct through their own 
actions, their dealings internally and with third parties with the highest standards of honesty, integrity and fairness and foster an environment 
based on such standards, as well as complying with all related legislation in the countries in which they operate within.
The Group has its own internal procedures for monitoring compliance set out in its Code of Business Conduct, but also relies on its 
employees and external bodies “speaking up” where they become aware of actual or potential breaches of it. Speaking up relates to the 
disclosure of information by an employee or external body if they have a genuine concern about malpractice anywhere in the Group, such as 
instances of contravention of internal policies and legal and ethical standards, including activities or inactivities that put at risk the health and 
safety of Group employees or others, breaches of any environmental or regulatory requirements, bribery and corruption, false accounting, 
fraud and failure to comply with a legal obligation or a deliberate concealment of information relating to any of the above.
The Group is committed to ensuring any employee or external body’s concerns of malpractice are taken seriously and investigated and the 
ways to raise such concerns are set out in the Code of Business Conduct which can be found on the Kentz website www.kentz.com.
Share Dealing Code
The Company has a share dealing code that covers dealings by Directors and employees. This code complies with the provisions set out in 
the Model Code contained in Annex 1 to Listing Rule 9 of the UK Listing Rules. This code restricts dealings in shares and other relevant 
securities by Directors and employees during the designated prohibited periods and any time that they are in possession of the unpublished 
price-sensitive information. A notiﬁcation outlining the dates of close periods is issued to Directors and employees by the investor relations 
team prior to each period’s commencement.
Market disclosure
We are committed to maintaining the highest standards of disclosure ensuring that all investors and potential investors have the same access 
to relevant information in an accessible and timely manner to assist them in making informed decisions. Copies of announcements to the 
market, investor presentations, the Annual Report and other relevant information are published on the Kentz website. 47
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
REPORT OF THE RISK REVIEW COMMITTEE
Role
The Risk Review Committee is responsible for identifying the principal risks facing 
the Group, the methods of managing these risks, the controls that are in place to 
contain them and the procedures to monitor them. The Committee also makes 
recommendations for consideration by the Board of any actions it deems 
necessary to better protect the interests of the Company. 
Members of the Risk Review Committee
David Beldotti (Chairman)
Christian Brown (appointed 23 March 2012)
Ed Power
Hans Kraus 
Hugh O’Donnell (resigned 31 January 2012)
Main responsibilities
The Committee shall carry out the following duties on behalf of the Board: 
 Monitor and provide oversight over risk projects and all risk related policies, risk 
management procedures and activities relating to projects and operations. 
 Review and approve all proposals of higher level projects prior to submission, 
and ensure that they go through a full assessment and risk evaluation. All risks 
are to be tabulated and either priced or excluded from the proposals. 
 Review at each meeting the schedule of corporate tender approvals and the 
schedule of all higher risk projects. 
 Review project risk management procedures of the Company and report to the 
Board on the results of their review. The Committee will make appropriate 
recommendations to the Board on all project risk management issues.
 The Committee shall recommend to the Board the overall project risk 
management strategy of the Company and oversee the implementation and 
effective operation of that strategy, its policies and procedures. 
 The Committee shall satisfy itself that the key project risks of the Company are 
managed cost effectively and to an acceptable level, determine the priorities of 
project risk management activity and bring to the attention of the Board, the 
critical risks and recommendations. 
During 2012, the Committee met four times during which they reviewed all highest risk projects on a quarterly basis. In addition, the 
Committee also regularly reviews the Group’s risk management procedures.
In addition to these meetings, the Committee also held conference calls during the year where members of the development group and 
business units presented speciﬁc project tenders which were deemed to attract a higher degree of risk. The Committee evaluated the level of 
risk involved in those project tenders and it approved the risk mitigation measures to be adopted in the tender submission and during 
execution of the projects.
The Committee also considered and approved the entering into joint venture/consortium relationships for speciﬁc projects and also 
recommended for signature to the Board those contracts that exceeded US$100m.
David Beldotti
Chairman, Risk Review Committee Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
48 REPORT OF THE NOMINATION COMMITTEE
Role
The Nomination Committee is responsible for evaluating the Board of Directors 
and examining the structure, size and composition of the Board to ensure an 
appropriate mix of skills, experience, knowledge and independence of Directors. 
The Committee makes recommendations to the Board on appointments and 
termination of Directors and appointments of Directors to the Board Committees.
Members of the Nomination Committee
Tan Sri Mohd Razali Abdul Rahman (Chairman)
Brendan Lyons
David Beldotti
Main responsibilities
 Regularly review the structure, size and composition of the Board.
 Give full consideration to succession planning for directors and other senior 
executives.
 Be responsible for identifying and nominating for the approval of the Board, 
candidates to ﬁll Board vacancies as and when they arise.
 Before any appointment is made by the Board, evaluate the balance of skills, 
knowledge, experience and diversity on the Board, and, in the light of this 
evaluation prepare a description of the role and capabilities required for a 
particular appointment.
 Ensure that on appointment to the Board, Non-Executive Directors receive a 
formal letter of appointment setting out clearly what is expected of them in 
terms of time commitment, committee service and involvement outside Board 
meetings.
 Review the results of the Board performance evaluation process that relate to 
the composition of the Board.
 Review annually the time required from Non-Executive Directors.
 Recommend suitable candidates for the role of Senior Independent Director.
 Make recommendations for Membership of the Board Committees.
 Make recommendations for the re-appointment of any Non-Executive Director 
at the conclusion of their speciﬁed term of ofﬁce.
Throughout the year, the Committee evaluated the structure, size and composition of the Board, including the mix of skills, experience, 
independence and knowledge of the Directors.
During 2012, the Committee met four times. The Committee conducted the rigorous recruitment process that led to the appointment of 
David MacFarlane as Non-Executive Director and member of the Audit Committee. Given the need to identify candidates that could serve  
on the Audit Committee in addition to the Board meant that the Nomination Committee had a speciﬁc focus on candidates with a relevant 
ﬁnancial background.
The Committee is satisﬁed that the current composition of the Board is adequate to provide guidance to the Group.
The Committee will continue to review the Board and leadership needs of the Group and to make appropriate policy recommendations 
in terms of skills, gender and qualiﬁcations, to ensure the ability of the organisation to compete effectively in the marketplace with 
uninterrupted leadership.
Tan Sri Mohd Razali Abdul Rahman
Chairman, Nomination Committee 49
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
REPORT OF THE AUDIT COMMITTEE
David Beldotti
Chairman, Audit Committee
Role
The Audit Committee is responsible for monitoring the integrity of the Company’s 
ﬁnancial statements and reviewing the effectiveness of the Company’s internal 
ﬁnancial controls and internal audit function. The Audit Committee also oversees 
the relationship with the external auditors and assesses their performance.
Members of the Audit Committee
David Beldotti (Chairman)
Hans Kraus
Brendan Lyons
David MacFarlane (appointed 29 August 2012)
Hassan Abas (resigned 29 August 2012)
Main responsibilities
 Monitoring the integrity of the reported ﬁnancial performance of the Group, 
including its preliminary results announcement, Annual Report and interim 
report and to review the appropriateness of related accounting policies, 
material assumptions and signiﬁcant judgements adopted in their preparation.
 Reviewing the effectiveness of the Group’s internal ﬁnancial controls.
 Monitoring and reviewing the effectiveness of the Group’s internal audit 
function.
 Making recommendations to the Board on the appointment and removal of the 
external auditors.
 Monitoring the objectivity and independence of the external auditors.
 Developing and implementing policy on the engagement of the external 
auditors to supply non-audit services.
 Meeting at least annually with the external auditor and Group Internal Audit 
Manager in the absence of executive management.
Appointment of external auditors
PricewaterhouseCoopers Ireland (PwC) were appointed auditors of the Company 
in June 2012.
The Audit Committee considered the following factors when deciding to undertake a tender process:
 BDO LLP (BDO) had been the Company’s external auditors since 1995. The Financial Reporting Council (FRC) recommends that all FTSE 
350 companies should hold a tender process for external auditors at least every ten years.
 BDO had been auditors of the Group and a small number of subsidiaries. The Audit Committee considered it beneﬁcial that the Group and 
all material subsidiaries within the Group be audited by the same audit ﬁrm.
On the recommendation of the Audit Committee, the Board decided to authorise the Committee to conduct a tender process for audit 
services. The Audit Committee considered a number of possible candidate ﬁrms and following a rigorous tender process in which PwC had 
demonstrated their knowledge, ability and geographical presence, the Committee recommended to the Board that PwC be appointed as 
auditors to the Company and its subsidiaries.
As PwC have not yet been auditors of the Group for a 12 month period, the Committee will postpone their evaluation of the effectiveness of 
PwC until their meeting in August 2013.
Discharge of responsibilities
The Audit Committee met seven times during the year at appropriate times in the reporting and audit cycle and otherwise as required. During 
some of those meetings, other members of the Board were invited to attend meetings when appropriate and the Group’s external auditor is 
invited to attend meetings of the Audit Committee on a regular basis.
During the year, the Committee reviewed the following:
 2011 full-year and 2012 half-year ﬁnancial statements.
 2011 full-year and 2012 half-year results announcements made to the London Stock Exchange.
 Company’s interim management statements.
 Effectiveness of the Company’s internal control and risk management procedures.
 Proposals from three external audit ﬁrms during the tender process and further scrutiny of detailed plans from PwC. Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
50 REPORT OF THE AUDIT COMMITTEE CONTINUED
The Directors consider David MacFarlane has competence in accounting and auditing matters and has relevant ﬁnancial experience over an 
extended period of time in international businesses. David MacFarlane is a member of the Institute of Chartered Accountants in Scotland and 
has over 30 years of ﬁnancial management experience from the oil and gas sector and has held a number of senior ﬁnancial roles within 
the industry.
Non-audit services
The Audit Committee has put in place a policy relating to the provision of non-audit services by the Group’s external auditors. The award of 
non-audit services is subject to the Group’s standard procurement procedures relating to the use of consultants. 
The policy outlines:
 The circumstances in which the Chief Financial Ofﬁcer (CFO) may engage the external auditors to provide non-audit services without the 
prior approval of the Audit Committee.
 The circumstances in which the CFO must obtain prior approval from the Audit Committee to engage the external auditors to provide 
non-audit services. 
 The services that are prohibited from being performed by the external auditors. 
Since appointed as external auditors in June 2012, PricewaterhouseCoopers have provided advice to some of the African subsidiaries on 
taxation matters. The amount of the fees, which are deemed immaterial are included in note 5 to the ﬁnancial statements.
Rotation of auditors
While the Group does not consider it necessary to have a formal requirement for rotation of external auditors, it has taken guidance from The 
Code which states that all FTSE 350 Companies should put the external audit contract out to tender at least every ten years. The Committee 
has introduced a policy under which every three years it will consider the appropriateness of putting the external audit out to tender and will 
inform the shareholders as to their decision.
The Group also has a policy on the rotation of audit partners. This policy requires the lead partner to change after a maximum period of ﬁve 
years and all other partners including the review partner to rotate after a maximum period of seven years.
Internal Audit
Internal Audit and compliance monitoring work is carried out by the Group Internal Audit Manager and Group Compliance Ofﬁcer, supported 
by independent specialist consultants as required. The Group Internal Audit Manager reports to the Chairman of the Audit Committee and 
works closely with the Chief Financial Ofﬁcer to ensure direct and transparent communication around all internal audit activity.
The Internal Audit Manager’s role includes providing the Board with appropriate reports to assist them in their annual review of the Group’s 
internal control systems. He is responsible for reviewing speciﬁc areas of the Group’s operations in line with an annual plan, which is agreed 
with the Audit Committee annually. 51
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
REPORT OF THE REMUNERATION COMMITTEE
Role
The Remuneration Committee is responsible for reviewing and setting 
the remuneration policy for the Chairman, Executive Directors and 
senior management. The Committee’s objective is the provision of a 
remuneration package to attract, motivate and retain executive directors 
and senior management. 
Members of the Remuneration Committee
Brendan Lyons (Chairman)
Hans Kraus
David Beldotti 
Main Responsibilities
 Determining and agreeing the level and structure of remuneration for Executive 
Directors and members of the Management Executive Committee (MEC).
 Determining the framework or broad policy for the remuneration for the MEC. 
 Agreeing the remuneration for all Executive Directors and the 
Chairman, including the terms of service, employment contracts and 
share-based schemes.
 Overseeing and monitoring other employee incentive schemes adopted by the 
Group from time to time including pension arrangements.
A copy of the Committee’s terms of reference can be found on the Company’s 
website.
Since our listing on the London Stock Exchange we have continued to review our 
executive remuneration policy. We have sought to balance any differing priorities of 
best practice as deﬁned by UK institutional investors, with the need to offer 
attractive remuneration packages to Executive Directors and senior management 
working in different and varied talent markets. Kentz has worked to ensure 
compliance with the reporting required of a non-UK registered company.
During 2012 the Remuneration Committee has sought to balance these considerations with our legacy and evolving executive remuneration 
arrangements. We recognise that the regulatory landscape in the UK is evolving, and the Committee continually reviews the changing 
environment and what this means for the Company. We will continue to monitor and review our executive remuneration in light of any changes 
that impact upon the Company.
The Committee met ﬁve times during 2012 and the attendance record of individual Committee members is shown on page 44 of the 
Annual Report.
The main items considered by the Committee during 2012 were:
 Contract of employment for incoming Chief Executive Ofﬁcer.
 Consultancy agreement for outgoing Chief Executive Ofﬁcer.
 Proposed changes to the Long Term Incentive Plan.
 Approval of Remuneration Committee report for 2011 Annual Report.
 Annual review of the Terms of Reference of the Committee.
 Review of the 2009 Employee Share Option Scheme. 
 Selection and approval of an independent remuneration consultant.
 Review of short and long-term incentives award proposals for 2012.
Advice to the Remuneration Committee
Following a competitive tender in 2012 the Remuneration Committee appointed Towers Watson to advise on executive remuneration. Towers 
Watson has no other relationship with Kentz Corporation Limited and the Committee is satisﬁed that they are able to provide independent and 
impartial advice. Towers Watson is a member of the Remuneration Consultants’ Group which oversees a voluntary code of conduct in relation 
to executive remuneration consulting. 
The Committee also receives advice from Simmons & Simmons in respect of the operation of the Group’s share plans.
The Committee also received advice and input from management. No executive was involved in discussions relating to their own remuneration. 
Brendan Lyons
Chairman, Remuneration Committee Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
52 REPORT OF THE REMUNERATION COMMITTEE CONTINUED
Executive reward policy 
In determining the remuneration policy for the Company’s executives, the Remuneration Committee considers the external competitive 
environment, taking into account the Company’s short and medium term strategic objectives, as well as shareholder interests and views on 
good company practice. 
The Committee seeks to deliver an appropriately balanced executive remuneration policy that provides ﬁxed pay as well as both annual and 
longer term variable pay.
The Committee reviewed executive remuneration policy and determined upon the following changes effective for the 2013 ﬁnancial year:
 A re-balancing of the package to reﬂect both US and UK market norms; in effect this has meant an increase in the base salary of the Chief 
Executive Ofﬁcer, but with a commensurate reduction in annual bonus opportunity.
 Increasing the performance-related element of equity awards for Executive Directors for awards made in 2013. 50% of awards made in 
2013 will be contingent on the satisfaction of performance conditions, compared to the current weight of 30%.
 The introduction of a second performance measure alongside the current measure relating to earnings per share (EPS) in the form of a 
return on equity (ROE) test. The Committee has also reviewed and amended the basis upon which the EPS test will operate for awards 
made in 2013.
It is the Committee’s intention to continue to review executive remuneration policy over 2013 and move to a position where overall packages 
and levels of disclosure are aligned with those required of UK-listed and registered companies. 
Executive Directors receive compensation which comprises base salary and beneﬁts, short-term cash incentives to drive annual ﬁnancial 
performance, and long-term incentives comprising equity awards vesting after a three year period with the aim of driving long-term 
shareholder value.
Component Purpose Policy
Fixed
Base salary Attraction and retention; reﬂects complexity 
of the role
Role and responsibilities, aligned with 
market median
Beneﬁts and pension Attraction and retention Aligned with market standard, role and 
geographical location
Variable
Cash bonus Short-term incentives to meet 
performance targets
Achievement of ﬁnancial performance targets 
and personal objectives
Long term incentive plan Long-term incentives to help build and deliver 
increased shareholder value; provide retention 
effect for Executive Directors
Combination of performance-contingent and 
time contingent awards
Base package
Base packages reﬂect the Remuneration Committee’s assessment of the appropriate level of base salary for each executive position. 
The Committee takes broad account of competitive pay levels in the industry, as well as an individual’s performance, level of responsibility, 
criticality and value to the business. Salaries are set at a level that allows the Company to attract and retain the very best talent.
As noted earlier, the Committee reviewed the level and structure of the Chief Executive Ofﬁcer’s pay during 2012 as well as the likely future 
direction for 2014 and beyond. As a result, the Committee determined that the proportion of the Chief Executive Ofﬁcer’s potential 
remuneration that could be delivered through variable pay should be curbed, but with a commensurate increase in ﬁxed pay. The Committee 
is conducting a similar review of the Chief Financial Ofﬁcer’s remuneration. The base salaries effective 1 January 2013 for each of the 
Executive Directors are shown below.
Name
2013 base 
package
2012 base 
package % Increase
Christian Brown US$780,000 US$565,500 38%
Ed Power US$362,227 US$346,477 5%
Annual cash bonus
The Remuneration Committee approves the level of annual bonuses paid to the Executive Directors. The cash element of the annual bonus is 
split into two parts: 80% to be paid at the year-end, the remaining 20% to be paid following the approval of the full year results. For 2013, 
100% of the cash bonus will be paid post approval of the full year results. For any bonus to be paid, a minimum level of Company 
performance must be achieved. The payments to individual Executive Directors are shown in the Directors’ Emoluments table on page 55. 
As part of the re-balancing exercise a portion of annual cash bonus will be replaced in part by Long-Term Incentive equity-based awards, 
thus creating a structuring whereby Executive Director and senior management’s remunerations are linked to the individual’s and the 
Company’s performance.  53
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
Long-Term Incentives
(a) Long Term Incentive Plan
In 2011, the Long Term Incentive Plan (LTIP) was introduced to provide senior executives with shares in lieu of cash bonus. Under this scheme, 
the award was a mixture of contingent share awards (70% of face value) and performance share awards (30% of the face value) with a 
three-year vesting period. During 2012, the scheme was amended to change the mix for future awards to 50% contingent share awards and 
50% performance stock awards. For the performance shares to vest in full for the awards made in 2012, Kentz’s average basic earnings per 
share (EPS) growth must not be less than the average basic EPS growth for the same period for a peer group of designated industry 
competitors. If the Kentz actual basic EPS growth is more than 90% but less than 100% of the industry competitors’ performance, a pro-rated 
award value will be made. No vesting of performance share will be made if Kentz’s basic EPS growth is less than 90% of the industry 
competitors’ average EPS growth. 
For awards made in 2013:
25% of the initial face value of the award will be linked to the satisfaction of a revised EPS test. 25% of this portion of the award will vest if the 
average compound EPS growth over three years is equivalent to the median growth in a basket of 10 international peers. Full vesting will 
occur for performance equal to, or in excess of the upper quartile with performance between these points vesting on a straight line basis.
25% of the initial face value of the award will be linked to the satisfaction of internal return on equity goals. 25% of this portion of the award will 
vest for three year average return on equity of 25% rising to full vesting for average return on equity of 30%. Straight line vesting will occur 
between these points.
Under both measures no vesting will occur for performance below the stated threshold.
Material inaccurate reporting or statements are regarded as a misconduct event and would result in all unvested long-term incentive awards 
lapsing immediately.
All long-term incentive equity awards, in the form of share options, performance or contingent share awards have a minimum three year 
vesting period consistent with the Code.
(b) Share option scheme
The Company operates an equity-settled share-based remuneration scheme for key management. No awards were made under this plan in 
2012 to Executive Directors or other senior management. 
Pensions
Executive Directors are eligible to participate in the company pension scheme and the Company makes a contribution equal to a maximum of 
10% of base salary in this respect. 
Other beneﬁts
The Company’s policy is to provide Executive Directors with private medical insurance, life assurance and a company car allowance. In 
addition, Executive Directors may be entitled to a housing allowance dependent upon their geographical location. 
Shareholding
The Executive Directors hold a number of shares in the Company and have interests in shares under share incentive arrangements at 31 
December 2012 as shown below. 
Shares held
Christian 
Brown
Ed  
Power
Ordinary shares – 1,018,936
Share options – 127,000
Shares held under LTIP (not vested) 363,287 32,797
Ed Power’s shares were previously held indirectly through Danache Holdings Limited. During 2012, these shares were transferred from 
Danache Holdings Limited to an account in his own name.  Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
54 REPORT OF THE REMUNERATION COMMITTEE CONTINUED
Service Agreements
The Executive Directors’ service agreements with the Company do not set a ﬁxed term. In normal circumstances, the agreements may 
be terminated by the Company or by the Director giving no less than six months’ notice for the Chief Financial Ofﬁcer and no less than 12 
months’ notice for the Chief Executive Ofﬁcer. The Board is of the view that these notice periods are appropriate to recruit and retain the 
Executive Directors. During 2011 the Remuneration Committee reviewed the employment contracts of Executive Directors as part of 
the preparation for the transfer to the Main Market of the London Stock Exchange. 
Executive Director Date of Contract Unexpired term
Notice period  
by Company
Notice period  
by Director
Christian Brown* 18 January 2012 No ﬁxed term 12 months 12 months
Ed Power 15 November 2010 No ﬁxed term 6 months 6 months
* With effect from 31 January 2012, Hugh O’Donnell resigned as Chief Executive Ofﬁcer of the Company and ceased to be an Executive Director. Christian Brown succeeded him as 
Chief Executive Ofﬁcer and Executive Director of the Company on 1 February 2012. 
Non-Executive Directors
The Non-Executive Directors do not have service contracts, but their terms of service are set out in a letter of appointment. This stipulates, 
inter alia, that a Non-Executive Director may resign at any time, or have their services terminated either by the Company giving notice, or by 
shareholders refusing to re-elect them. Appointment may be terminated by each party giving one month’s notice in writing. 
The remuneration of Non-Executive Directors is a matter for the executive members of the Board to consider and evaluate annually. 
No Non-Executive Director is involved in any decision as to his own remuneration.
Non-Executive Directors are not eligible to participate in any of the Company’s share incentive arrangements and are also not eligible to 
participate in the company pension scheme.
Fee levels for 2012 and 2013 are set out below. 
GBP£ 2013 2012
Tan Sri Mohd Razali Abdul Rahman 95,000 95,000
Hassan Abas
(1)
– 65,000
David Beldotti 125,000 125,000
Brendan Lyons 87,500 87,500
Hans Kraus 87,500 87,500
David MacFarlane
(1)
65,000 65,000
(1) David MacFarlane replaced Hassan Abas as a Director on 29 August 2012.
Table of Non-Executive Directors’ Fees
2013  
(£ Stg)
2012  
(£ Stg)
Directors’ Fees 50,000 50,000
Chairman of the Board 30,000 30,000
Chairman of the Audit Committee 30,000 30,000
Chairman of the Risk Review Committee 30,000 30,000
Chairman of the Remuneration Committee 15,000 15,000
Chairman of the Nomination Committee 15,000 15,000
Member of the Audit Committee 15,000 15,000
Member of the Risk Review Committee 15,000 15,000
Member of the Remuneration Committee 7,500 7,500
Member of the Nomination Committee 7,500 7,500
Terms of appointment and reappointment are set out below: 
Date of contract Notice period
Last  
re-election
Tan Sri Mohd Razali Abdul Rahman 23 June 2011 1 month 2010 AGM
David MacFarlane 29 August 2012 1 month N/A
David Beldotti 23 June 2011 1 month 2011 AGM
Brendan Lyons 23 June 2011 1 month 2010 AGM
Hans Kraus 23 June 2011 1 month 2012 AGM 55
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
Performance graph
The Company’s share price performance during 2012 against the FTSE 250 Index.
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FTSE 250 Source: London Stock Exchange
Dec
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0
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£ pence
Audited information
Directors’ Remuneration
Base  
salary/fees 
US$000
Beneﬁts 
US$000
Annual 
Bonus 
US$000
2012  
Total 
US$000
2012 
Pension 
US$000
2011  
Total 
US$000
2011  
Pension 
US$000
Executive Directors
Christian Brown 518 15 2,000 2,533 40 n/a n/a
Hugh O’Donnell 45 6 – 51 7 2,381 65
Ed Power 320 37 436 793 46 768 47
Non-Executive Directors
Tan Sri Mohd Razali Abdul Rahman 152 – – 152 – 126 –
Hassan Abas 70 – – 70 – 87 –
David MacFarlane 37 – – 37 – n/a n/a
David Beldotti 200 – – 200 – 136 –
Brendan Lyons 145 – – 145 – 106 –
Hans Kraus 138 – – 138 – 104 –
1,625 58 2,436 4,119 93 3,708 112 Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
56 REPORT OF THE REMUNERATION COMMITTEE CONTINUED
Directors’ beneficial interests in ordinary shares
At 31 December 2011 At 31 December 2012 At 4 March 2013
No. of shares % No. of shares % No. of shares %
Ed Power 1,018,936 0.87 1,018,936 0.86 1,018,936 0.86
Tan Sri Mohd Razali Abdul Rahman
(i)
15,437,500 13.27 7,937,500 6.7 7,937,500 6.7
Hugh O’Donnell
(ii)
7,500,000 6.44 n/a n/a n/a n/a
Hassan Abas
(iii)
15,437,500 13.27 n/a n/a n/a n/a
David MacFarlane n/a n/a 4,415 0.01 10,000 0.01
(i) These shares are held indirectly by Tan Sri Mohd Razali Abdul Rahman through Kerbet Limited. 20% of the shares in Kerbet Limited are beneﬁcially held by Covili Investment 
Limited and the remaining 80% are held by Gigondas Real Estate Inc. Tan Sri Mohd Razali Abdul Rahman indirectly holds a beneﬁcial interest of 50% of the shares in both of Covili 
Investment Limited and Gigondas Real Estate Inc.
(ii) Hugh O’Donnell resigned as Chief Executive Ofﬁcer and Executive Director on 31 January 2012. 
(iii) Hassan Abas resigned as a Non-Executive Director on 29 August 2012.
The Company operates a share option scheme for certain employees, and in addition to the interests disclosed above, certain Directors have 
options to acquire shares in the Company. 
Number of 
options at 
1 Jan 2012
Options 
granted in the 
year
Options 
exercised in 
the year
Number of 
options at 
31 Dec 2012
Exercise 
price  
STG £
Exercise  
date
Expiry  
date
Ed Power 127,000 – – 127,000 1.545 1 July 2012 30 June 2019
No options lapsed during the year. The market price of the shares at 31 December 2012 was Stg£3.88 and the price during 2012 ranged from 
Stg£3.25 to Stg£4.90. 
Awards of shares under the Long Term Incentive Plan
Shares awarded to Executive Directors under the Long Term Incentive Plan (LTIP) were:
No. of shares US$
Christian Brown
2011 share awards (granted 23 January 2012) 363,287 2,500,165
2012 share awards (granted 23 January 2013) 120,219 767,500
483,506
Ed Power
2011 share awards (granted 23 January 2012) 32,797 229,656
2012 share awards (granted 23 January 2013) 27,955 175,810
60,752
Hugh O’Donnell
2011 share awards (granted 23 January 2012) 57,124 400,000
57,124
On 23 January 2013, 50% of the 2012 share awards were granted to the Executive Directors pursuant to the Company’s LTIP scheme. This 
award constituted the contingent element of the total share award to Executive Directors and forms part of their 2012 annual bonus. The share 
awards have been granted on a conditional basis and no shareholder rights will be conferred upon the grantee until the awards have vested. In 
order to satisfy the vesting conditions, the continued employment of the Executive Directors over the three year vesting period is required. 
The remaining 50% of the share awards were granted to the Executive Directors in April 2013. GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
57
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF  
KENTZ CORPORATION LIMITED
We have audited the Group ﬁnancial statements of Kentz Corporation Limited for the year ended 31 December 2012 which comprise the 
Consolidated Income Statement, Consolidated Statement of Comprehensive Income, Consolidated statement of ﬁnancial position, 
Consolidated Statement of Cash Flows, Consolidated Statement of Changes in Equity and the related notes. The ﬁnancial reporting 
framework that has been applied in their preparation is applicable law and International Financial Reporting Standards.
Respective responsibilities of directors and auditors
As explained more fully in the Statement of Directors’ Responsibilities set out on page 41 the Directors are responsible for the preparation of 
the ﬁnancial statements and for being satisﬁed that they give a true and fair view. Our responsibility is to audit and express an opinion on the 
ﬁnancial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us 
to comply with the Auditing Practices Board’s Ethical Standards for Auditors.
This report, including the opinion, has been prepared for and only for the Company’s members as a body in accordance with Article 113A of 
the Companies (Jersey) Law 1991 and for no other purpose. We do not, in giving this opinion, accept or assume responsibility for any other 
purpose or to any other person to whom this report is shown or into whose hands it may come save where expressly agreed by our prior 
consent in writing.
Scope of the audit of the ﬁnancial statements
An audit involves obtaining evidence about the amounts and disclosures in the ﬁnancial statements sufﬁcient to give reasonable assurance 
that the ﬁnancial statements are free from material misstatement, whether caused by fraud or error. This includes an assessment of: whether 
the accounting policies are appropriate to the Group’s circumstances and have been consistently applied and adequately disclosed; the 
reasonableness of signiﬁcant accounting estimates made by the Directors; and the overall presentation of the ﬁnancial statements. In addition, 
we read all the ﬁnancial and non-ﬁnancial information in the Annual Report to identify material inconsistencies with the audited ﬁnancial 
statements. If we become aware of any apparent material misstatements or inconsistencies we consider the implications for our report.
Opinion on ﬁnancial statements
In our opinion the ﬁnancial statements:
 give a true and fair view of the state of the Group’s affairs as at 31 December 2012 and of the Group’s proﬁt and cash ﬂows for the year 
then ended; 
 have been properly prepared in accordance with International Financial Reporting Standards; and
 have been properly prepared in accordance with the requirements of the Companies (Jersey) Law 1991.
Opinion on other matters
In our opinion:
 the information given in the Directors’ Report for the ﬁnancial year for which ﬁnancial statements are prepared is consistent with the 
ﬁnancial statements; and
 the information given in the Corporate Governance Report set out on pages 42 to 46 with respect to internal control and risk management 
systems and about share capital structures is consistent with the ﬁnancial statements.
Matters on which we are required to report by exception
We have nothing to report in respect of the following:
Under the Companies (Jersey) Law 1991, we are required to report to you if, in our opinion we have not received all the information and 
explanations we require for our audit.
Under the Listing Rules we are required to review: 
 the Directors’ statement, set out on page 41, in relation to going concern; 
 the part of the Corporate Governance Statement relating to the Company’s compliance with the nine provisions of the UK Corporate 
Governance Code speciﬁed for our review; and
 certain elements of the report to shareholders by the Board on Directors’ remuneration.
Martin Freyne
For and on behalf of PricewaterhouseCoopers
Chartered Accountants and Recognised Auditor
Dublin, Ireland
22 March 2013 58
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
CONSOLIDATED INCOME STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2012
In thousands of USD Note
Year ended 31 December
2012 2011
Revenue 4 1,412,640 1,367,529
Cost of sales (1,227,982) (1,206,609)
Gross Proﬁt 184,658 160,920
Selling, general and administration expenses (108,162) (96,136)
Other operating income 1,494 1,349
Operating proﬁt before ﬁnance costs 4, 5 77,990 66,133
Finance income 7 1,836 1,798
Finance costs 7 (1,684) (2,473)
Share of joint ventures’ proﬁt 14 26,618 13,981
Proﬁt before tax 104,760 79,439
Tax expense 8 (25,631) (18,127)
Proﬁt for the year 79,129 61,312
Attributable to:
 Equity holders of the parent 69,723 58,867
 Non-controlling interests 20 9,406 2,445
Proﬁt for the year 79,129 61,312
Earnings per share (US$ cents) 10
Basic 60.03 50.61
Diluted 58.05 48.98
The attached notes 1 to 33 form part of these Consolidated Financial Statements.
On behalf of the Board
Christian Brown  Ed Power
Director   Director GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
59
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2012
In thousands of USD Note
Year ended 31 December
2012 2011
Proﬁt for the year 79,129 61,312
Other comprehensive income
Exchange translation differences 214 874
Actuarial (losses)/gains on deﬁned beneﬁt plans 26 (7,625) (3,227)
Total other comprehensive (expense)/income (7,411) (2,353)
Total comprehensive income 71,718 58,959
Total comprehensive income attributable to:
Equity holders of the parent 62,312 56,514
Non-controlling interests 20 9,406 2,445
Total recognised income and expenses for the year 71,718 58,959
The attached notes 1 to 33 form part of these Consolidated Financial Statements. 60
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2012
In thousands of USD Note
Year ended 31 December
2012 2011
ASSETS
Non-current assets
Property, plant and equipment 11 46,680 60,188
Goodwill 12 3,620 3,594
Intangible assets 13 448 922
Investment in Joint Ventures 14 14,570 3,805
Trade and other receivables 16 13,015 1,085
Deferred tax asset 24 5,211 4,278
Total non-current assets 83,544 73,872
Current assets
Work in progress 15 134,635 126,601
Trade and other receivables 16 260,233 287,156
Amounts owed by related parties 30 4,498 3,886
Cash and bank balances 17 223,312 238,127
Total current assets 622,678 655,770
Total assets 706,222 729,642
EQUITY
Share capital 18 2,311 2,284
Share premium 43,680 39,568
Treasury shares/reserve 19 (4,213) (706)
Reserves 8,897 7,651
Retained earnings 227,183 177,511
Total equity attributable to equity holder of the parent 277,858 226,308
Non-controlling interests 20 2,306 11,364
Total equity 280,164 237,672
LIABILITIES
Non-current liabilities
Interest bearing loans and borrowings 22 15 59
Obligations under ﬁnance leases – due after 1 year 25 2,152 7,357
Employee beneﬁt obligations 26 17,680 9,013
Amounts owed to related parties 30 92 92
Trade and other payables 21 5,999 5,022
Deferred tax liabilities 24 754 3,437
Total non-current liabilities 26,692 24,980
Current liabilities
Trade and other payables 21 348,160 430,816
Corporation tax payable 19,586 17,244
Interest bearing loans and borrowings 22 25 477
Obligations under ﬁnance leases – due within 1 year 25 5,017 5,059
Amounts owed to related parties 30 26,578 13,394
Total current liabilities 399,366 466,990
Total liabilities 426,058 491,970
Total equity and liabilities 706,222 729,642
The attached notes 1 to 33 form part of these Consolidated Financial Statements.
The Financial Statements were approved and authorised for issue by the Board on 22 March 2013.
Christian Brown  Ed Power
Director   Director GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
61
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2012
In thousands of USD Note
Year ended 31 December
2012 2011
Cash ﬂows from operating activities
Proﬁt before tax 104,760 79,439
Adjustments for:
 Depreciation 5,11 13,465 16,755
 Net ﬁnance (income)/costs 7 (152) 675
 (Gain)/loss on sales of property, plant and equipment 5 (430) 661
 Impairment of property, plant and equipment 11 – 1,517
 Share of proﬁt from joint ventures 14 (26,618) (13,981)
 Amortisation of intangible assets 13 454 659
 Share-based payment expense 27 3,465 2,879
 Decrease/(increase) in trade and other receivables 12,507 (62,530)
 Increase in work in progress (8,034) (45,522)
 (Decrease)/increase in trade and other payables (64,847) 72,110
Cash generated from operations 34,570 52,662
Interest paid 7 (928) (2,242)
Income taxes paid (27,330) (18,598)
Net cash from operating activities 6,312 31,822
Cash ﬂows from investing activities
Return from joint ventures 15,665 17,758
Acquisition of subsidiaries, net of cash acquired 32 (2,454) (4,957)
Purchase of property, plant and equipment 11 (4,425) (12,803)
Proceeds from sale of equipment 2,466 742
Interest received 7 1,836 1,798
Pension contribution 26 – (2,751)
Net cash generated from/(used in) investing activities 13,088 (213)
Cash ﬂows from ﬁnancing activities
Payments of ﬁnance lease liabilities (4,988) (4,988)
Proceeds from long-term borrowings – 79
Payments of long-term borrowings (78) (45)
Proceeds from short-term borrowings – 54
Payments of short-term borrowings – (1,427)
Treasury shares purchased 19 (3,507) (706)
Proceeds from share issue 4,138 –
Dividends paid to equity holders of the Company 9 (14,859) (14,002)
Dividends paid to non-controlling interests 20 (18,466) –
Net cash (used in)/generated from ﬁnancing activities (37,760) (21,035)
Net (decrease)/increase in cash and cash equivalents during the year (18,360) 10,574
Cash and cash equivalents at beginning of year 17 237,707 226,096
Exchange difference 3,965 1,037
Cash and cash equivalents at end of year 17 223,312 237,707
The attached notes 1 to 33 form part of these Consolidated Financial Statements. 62
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2012
Attributable to shareholders of Kentz Corporation Limited
Share capital 
Share 
premium
Treasury 
Shares
Capital 
Reserve
Share option 
reserve
Translation 
reserves
Retained 
earnings 
Total 
attributable 
to equity 
holders of 
parent
Non-
controlling 
interest Total equity
At 1 January 2011 2,284 39,568 _ 2,388 2,384 1,113 133,886 181,623 9,277 190,900
Expenses associated 
with share-based 
payments –––– 2,879 – – 2,879 – 2,879
Treasury shares 
purchased – – (706) –––– (706) – (706)
Dividends –––––– (14,002) (14,002) – (14,002)
Proﬁt for the year –––––– 58,867 58,867 2,445 61,312
Other 
comprehensive 
income ––––– 543 (2,896) (2,353) – (2,353)
Movement in non-
controlling interests –––––––– (358) (358)
At 31 December 
2011 2,284 39,568 (706) 2,388 5,263 1,656 175,855 226,308 11,364 237,672
At 1 January 2012 2,284 39,568 (706) 2,388 5,263 1,656 175,855 226,308 11,364 237,672
Expenses associated 
with share-based 
payments –––– 3,465 – – 3,465 – 3,465
Issue of Shares 27 4,112––––– 4,139 – 4,139
Treasury shares 
purchased – – (3,507) –––– (3,507) – (3,507)
Dividends –––––– (14,859) (14,859) (18,466) (33,325)
Transfer from capital 
reserve – – – (2,219) – – 2,219–––
Proﬁt for the year –––––– 69,723 69,723 9,406 79,129
Other 
comprehensive 
income ––––– 214 (7,625) (7,411) – (7,411)
Movement in non-
controlling interests –––––––– 2 2
At 31 December 
2012 2,311 43,680 (4,213) 169 8,728 1,870 225,313 277,858 2,306 280,164 GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
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Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
1. Corporate information
Kentz Corporation Limited (the Company) is a limited liability company registered in Jersey (registered number 58549) under the Companies 
(Jersey) law 1991 and is the parent company for the Kentz Group. Kentz Corporation Limited is listed on the London Stock Exchange 
(symbol: KENZ) and is a member of the FTSE 250. 
The Group’s principal activity is the provision of engineering and construction services and technical support services, principally in the oil 
services sector.
The Consolidated Financial Statements of Kentz Corporation Limited for the year ended 31 December 2012 were authorised for issue in 
accordance with a resolution of the Directors on 22 March 2013.
2. Signiﬁcant accounting policies
(a) Statement of compliance
The Consolidated Financial Statements have been prepared in accordance with International Financial Reporting Standards (IFRS) and its 
interpretations adopted by the International Accounting Standards Board (IASB). 
(b) Basis of preparation
Items included in the ﬁnancial statements of each of the Group’s entities are measured using the currency of the primary economic 
environment in which the entity operates (the “functional currency”). The consolidated ﬁnancial statements are presented in US$ (rounded to 
the nearest thousand), which is the Company’s functional currency and the Group’s presentation currency. Foreign operations are 
consolidated in accordance with the policies set out in note 2 (e) (iii) below. 
The ﬁnancial statements are prepared on the historical cost basis except that ﬁnancial instruments held for trading are recorded at their 
fair value. 
The preparation of Financial Statements in conformity with IFRS requires management to make judgements, estimates and assumptions 
that affect the application of policies and reported amounts of assets and liabilities, income and expenses. The estimates and associated 
assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the 
results of which form the basis of making the judgements about carrying values of assets and liabilities that are not readily apparent from 
other sources. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an on-going basis. Revisions to accounting estimates are recognised in the 
period in which the estimate is revised if the revision affects only that period or in the period of the revision and future periods if the revision 
affects both current and future periods.
Judgements made by management in the application of IFRS that have signiﬁcant effect on the Financial Statements and estimates with a 
signiﬁcant risk of material adjustment in the next year are discussed in note 3. 
The accounting policies set out below have been applied consistently to all periods presented in these Consolidated Financial Statements and 
in preparing an opening IFRS Statement of ﬁnancial position at 1 January 2004 for the purposes of the transition to IFRS. 
The accounting policies have been applied consistently by Group entities.
Going concern
After making enquiries the Directors have a reasonable expectation that the Group has adequate resources to continue in operational 
existence for the foreseeable future. The Group therefore continues to adopt the going concern basis in preparing the consolidated 
ﬁnancial statements.
(c) Basis of consolidation
(i) Subsidiaries
Subsidiaries are entities controlled by the Company. Control exists when the Company has the power, directly or indirectly, to govern the 
ﬁnancial and operating policies of an entity so as to obtain beneﬁts from its activities. In assessing control, potential voting rights that presently 
are exercisable or convertible are taken into account. 
(ii) Acquisition accounting policy
The consolidated ﬁnancial statements incorporate the results of business combinations using the acquisition method. The results of acquired 
operations are included in the Consolidated income statement from the date on which control is obtained. They are deconsolidated from the 
date control ceases.
The consideration transferred for the acquisition of a subsidiary is the fair values of the assets transferred, the liabilities incurred to the former 
owners of the acquiree and the equity interests issued by the Group. The consideration transferred includes the fair value of any asset or 
liability resulting from a contingent consideration arrangement. Identiﬁable assets acquired and liabilities and contingent liabilities assumed in a 
business combination are measured initially at their fair values at the acquisition date. The Group recognises any non-controlling interest in the 
acquiree on an acquisition by acquisition basis, either at fair value or at the non-controlling interest’s proportionate share of the recognised 
amounts of acquiree’s identiﬁable net assets. 64
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
Acquisition-related costs are expensed as incurred.
If the business combination is achieved in stages, the acquisition date carrying value of the acquirer’s previously held equity interest in the 
acquiree is re-measured to fair value at the acquisition date; any gains or losses arising from such re-measurement are recognised in proﬁt 
or loss.
Any contingent consideration to be transferred by the Group is recognised at fair value at the acquisition date. Subsequent changes to the fair 
value of the contingent consideration that is deemed to be an asset or liability is recognised in accordance with IAS 39 either in proﬁt or loss 
or as a change to other comprehensive income. Contingent consideration that is classiﬁed as equity is not re-measured, and its subsequent 
settlement is accounted for within equity.
Goodwill is initially measured as the excess of the aggregate of the consideration transferred and the fair value of non-controlling interest over 
the net identiﬁable assets acquired and liabilities assumed. If this consideration is lower than the fair value of the net assets of the subsidiary 
acquired, the difference is recognised in proﬁt or loss.
Inter-company transactions, balances, income and expenses on transactions between Group companies are eliminated. Proﬁts and losses 
resulting from inter-company transactions that are recognised in assets are also eliminated. Accounting policies of subsidiaries have been 
changed where necessary to ensure consistency with the policies adopted by the Group.
When the Group ceases to have control any retained interest in the entity is re-measured to its fair value at the date when control is lost, 
with the change in carrying amount recognised in proﬁt or loss. The fair value is the initial carrying amount for the purposes of subsequently 
accounting for the retained interest as an associate, joint venture or ﬁnancial asset. In addition, any amounts previously recognised in other 
comprehensive income in respect of that entity are accounted for as if the Group had directly disposed of the related assets or liabilities. 
This may mean that amounts previously recognised in other comprehensive income are reclassiﬁed to proﬁt or loss.
(iii) Joint ventures
A joint venture is a contractual arrangement whereby two or more parties undertake an economic activity that is subject to joint control. Joint 
control is the contractually agreed sharing of control such that signiﬁcant operating and ﬁnancial decisions require the consent of more than 
one venturer. The Group has two types of joint ventures:
– Jointly controlled entities; and
– Jointly controlled operations
A jointly controlled entity is an entity over whose activities the Group has joint control, established by contractual agreement. The results, 
assets and liabilities of a jointly controlled entity are incorporated in these Consolidated Financial Statements using the equity method of 
accounting. Under the equity method, the Group’s share of the proﬁt or loss of the joint venture after the date of acquisition is recognised in 
the income statement and its share of post acquisition movements in reserves is recognised directly in other comprehensive income. The 
cumulative post acquisition movements are adjusted against the cost of the investment.
A jointly controlled operation involves the use of assets and other resources of the Group and other ventures rather than the establishment of 
a corporation, partnership or other entity. The Group’s proportionate interest in the assets, liabilities, revenue, expenses and cash ﬂows of 
jointly controlled operations are incorporated into the Group’s Financial Statements under the appropriate headings.
(iv) Transactions eliminated on consolidation
Intra-Group balances and any unrealised gains and losses or income and expenses arising from the intra-Group transactions are eliminated in 
preparing the Consolidated Financial Statements. Unrealised gains arising from transactions with associates and jointly controlled entities are 
eliminated to the extent of the Group’s interest in the entity. Unrealised losses are eliminated in the same way as unrealised gains, but only to 
the extent that there is no evidence of impairment. 
(d) New accounting standards and IFRIC interpretations
The Group’s assessment of the impact of these new standards and interpretations is set out below: 
The following standards and interpretations, issued by the IASB and the International Financial Reporting Interpretations Committee (‘IFRIC’), 
are effective for the Group for the ﬁrst time in the year ended 31 December 2012 and have been adopted by the Group:
IFRS 7 (Amendment), ‘Financial instruments: Disclosures’ 
IAS 12 (Amendment), ‘Income Taxes’ 
IFRS 1 (Amendment), ‘First time adoption of IFRS’
Adoption of the standards and the interpretations above had no signiﬁcant impact on the results or ﬁnancial position of the Group during the 
year ended 31 December 2012. 
The following standards, amendments and interpretations have been published. The Group will apply the relevant standards from their 
effective dates and is currently assessing their impact on the Group’s ﬁnancial statements. The Group estimates that the impact of the 
amended IAS 19 “Employee Beneﬁts” will be to increase ﬁnance costs in the Consolidated income statement for the year ended 31 December 
2. Signiﬁcant accounting policies continued GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
65
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
2013 by approximately US$0.1 million. All other new standards, interpretations and amendments, which are effective for periods beginning 
after 1 January 2013 and which have not been adopted early, are expected to have an immaterial effect on the Group’s future ﬁnancial 
statements.
The standards are mandatory for future accounting periods but are not yet effective and have not been early adopted by the Group.
Accounting Standard/Interpretation Type Effective date
IFRS 9 (Revised) Financial Instruments New Statement Financial year commencing on or after 1 January 2015
IFRS 10 Consolidated Financial Statements New Statement Financial year commencing on or after 1 January 2013
IFRS 11 Joint Arrangements New Statement Financial year commencing on or after 1 January 2013
IFRS 12 Disclosures of Interests in Other Entities New Statement Financial year commencing on or after 1 January 2013
IFRS 13 Fair Value Measurement New Statement Financial year commencing on or after 1 January 2013
IAS 28 Investments in Associates and Joint Ventures Revised Statement Financial year commencing on or after 1 January 2013
IAS 19 Employee Beneﬁts Amendment Financial year commencing on or after 1 January 2013
IFRS 1 First Time Adoption of IFRS Amendment Financial year commencing on or after 1 January 2013
IAS 1 Presentation of Financial Statements Amendment Financial year commencing on or after 1 January 2013
IAS 16 Property, Plant and Equipment Amendment Financial year commencing on or after 1 January 2013
IAS 32 Financial Instruments: Presentation Amendment Financial year commencing on or after 1 January 2013
IAS 34 Interim ﬁnancial reporting Amendment Financial year commencing on or after 1 January 2013
(e) Foreign currency
(i) Functional presentation currency
Items included in the Financial Statements of each of the Group’s entities are measured using the currency of the primary economic 
environment in which the respective entity operates (“the functional currency”). The Consolidated Financial Statements are presented in US 
Dollars, which is the Group’s presentation currency and the Company’s functional currency.
(ii) Foreign currency transactions
Transactions in foreign currencies are translated at the foreign exchange rate ruling at the date of the transaction. Monetary assets and 
liabilities denominated in foreign currencies are re-translated to US$ at the foreign exchange rate ruling at the Statement of ﬁnancial position 
date. Foreign exchange differences arising on translation are recognised in the Consolidated Income Statement. Non-monetary assets and 
liabilities that are measured in terms of historical costs in a foreign currency are translated using the exchange rate at the date of the 
transaction. Non-monetary assets and liabilities denominated in foreign currencies that are stated at fair value are translated to US$ at foreign 
exchange rates ruling at the dates the fair value was determined.
(iii) Financial statements of foreign operations
The assets and liabilities of foreign operations, including goodwill and fair value adjustments arising on consolidation, are translated to US$ at 
foreign exchange rates ruling at the reporting date. The results and cash ﬂows of foreign operations are translated to US$ at average 
exchange rates for the year. Foreign exchange differences arising on re-translation are recognised directly in other comprehensive income.
(iv) Net investment in foreign operations
Adjustments arising on translation of the results of foreign operations at average rate, and on re-statement of the opening net assets at closing 
rates, are recognised in other comprehensive income. On disposal of a foreign operation, accumulated currency translation differences are 
recognised in the Consolidated income statement as part of the overall gain or loss on disposal; the cumulative currency translation 
differences arising prior to 1 January 2004 (the translation date to IFRS) have been set to zero for ascertaining the gain or loss on disposal of a 
foreign operation subsequent to that date. Translation differences arising after 1 January 2004 are presented as a separate component of 
equity in the foreign currency translation reserve in the Consolidated statement of ﬁnancial position.
(f) Property, plant and equipment
(i) Owned assets
Items of property, plant and equipment are stated at cost, or deemed cost, less accumulated depreciation (see below) and impairment losses 
(see accounting policy m). 
Certain items of property, plant and equipment which had been revalued to fair value on or prior to 1 January 2004, the date of transition to 
IFRS, are measured on the basis of deemed costs, being the revalued amount at the date of that revaluation.
(ii) Depreciation
Depreciation is charged to the Income Statement on a straight-line basis over the estimated useful lives of each part of an item of property, 
plant and equipment at the following rates:
Buildings  10%
Plant and ﬁxtures 10%–33%
Motor vehicles 20%–33%
The residual value, if not insigniﬁcant, is re-assessed annually.
2. Signiﬁcant accounting policies continued 66
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
(g) Leases
Leases in which a signiﬁcant portion of the risks and rewards of ownership are retained by the lessor are classiﬁed as operating leases. 
Payments made under operating leases (net of any incentives received from the lessor) are charged to the income statement on a straight-line 
basis over the period of the lease.
The Group leases certain property, plant and equipment. Leases of property, plant and equipment where the Group has substantially all the 
risks and rewards of ownership are classiﬁed as ﬁnance leases. Finance leases are capitalised at the lease’s commencement at the lower of 
the fair value of the leased property and the present value of the minimum lease payments.
Each lease payment is allocated between the liability and ﬁnance charges. The corresponding rental obligations, net of ﬁnance charges, are 
included in other long-term payables. The interest element of the ﬁnance cost is charged to the income statement over the lease period so as 
to produce a constant periodic rate of interest on the remaining balance of the liability for each period. The property, plant and equipment 
acquired under ﬁnance leases is depreciated over the shorter of the useful life of the asset and the lease term.
(h) Goodwill and intangible assets 
(i) Goodwill
Goodwill represents the excess of the cost of an acquisition of a subsidiary or joint venture, over the Group’s interest in the fair value of the 
identiﬁable assets, liabilities and contingent liabilities recognised at the date of acquisition. 
Goodwill on the acquisition of subsidiaries and joint ventures is presented separately in the Consolidated statement of ﬁnancial position. 
Goodwill is tested annually for impairment, or more frequently when there is an indication that the goodwill may be impaired and carried at 
cost less accumulated impairment losses, if any. Impairment losses previously recognised cannot be reversed (see accounting policy m).
(ii) Other intangible assets
Other intangible assets that are acquired by the Group are stated at cost less accumulated amortisation and impairment losses (see 
accounting policy m). Intangible assets are amortised over their useful economic lives of three years.
Expenditure on internally generated goodwill and brands is recognised in the Consolidated income statement as an expense as incurred.
(i) Trade and other receivables
Trade receivables are recognised initially at fair value and subsequently measured at amortised cost using the effective interest method, less 
provision for impairment.
A provision for impairment of receivables is established when there is objective evidence that the Group will not be able to collect all amounts 
due according to the original terms of the receivables. If collectability appears unlikely compared with the original term of the receivable, the 
Group will determine the appropriate provision based on the available evidence at that time. Signiﬁcant ﬁnancial difﬁculty of the trade 
receivable, probability that the trade receivable will enter bankruptcy or ﬁnancial reorganisation, and default or delinquency in payments 
are considered indicators that the receivable is impaired.
(j) Financial assets
All ﬁnancial assets are initially measured at fair value, including transaction costs, except for those ﬁnancial assets classiﬁed as at fair value 
through proﬁt or loss which are initially measured at fair value, excluding transaction costs. Where the effect on fair value at initial recognition 
of any extended payment terms is not material, no adjustments were made.
Subsequent measurement for ﬁnancial assets is set out below.
Loans and receivables
Trade and other receivables (excluding Value Added Taxation, prepayments and operating lease receivables), loans and cash and cash 
equivalents that have ﬁxed or determinable payments that are not quoted in an active market are classiﬁed as loans and receivables.
Loans and receivables are subsequently measured at amortised cost, using the effective interest rate method less any impairment loss. 
Interest income is recognised in proﬁt or loss by applying the effective interest rate, except for short-term trade receivables where the 
recognition of interest would be immaterial.
The accounting policy for bank and cash balances is dealt with under cash and cash equivalents set out below.
De-recognition of financial assets
The Group de-recognises a ﬁnancial asset only when the contractual rights to the cash ﬂows from the asset expire or it transfers the ﬁnancial 
asset and substantially all the risks and rewards of ownership of the asset to another entity.
(k) Financial liabilities
All ﬁnancial liabilities are initially measured at fair value, including transaction costs, except for those ﬁnancial liabilities classiﬁed as at fair value 
through proﬁt or loss, which are initially measured at fair value, excluding transaction costs. 
Subsequent measurement for ﬁnancial liabilities is set out below.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
2. Signiﬁcant accounting policies continued GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
67
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
Other financial liabilities not measured at fair value through profit or loss
Other ﬁnancial liabilities are subsequently measured at amortised cost using the effective interest method, with interest expense recognised 
on an effective interest basis, except for short-term payables where the recognition of interest would be immaterial.
The effective interest method is a method of calculating the amortised cost of a ﬁnancial liability and of allocating interest expense over the 
relevant period. The effective interest rate is the rate that exactly discounts estimated future cash payments through the expected life of the 
ﬁnancial liabilities or, where appropriate, a shorter period.
De-recognition of financial liabilities
The Group de-recognises ﬁnancial liabilities when, and only when, the Group’s obligations are discharged, cancelled or expired. On 
de-recognition, the difference between the carrying amount of the ﬁnancial liability, including related unamortised costs, and settlement 
amount paid are included in proﬁt or loss.
(l) Cash and cash equivalents
Cash and cash equivalents comprise cash balances and call deposits. Bank overdrafts that are repayable on demand and form an integral 
part of the Group’s cash management are included as a component of cash and cash equivalents for the purpose of the Statement of Cash 
Flows. Bank overdrafts are included in interest bearing loans and borrowings in the Consolidated statement of ﬁnancial position.
(m) Impairment
(i) Non-ﬁnancial assets
The carrying amounts of the Group’s assets, other than work in progress and deferred tax assets (see accounting policy t(ii)), are reviewed at 
each reporting date to determine whether there is any indication of impairment. If any such indication exists, the asset’s recoverable amount 
is estimated.
For goodwill, the recoverable amount is estimated at each reporting date. The recoverable amount is the higher of the assets fair value less 
costs to sell and its value in use.
An impairment loss is recognised whenever the carrying amount of an asset exceeds its recoverable amount. Impairment losses are 
recognised in the Consolidated Income Statement.
Impairment losses recognised in respect of cash-generating units are allocated ﬁrst to reduce the carrying amount of any goodwill 
allocated to cash-generating units (group of units) and then, to reduce the carrying amount of the other assets in the unit (group of units) 
on a pro rata basis. 
(ii) Financial assets
The Group assesses at each reporting date whether there is objective evidence that a ﬁnancial asset or a group of ﬁnancial assets is impaired. 
In the case of equity securities classiﬁed as available for sale, a signiﬁcant or prolonged decline in the fair value of the security below its cost is 
considered an indicator that the securities are impaired. If any such evidence exists for available for sale ﬁnancial assets, the cumulative loss is 
measured as the difference between the acquisition cost and the current fair value. Impairment losses recognised in the income statement on 
equity instruments are not reversed through the income statement.
(n) Dividends
Dividends are recognised as a liability in the Group’s Financial Statements in the period in which they are declared by the Company. 
In the case of ﬁnal dividends, this is when approved by the shareholders at the AGM. 
(o) Employee beneﬁts
(i) Deﬁned contribution plans
Obligations for contributions to deﬁned contribution pension plans are recognised as an expense in the Consolidated income statement 
as incurred.
(ii) Deﬁned beneﬁt plans
The Group’s net obligation in respect of the deﬁned beneﬁt pension plan is calculated by estimating the amount of future beneﬁt that 
employees have earned in return for their service in the current and prior periods; that beneﬁt is discounted to determine its present value, and 
the fair value of any plan assets is deducted. The discount rate is the yield at the Statement of ﬁnancial position date on high quality corporate 
bonds that have maturity dates approximating to the terms of the Group’s obligations. The calculation is performed by a qualiﬁed actuary 
using the projected unit credit method. The excess of scheme liabilities over scheme assets is included in the Statement of ﬁnancial position 
under non-current liabilities. The increase in the present value of the liabilities of the scheme expected to arise from employee service (current 
service cost) in the period is charged to operating proﬁt. The expected return on the scheme’s assets and the increase during the period of 
the scheme’s liabilities, arising from the passage of time, are included as other ﬁnance income/costs.
Actuarial gains and losses arising subsequent to the transition to IFRS are recognised in full in the Statement of Comprehensive Income.
2. Signiﬁcant accounting policies continued 68
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
When the beneﬁts of a plan are improved, the portion of the increased beneﬁt relating to past service by employees is recognised as an 
expense in the Consolidated income statement on a straight-line basis over the average period until the beneﬁts become vested. To the extent 
that the beneﬁts vest immediately, the expense is recognised immediately in the Consolidated Income Statement. 
Where the calculation results in a beneﬁt to the Group, the recognised asset is limited to the net total of any unrecognised and past service 
costs and the present value of any future refunds from the plan or reductions in future contributions to the plan. 
A full actuarial valuation is carried out every three years. The last actuarial valuation was performed on 1 May 2010. 
(iii) Share-based payments
The Group operates a number of equity-settled, share-based compensation plans, under which the entity receives services from employees 
as consideration for equity instruments of the Group. The fair value of the employee services received in exchange for the grant of the equity 
instruments is recognised as an expense. The total amount to be expensed is determined by reference to the fair value of the equity 
instruments granted:
 including any market performance conditions (for example, an entity’s share price);
 excluding the impact of any service and non-market performance vesting conditions (for example, proﬁtability, sales growth targets and 
remaining an employee of the entity over a speciﬁed time period); and
 including the impact of any non-vesting conditions.
Non-market performance and service conditions are included in assumptions about the number of equity instruments that are expected 
to vest. The total expense is recognised over the vesting period, which is the period over which all of the speciﬁed vesting conditions are to 
be satisﬁed.
At the end of each reporting period, the Group revises its estimates of the number of equity instruments that are expected to vest based on 
the non-market vesting conditions. It recognises the impact of the revision to original estimates, if any, in the income statement, with a 
corresponding adjustment to equity.
(p) Trade and other payables
Trade and other payables are recognised initially at fair value and subsequently measured at amortised cost using the effective interest 
rate method.
(q) Borrowings
Borrowings are recognised initially at proceeds received, net of transaction costs. Subsequent measurement is at amortised cost. Finance 
charges including any premiums payable on settlement are recognised in the Consolidated income statement over the period of the 
borrowings using the effective rate of interest method. 
Borrowings are classiﬁed as current liabilities unless the Group has an unconditional right to defer settlement of the liability for at least 12 
months after the reporting date.
(r) Revenue recognition and contract accounting
(i) Construction and EPC contracts
Contract revenue is recognised under the percentage of completion method. When the outcome of the contract can be reliably estimated, 
revenue is recognised by reference to the proportion that accumulated cost of sales up to the year end bear to the estimated total costs of the 
contract. When the contract is at an early stage and its outcome cannot be reliably estimated, revenue is recognised to the extent of costs 
incurred up to the year-end which are considered recoverable.
Revenue related to variation orders is recognised when it is probable that the customer will approve the variation and the amount of revenue 
arising from the variation can be reliably measured.
A claim is recognised as contract revenue when settled or when negotiations have reached an advanced stage such that it is probable that 
the customer will accept the claim and the amount that it is probable will be accepted by the customer can be measured reliably. 
Losses on contracts are assessed on an individual contract basis and provision is made for the full amount of the anticipated losses, including 
any losses relating to future work on a contract, in the period in which the loss is ﬁrst foreseen. 
On the balance sheet, the Group reports the net contract position for each contract as either an asset or a liability. A contract represents an 
asset where costs incurred plus recognised proﬁts (less recognised losses) exceed progress billings, a contract represents a liability where the 
opposite is the case.
(ii) Technical support services
Revenues from reimbursable contracts are recognised in the period in which the services are provided based on the agreed contract 
schedule of rates.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
2. Signiﬁcant accounting policies continued GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
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Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
(s) Net ﬁnancing costs
Net ﬁnancing costs comprise interest payable on borrowings, calculated using the effective interest rate method, interest receivable on funds 
invested and dividend income.
Interest income is recognised in the Consolidated income statement as it accrues, using the effective interest method. Dividend income is 
recognised in the Income Statement on the date the entity’s right to receive payments is established which, in the case of quoted securities, is 
usually the ex-dividend date. The interest expense component of ﬁnance lease payments is recognised in the Consolidated income statement 
using the effective interest rate method.
(t) Income tax
Income tax on the proﬁt or loss for the year comprises current and deferred tax. Income tax is recognised in the Consolidated income 
statement except to the extent that it relates to items recognised directly in equity, in which case it is recognised in equity. 
(i) Current tax
Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted or substantially enacted at the Statement 
of ﬁnancial position date, and any adjustment to tax payable in respect of previous years.
(ii) Deferred tax
Deferred tax is recognised on temporary differences between the carrying amounts of assets and liabilities for ﬁnancial reporting purposes 
and for the amounts used for taxation purposes. The following temporary differences are not provided for: goodwill not deductible for tax 
purposes, the initial recognition of assets or liabilities that affect neither accounting nor taxable proﬁt, differences relating to investment in 
subsidiaries where the timing of the reversal of the temporary differences can be controlled by the Group and it is probable that the temporary 
differences will not reverse in the foreseeable future. The amount of deferred tax provided is based on the expected manner of realisation or 
settlement of the carrying amount of assets and liabilities, using tax rates enacted or substantively enacted at the reporting date. 
A deferred tax asset is recognised only to the extent that it is probable that future taxable proﬁts will be available against which the asset can 
be utilised. Deferred tax assets are reduced to the extent that it is no longer probable that the related tax beneﬁt will be realised. 
Additional income taxes that arise from the distribution of dividends are recognised at the same time as the liability to pay the related dividend. 
(u) Share capital
Financial instruments issued by the Group are classiﬁed as equity only to the extent that they do not meet the deﬁnition of a ﬁnancial liability or 
ﬁnancial asset.
The Group’s ordinary shares are classiﬁed as equity instruments.
(v) Treasury shares
Consideration paid for the purchase of treasury shares is recognised directly in equity. The cost of treasury shares held is presented as a 
separate reserve (the ‘treasury share reserve’).
(w) Segment reporting
Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision-maker. The chief 
operating decision-maker, who is responsible for allocating resources and assessing performance of the operating segments, has been 
identiﬁed as the Group Management Executive Committee.
3. Critical accounting estimates and judgements
Management makes estimates and judgements, including assumptions concerning the future. Estimates and judgements are continually 
evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable 
in the circumstances.
The resulting accounting estimates will, by deﬁnition, seldom equal the related actual results. The estimates and assumptions that have a 
signiﬁcant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next ﬁnancial year are as follows.
Revenue recognition and contract accounting
The Group uses the percentage-of-completion method in accounting for its contract revenue. Use of the percentage-of-completion method 
requires management to estimate the stage of completion of a contract to date as a proportion of the total contract work to be performed in 
accordance with the accounting policy set out in note 2(r). As a result, Kentz Group management is required to estimate the total cost to 
completion of all outstanding jobs at each period end. Estimating costs to complete on such contracts requires the Group to make estimates 
of future costs to be incurred, based on work to be performed beyond the reporting date. This estimate will impact revenues, cost of sales, 
work in progress, billings in excess of costs and estimated earnings and accrued contract expenses.
The Group provides for future losses on long-term contracts where it is considered probable that the contract costs are likely to exceed 
revenues in future years. Estimating these future losses involves a number of assumptions about the achievement of contract performance 
targets and the likely levels of future cost escalation over time.
2. Signiﬁcant accounting policies continued 70
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
Income taxes
The Group is subject to income taxes in numerous jurisdictions. Signiﬁcant judgement is required in determining the worldwide provision for 
income taxes. There are many transactions and calculations for which the ultimate tax determination is uncertain. The Group recognises 
liabilities for anticipated tax audit issues based on estimates of whether additional taxes will be due. Where the ﬁnal tax outcome of these 
matters is different from the amounts that were initially recorded, such differences will impact the current and deferred income tax assets and 
liabilities in the period in which such determination is made.
Pension benefits
The present value of the pension obligations depends on a number of factors that are determined on an actuarial basis using a number of 
assumptions. The assumptions used in determining the net cost (income) for pensions include the discount rate. Any changes in these 
assumptions will impact the carrying amount of pension obligations. In determining the appropriate discount rate, the Group considers the 
interest rates of high quality corporate bonds that are denominated in the currency in which the beneﬁts will be paid, and that have terms to 
maturity approximating the terms of the related pension liability. Other key assumptions for pension obligations are based in part on current 
market conditions. Additional information is disclosed in note 26.
4. Segmental reporting 
Management has determined the operating segments based on the information reviewed by the Group Management Executive Committee.
In accordance with IFRS 8 – Operating Segments, the Group has six operating segments, being six distinct regions as follows: 
– Middle East 
– Far East 
– Africa 
– Australasia 
– Americas 
– Europe (including the Group’s administrative function) 
These segments align with the Group’s internal ﬁnancial reporting system and the way in which the Chief Operating Decision Maker assesses 
performance and allocates the Group’s resources. The management team responsible for each segment is directly accountable for the 
performance of that segment to the Group Management Executive Committee which acts as the Chief Operating Decision Maker for the 
Group. Each segment is reviewed in its totality by the Chief Operating Decision Maker. The Group Management Executive Committee 
assesses the trading performance of operating segments based on a measure of earnings before interest and tax (operating proﬁt). 
Segment revenues and proﬁt include Kentz’s share of revenue and proﬁt from equity accounted joint ventures. Segment assets and liabilities 
include items directly attributable to a segment as well as those that can be allocated on a reasonable basis. Unallocated items comprise 
mainly income-earning assets and revenue, interest-bearing loans, borrowings and expenses, and corporate assets and expenses. 
Segment capital expenditure is the total cost incurred during the period to acquire segment assets that are expected to be used for more than 
one period. 
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
3. Critical accounting estimates and judgements continued GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
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Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
The segment results for the year ended 31 December 2012 are as follows:
Operating segments
In thousands of USD
Year ended 31 December
2012 2011
Revenue
Middle East 425,016 420,403
Far East 69,232 52,424
Africa 443,920 572,169
Australasia 374,021 337,706
Americas 246,822 73,692
Europe 4,258 12,630
Segment revenue 1,563,269 1,469,024
Less: Revenue from equity accounted joint ventures (150,629) (101,495)
Total revenue 1,412,640 1,367,529
Segment proﬁt/(loss) before net ﬁnance cost 
Middle East 4,420 18,502
Far East 6,190 9,125
Africa 28,129 50,509
Australasia 27,996 11,526
Americas 31,379 2,861
Europe 3,881 (15,160)
Unallocated Group income 2,613 2,751
Segment proﬁt before ﬁnance costs 104,608 80,114
Net ﬁnance income/(cost) 152 (675)
Proﬁt before tax 104,760 79,439
Income tax expense (25,631) (18,127)
Proﬁt for the year 79,129 61,312
An analysis of the top ﬁve customers is included on page 9. 
In thousands of USD
At 31 December
2012 2011
Assets (including tax)
Middle East 190,268 241,687
Far East 36,573 32,683
Africa 198,518 242,414
Australia 123,503 120,061
Americas 78,137 29,208
Europe 79,223 63,589
Total assets as reported in the Statement of ﬁnancial position 706,222 729,642
Liabilities (including tax)
Middle East 126,562 194,776
Far East 12,951 12,914
Africa 107,383 153,538
Australia 89,807 69,560
Americas 48,074 21,170
Europe 23,601 30,999
Total liabilities 408,378 482,957
Reconciliation of total liabilities as reported in the Statement of ﬁnancial position 
Employee beneﬁt and obligations 17,680 9,013
Total liabilities as reported in Statement of ﬁnancial position 426,058 491,970
4. Segmental reporting continued 72
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
Other segment information
In thousands of USD
Year ended 31 December
2012 2011
Capital expenditure
Middle East 1,224 2,453
Far East 1,007 1,098
Africa 391 6,921
Australasia – 321
Americas 1,651 1,965
Europe 152 45
Group total 4,425 12,803
Depreciation
Middle East 2,504 2,953
Far East 512 1,145
Africa 8,596 10,594
Australasia 454 1,100
Americas 1,343 881
Europe 56 82
Group total 13,465 16,755
Performance is assessed and resources allocated on a geographic basis. The Group also has three business units as follows: 
– Engineering, procurement and construction (EPC) 
– Construction; and 
– Technical support services. 
Certain ﬁnancial information is also reviewed by the Chief Operating Decision Maker in respect of these business units as follows:
In thousands of USD
Year ended 31 December
2012 2011
Revenue by business
EPC 395,071 448,205
Construction 759,286 710,168
Technical support services 408,912 310,651
Total revenue including revenue from equity accounted joint ventures 1,563,269 1,469,024
Less: Revenue from equity accounted joint ventures (150,629) (101,495)
Total revenue 1,412,640 1,367,529
In thousands of USD
At 31 December
2012 2011
Assets by business
EPC 102,134 124,546
Construction 254,073 273,341
Technical support services 84,748 57,159
440,955 455,046
Unallocated assets 265,267 274,596
Total assets 706,222 729,642
In thousands of USD
Year ended 31 December
2012 2011
Capital expenditure by business
EPC 136 613
Construction 1,018 9,512
Technical support services 1,831 1,953
Unallocated 1,440 725
Group total 4,425 12,803
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
4. Segmental reporting continued GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
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Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
5. Operating proﬁt before ﬁnance costs
In thousands of USD
Year ended 31 December
2012 2011
This is arrived at after charging
Depreciation 13,465 16,755
Amortisation 454 659
Impairment – 1,517
Operating lease rentals
– plant and machinery 3,036 3,524
– other 26,170 22,571
Auditors’ remuneration
Fees for professional services in respect of the audit of the Financial Statements and for other services provided to 
the Group:
Group Auditor:
Audit fees for audit services 790 229
Non-audit services
– Tax services 65 65
– For acting as reporting accountants – 351
– All other services 170 150
Other auditors of subsidiaries:
Audit fees for audit services 34 775
Non-audit services
– Tax services 126 441
– All other services 48 –
Directors’ remuneration 5,036 3,820
(Proﬁt)/Loss on sale of ﬁxed assets (430) 661
Foreign exchange losses 7,636 5,425
6. Staff cost
In number
Year ended 31 December
2012 2011
Contracts 13,781 13,262
Administration 365 376
Management 349 405
Group total 14,495 14,043
Staff costs for all employees, including Executive Directors, consist of:
In thousands of USD
Year ended 31 December
2012 2011
Wages and salaries 663,032 567,281
Share-based payment expense (note 27) 3,465 2,879
Other pension costs 1,926 2,207
Group total 668,423 572,367
7. Net ﬁnance income/(cost)
In thousands of USD
Year ended 31 December
2012 2011
Deposit interest receivable 1,836 1,798
Interest payable on bank overdrafts, loans and ﬁnance leases (928) (2,242)
Pension ﬁnance charge (note 26) (756) (231)
152 (675) 74
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
8. Tax expense
In thousands of USD
Year ended 31 December
2012 2011
Current tax:
Tax on foreign operations 25,809 20,720
Adjustment in respect of prior years 3,086 143
28,895 20,863
Deferred tax:
Origination and reversal of temporary differences 2,560 1,436
Other deferred tax credit (5,824) (4,172)
Deferred tax credit for the year (3,264) (2,736)
25,631 18,127
Factors affecting tax charge for the year:
Proﬁt on ordinary activities before tax 104,762 79,439
Expected tax charge in higher tax jurisdictions 15,141 16,287
Income not taxable (1,614) (19)
Expenditure not allowable for tax purposes 1,615 1,389
Effect of unrecognised tax losses 6,857 (159)
Adjustment in respect of previous years 3,086 143
Other 546 486
Total tax charge for the year 25,631 18,127
9. Dividends
In thousands of USD
Year ended 31 December
2012 2011
Dividends paid 14,859 14,002
14,859 14,002
The interim dividend payment amounting to 5.5 US$ cents per share (2011: 5.0 US$ cents per share) was made in October 2012. The 
Directors have recommended a ﬁnal dividend payment of 9 US$ cents per share (2011: 7 .3 US$ cents per share). Subject to shareholders 
approval, the dividend will be paid on 24 May 2013 to shareholders on the register of members at 26 April 2013, the record date. The ﬁnancial 
statements do not reﬂect this ﬁnal dividend.
10. Earnings per share
The calculations of earnings per ordinary share are based on the following proﬁts attributable to ordinary shareholders and the weighted 
average number of shares in issue:
In thousands of USD
Year ended 31 December
2012 2011
Proﬁt attributable to ordinary shareholders 69,723 58,867
No. ‘000 No. ‘000
Weighted average number of shares of the Company used in basic EPS 116,154 116,313
Effects of:
– Employee share options 3,968 3,887
Weighted average number of shares of the Company used in diluted EPS 120,122 120,200
Earnings per share (US$ cents)
Basic 60.03 50.61
Diluted 58.05 48.98
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
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Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
11. Property, plant and equipment
In thousands of USD
Land and 
buildings
Plant and 
ﬁxtures
Motor 
vehicles Total
Cost
As at 1 January 2012 7,393 85,533 19,955 112,881
Additions – 3,248 2,081 5,329
Acquisitions during year (note 32) – 11 – 11
Disposals – (6,881) (1,559) (8,440)
Exchange adjustment (412) (5,066) (617) (6,095)
As at 31 December 2012 6,981 76,845 19,860 103,686
Depreciation
As at 1 January 2012 554 41,168 10,971 52,693
Charge for the year 264 9,672 3,529 13,465
Disposals – (5,057) (1,349) (6,406)
Exchange adjustment (44) (2,395) (307) (2,746)
As at 31 December 2012 774 43,388 12,844 57,006
Net carrying amounts
As at 31 December 2011 6,839 44,365 8,984 60,188
As at 31 December 2012 6,207 33,457 7,016 46,680
The net book value of property, plant and equipment for the Group includes the following amounts in respect of assets held under ﬁnance 
lease and hire purchase contracts.
In thousands of USD
Year ended 31 December
2012 2011
Net book value of assets held under ﬁnance leases 11,113 19,959
Depreciation on the assets held under ﬁnance lease 1,294 3,046
12. Goodwill
In thousands of USD
Year ended 31 December
2012 2011
Opening balance 3,594 –
Acquisition during the year (note 32) 218 4,012
Exchange adjustments (192) (418)
Closing balance 3,620 3,594
On 1 October 2012, the Group acquired a business from Gulf Consult Designers & Engineers in India. Goodwill is subject to an impairment 
test on an annual basis or more frequently if there are indicators it may be impaired.
13. Intangible assets
In thousands of USD
Year ended 31 December
2012 2011
Opening balance 922 –
Acquisition during the year (note 32) 10 1,687
Amortisation (454) (659)
Exchange adjustments (30) (106)
Closing balance 448 922
The intangible assets recognised on acquisition comprise of computer hardware and software which are being amortised over their useful 
economic lives.  76
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
14. Investments in Joint Ventures
In thousands of USD Joint Venture Other Total
Balance at 1 January 2011 7,466 35 7,501
Distribution (17,745) – (17,745)
Disposals – (13) (13)
Exchange adjustments 76 5 81
Share of joint venture proﬁts 13,981 – 13,981
As at 31 December 2011 3,778 27 3,805
Balance at 1 January 2012 3,778 27 3,805
Distribution (15,924) – (15,924)
Additions –27 27
Exchange adjustments 48 (4) 44
Share of joint venture proﬁts 26,618 – 26,618
As at 31 December 2012 14,520 50 14,570
In 2006, Kentz Pty Limited, a company incorporated in Australia, which is a subsidiary of the Company, acquired a 50% interest in an 
incorporated joint venture known as Thiess Kentz Pty Limited. On 17 December 2009, the name of the joint venture entity was changed to 
Kentz E&C Pty Limited.
During 2008, Kentz Russia LLC, a subsidiary of the Company, acquired a 50% interest in two Russian joint ventures known as Kentz-DEM 
LLC and Kentz-SMNM LLC. 
In 2009, Kentz Pty Limited entered into a joint venture agreement in Australia with Thiess Pty Limited and Decmil Pty Limited. Kentz Pty 
Limited has a 33.33% interest in this unincorporated joint venture, known as Thiess Decmil Kentz joint venture. 
In 2011, Kentz Pty Limited entered into a joint venture agreement in Australia with Chicago Bridge and Iron N.V. (CB&I). Kentz Pty Limited has 
a 35% interest in this unincorporated joint venture known as CB&I Kentz joint venture.
14.1 Joint ventures 
The Group’s share of assets, liabilities, revenues and expenses relating to joint ventures is as follows:
In thousands of USD
At 31 December
2012 2011
Non-current assets 320 1,038
Current assets 41,345 19,359
Non-current liabilities (3,691) –
Current liabilities (23,454) (16,619)
Net assets 14,520 3,778
In thousands of USD
Year ended 31 December
2012 2011
Income 150,629 101,495
Expenses (124,011) (87,514)
Proﬁt before tax 26,618 13,981
Tax expense (6,889) (3,967)
Share of post tax results from joint ventures 19,729 10,014
The Consolidated income statement for 2012 and 2011 includes the Group’s share of pre-tax proﬁts from its one-third interest in the Thiess 
Decmil Kentz unincorporated joint venture and its 35% share in the CB&I Kentz unincorporated joint venture.
The joint ventures have no signiﬁcant contingent liabilities to which the Group is exposed, nor has the Group any signiﬁcant contingent 
liabilities in relation to its interest in the joint ventures with the exception of corporate guarantees as security for banking facilities. The names 
and principal activities of the joint ventures are disclosed in note 31.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
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Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
15. Work in progress
In thousands of USD
Year ended 31 December
2012 2011
For construction contracts in progress at the Statement of ﬁnancial position date:
Contract costs incurred to date and recognised proﬁts (less recognised losses) on these contracts 1,927,455 1,200,497
Less progress billings 1,792,820 1,073,896
Total work in progress 134,635 126,601
Billings in excess of contract costs and recognised proﬁts (less recognised losses)  
– included in Trade and other payables
Billings 682,921 804,175
Less costs and recognised proﬁts (less recognised losses) 637,268 719,325
Total billings in excess of contract costs and recognised proﬁts (less recognised losses) 45,653 84,850
Total contract costs incurred to date and recognised proﬁts (less recognised losses)  
on these contracts 2,564,723 1,919,822
16. Trade and other receivables
In thousands of USD
Year ended 31 December
2012 2011
Contract trade receivables 211,828 229,690
Retentions held by customers 20,280 21,062
Prepayments and accrued income 9,093 5,539
Other receivables 12,942 26,124
VAT recoverable 5,292 2,069
Corporation tax recoverable 798 2,672
Total trade and other receivables 260,233 287,156
Retentions due after one year 13,015 1,085
Contract trade receivables that are more than 90 days past due are not considered impaired. At 31 December 2012 the ageing of the contract 
trade receivables were as follows:
In thousands of USD
At 31 December
2012 2011
0–60 days 196,014 214,406
60–90 days 7,484 9,470
>90 days 8,330 5,814
Total contract trade receivables 211,828 229,690
The maximum exposure to credit risk at the reporting date is the carrying value of each class of receivable set out above.
17. Cash and cash equivalents
In thousands of USD
Year ended 31 December
2012 2011
Cash and cash equivalents – continuing operations 223,312 238,127
Bank overdrafts – continuing operations – (420)
Cash and cash equivalents in the Statement of Cash Flows 223,312 237,707
In thousands of USD
Year ended 31 December
2012 2011
Cash at bank and in hand 112,506 135,648
Short-term deposits 110,806 102,479
223,312 238,127 78
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
18. Issued and fully paid share capital
The share capital of the Company as at 31 December was as follows: 
In thousands
At 31 December
2012 2011
Authorised share capital
186,333,300 ordinary shares of Stg£0.01 each 1,863 1,863
Called up share capital
118,036,470 ordinary shares of Stg£0.01 each (2011: 116,371,470 ordinary shares of Stg£0.01 each) 1,180 1,164
US Dollar equivalent 2,311 2,284
The movement in number of shares is as follows:
Ordinary Shares 
Number
Ordinary shares of £Stg0.01 each at 1 January 2011 116,371,470
Ordinary shares of £Stg0.01 each at 31 December 2011 116,371,470
Ordinary shares of £Stg0.01 each at 1 January 2012 116,371,470
Issued during the year 1,665,000
Ordinary shares at 31 December 2012 118,036,470
Share Premium: The balance on the share premium account represents the amount received in excess of the nominal value of the ordinary 
shares. 
19. Treasury Shares
For the purpose of awarding shares under its Long Term Incentive Plan, the Company acquires its own shares which are held by the Kentz 
Employee Beneﬁt Trust. All these shares have been classiﬁed in the Statement of ﬁnancial position as treasury shares under equity. The 
dividend rights in respect of these shares have been waived.
2012 2011
No. ’000s US$’000 No. ’000s US$’000
At 1 January 101 706 ––
Acquired during the year 501 3,507 101 706
At 31 December 602 4,213 101 706
Treasury shares acquired during the year were acquired in January at £3.97 .
20. Non-controlling interests
In thousands of USD
At 31 December
2012 2011
Opening balance 11,364 9,277
Share of proﬁt 9,406 2,445
Dividends paid to non-controlling interests (18,466) –
Exchange difference 2 (358)
Closing balance 2,306 11,364
The non-controlling interest relates to:
 50% interest held by Thiess Pty Limited in Kentz E&C Pty Limited in Australia. From 1 January 2010, following an agreement with Thiess 
Pty Limited, Kentz took management control of Kentz E&C Pty Limited (formally Thiess Kentz Pty Limited), although the respective 
shareholdings remain the same. 
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
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Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
21. Trade and other payables
In thousands of USD
Year ended 31 December
2012 2011
Trade creditors 113,273 105,738
Other payables 57,832 55,434
Advances on contracts 10,887 33,025
Accruals and deferred income 166,168 236,619
348,160 430,816
Other payables due after 1 year 5,999 5,022
22. Interest-bearing loans and borrowings
This note provides information concerning the contractual terms of the Group’s interest-bearing loans and borrowings. 
For additional disclosures relating to the Group’s exposure to interest rate risk and foreign currency risk, see note 23.
In thousands of USD
At 31 December
2012 2011
Current liabilities
Bank overdraft – 420
Current portion of secured loans 25 57
25 477
Non-current liabilities
Secured loans 15 59
15 59
Interest rate basis at 
31 December 2012
At 31 December
In thousands of USD Currency Term of loan 2012 2011
Short-term loan CAD Various Various 25 57
Bank overdraft ZAR Prime+ margin On demand – 420
25 477
Long-term loan CAD Various Various 15 59
40 536
23. Financial Risk Management
The principal objective of the Group’s treasury policy is to ensure that there are sufﬁcient resources to ﬁnance the business. The cash 
resources of the Group are retained in a combination of central and local bank accounts. These accounts comprise current, call and 
short-term deposits with banks approved by the Board. Financial instruments held by the Group principally comprise ﬁnancing facilities, cash 
and other items including receivables and payables, all of which arise directly from its operations.
The risks arising from these ﬁnancial instruments are liquidity risk, interest rate risk, foreign exchange rate risk and credit risk. The Board 
reviews, agrees and monitors policies for managing each of these risks; these are summarised below. These policies have remained 
unchanged during the period under review. 
(a) Liquidity risk
Group cash resources held at banks are monitored regularly by senior management (locally and at Group level). It is the Group’s policy to 
retain sufﬁcient funds in current and call accounts to meet short-term needs. Surplus funds are retained on short-term interest-bearing 
deposits. The Group also maintains overdraft facilities in certain entities. 80
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
The table below analyses the Group’s ﬁnancial liabilities which will be settled on a net basis into relevant maturity groupings based on the 
remaining period from the reporting date to the contractual maturity date. The amounts disclosed in the table are the contractual 
undiscounted cash ﬂows.
In thousands of USD
Less than 
1 year
Between  
1 and 2 years
Between  
2 and 5 years
More than 
5 years Total
Borrowings 26 16 – – 42
Finance Lease 5,342 846 1,078 628 7,894
Amounts owed to related parties 26,578 92 – – 26,670
Trade and other payables 348,160 5,999 – – 354,159
380,106 6,953 1,078 628 388,765
(b) Interest rate risk
The ﬁnancial assets of the Group comprise trade and other receivables and cash and cash equivalents. The trade and other receivables are 
non-interest-bearing. The cash and cash equivalents earn interest at ﬂoating rates based on individual bank market rates for the relevant 
currencies and durations. 
The Group’s exposure to market risk for changes in interest rates relates primarily to bank loans and amounts payable under asset 
ﬁnance leases.
Interest rate sensitivity analysis
The impact on the Group’s pre-tax proﬁt due to a possible change in interest rates on loans and asset ﬁnance leases at the reporting date is 
demonstrated below:
2012
US$’000
2011
US$’000
+1% movement (130) (270)
(c) Foreign currency risk
The Financial Statements are prepared in US Dollars, rounded to the nearest thousand which represents the functional currency of the 
Company and the presentation currency of the Group. The Group is exposed to foreign currency risk on sales, purchases, borrowings and 
net investments in subsidiaries that are denominated in a currency other than the US Dollars. The principal currencies giving rise to this risk 
are Australian Dollar, South African Rand, United Arab Emirates Dirham, Saudi Riyal, Qatari Riyal, Kuwaiti Dinar, Euro, Russian Rouble, 
Canadian Dollar, Trinidad Dollar, Botswana Pula, Mozambique Metical and Madagascar Ariary.
Exchange rate risk is managed at the subsidiary levels by ensuring that, as far as possible, income and expenses are denominated in the 
appropriate functional currency. Certain subsidiaries enter into forward exchange contracts to hedge the exchange risk of trading and 
intercompany balances in line with Board-approved policy. Those contracts outstanding at the relevant period ends are not designated as 
cash ﬂow, fair value or net investment hedges and are entered into for periods consistent with currency transaction exposures, which are 
short-term in nature with average duration of 11 months as at 31 December 2012.
The Group does not trade in any derivative ﬁnancial instruments.
Exchange rate sensitivity analysis
The following table demonstrates the sensitivity of proﬁt before tax to selected movements in subsidiary foreign exchange rates (with all other 
variables held constant). The impact on proﬁt before tax is based on a reasonably possible change in US Dollar exchange rates with respect 
to different ﬂoating exchange rate reporting currencies. The impact on total equity is calculated by changing the exchange rates used in 
measuring the closing balance sheet values.
2012
US$’000
2011
US$’000
A 10% rate depreciation in these currencies versus US dollar
Impact on proﬁt before tax (3,239) (832)
Impact on total equity (1,239) (2,132)
(d) Credit Risk
Credit risk is managed on a subsidiary basis in line with procedures established and approved by the Group board. Credit risk arises from 
cash and cash equivalents, derivative ﬁnancial instruments and deposits with banks and ﬁnancial institutions as well as credit exposure to 
customers including outstanding receivables and work in progress. For banks and ﬁnancial institutions, only independently rated parties with 
investment grade credit ratings are accepted. Exceptions to this policy are permitted subject to speciﬁc Board approval for relationship banks 
that do not have an independent credit rating or require collateral support to achieve an acceptable credit rating.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
23. Financial Risk Management continued GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
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Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
The Group’s credit risk management policy in relation to trade receivables involves periodically assessing the ﬁnancial reliability of customers 
taking into account their ﬁnancial position past experience and other factors. Credit risk is considered as part of the tender review process 
and the Group seeks to negotiate reasonable payment terms to mitigate such exposures. At the reporting date there were no signiﬁcant 
concentrations of credit risk. The maximum group credit risk is represented by the carrying amount of each ﬁnancial asset.
(e) Fair values
Forward exchange contracts open at the reporting period ends are marked to market to fair value the contracts.
At 31 December 2012, the Group had foreign exchange contracts outstanding with notional contract values of US$76.9 million (2011: US$60.2 
million) and net unrealised gains of US$0.5 million (US$1.5 million).
The estimated fair values of the remaining ﬁnancial instruments of the Group approximate to their book values as at the relevant period ends. 
The following criteria have been used to assess the fair values of the Group’s ﬁnancial instruments.
 Receivables, cash and cash equivalents and payables are based on their book values due to their short maturity period.
 Loans are based on their book values which represents the Directors’ opinion of their fair values.
The fair value of the Group’s lease obligations approximates their carrying amounts.
As the Group’s ﬁnancing facilities bear interest at ﬂoating rates, which represent prevailing market rate, the Directors consider the carrying 
amount of these borrowings approximates their fair value. 
The Directors estimate the fair value of the amounts due to/from related companies approximates to the carrying value.
(f) Capital risk management
The Group’s objectives when managing capital are to safeguard the Group’s ability to continue as a going concern in order to provide returns 
for shareholders and beneﬁts for other stakeholders, to maintain an optimal capital structure to reduce the cost of capital, and to have the 
ﬂexibility to take advantage of opportunities to develop the business. Total capital is calculated based on equity as shown in the Statement of 
ﬁnancial position, which amounted to US$280.164 million (2011: US$237 .672 million). So as to maintain or adjust the capital structure, the 
Group may adjust the amount of dividends paid to shareholders, return capital to shareholders, or issue new shares.
24. Deferred tax asset/liabilities
Deferred tax is calculated in full on temporary differences under the liability method using tax rates applicable in the various jurisdictions in 
which the Group operates. The movement on the deferred tax account is as shown below:
In thousands of USD
Year ended 31 December
2012 2011
Opening balance (841) (256)
Credit to the income statement (3,264) (2,736)
On acquisition of subsidiary (note 32) – 552
Foreign exchange adjustment 2 (7)
Other (354) 1,606
Net deferred tax asset at the end of the year (4,457) (841)
Deferred taxation is reﬂected in the Statement of ﬁnancial position as:
Deferred tax asset (5,211) (4,278)
Deferred tax liability 754 3,437
Net asset (4,457) (841)
Deferred tax assets not provided
In thousands of USD
Year ended 31 December
2012 2011
Deferred tax assets have not been recognised in respect of the following items:
Unutilised tax losses 13,877 14,931
Tax effect 1,768 1,866
Deferred tax assets have not been recognised in respect of these items because it is not probable that future taxable proﬁt will be generated 
in the subsidiaries where they arise against which the Group can utilise the beneﬁts.
No provision has been made for temporary differences applicable to investments in subsidiaries as the Group is in a position to control the 
timing of reversal of the temporary differences and it is probable that the temporary differences will not reverse in the foreseeable future.
23. Financial Risk Management continued 82
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
25. Obligations under ﬁnance leases
Amounts payable under finance leases
Minimum lease payments
Present value of minimum lease 
payments
In thousands of USD 2012 2011 2012 2011
Within one year 5,342 5,736 5,017 5,059
In the second to ﬁfth years inclusive 1,924 7,158 1,563 6,414
After ﬁve years 628 1,057 589 943
7,894 13,951 7,169 12,416
Less: future ﬁnance charges (725) (1,535) – –
Present value of lease obligations 7,169 12,416 7,169 12,416
Less: Amount due for settlement within 12 months (5,017) (5,059)
Amounts due for settlement after 12 months 2,152 7,357
These non-cancellable leases have remaining non-cancellable lease terms of between one and ten years and, for certain plant, property and 
equipment leases, are subject to renegotiation at various intervals as speciﬁed in the lease agreements.
26. Employee beneﬁts
The following pension schemes operate in the Group.
(a) Irish administered deﬁned beneﬁt scheme
The Group operates a deﬁned beneﬁt pension plan for certain of its General and Professional Staff. On 31 December 2010, this deﬁned 
beneﬁt pension scheme was closed for future service accrual. 
The deﬁned beneﬁt pension plan is administered by independent trustees and is managed externally by independent investment managers. 
At the date of the most recent actuarial valuation, the market value of the assets held in General and Professional Plan amounted to 
€17 ,822,000 equivalent to US$23,922,000. The value of the assets represented 56% of the liability for beneﬁts under the valuation method, for 
service to the valuation date, based on the assumptions used in the actuarial review. The actuarial report is not available for public inspection.
The disclosures required under IAS 19 “Employee Benefits” are as follows:
In thousands of USD
Year ended 31 December
2012 2011
Valuation method
Projected 
unit method
Projected 
unit method
Inﬂation rate 2.00% 2.00%
Salary increases 3.00% 3.00%
Increase for pension in payments 3.00% 3.00%
Discount rate 4.00% 5.20%
Expected rate of return on plan assets 4.20% 4.20%
The major categories of scheme assets as a percentage of the total fair value of scheme assets are as follows:
Equities 20.42% 19.70%
Bonds 77.21% 69.20%
Property 2.32% 2.50%
Cash 0.05% 8.60%
100.00% 100.00%
Assumptions regarding future mortality experience are set based on advice from published statistics and experience. The average life 
expectancy in years of a pensioner retiring at age 65 is as follows: 
2012 2011
Current Pensioners
Male  23.2 23.0
Female 24.6 24.5
Future Pensioners 
Male  25.8 25.7
Female 26.8 26.7
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
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Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
Expense/(gain) recognised in the Consolidated income statement 
In thousands of USD
Year ended 31 December
2012 2011
Interest on obligation 2,025 2,138
Expected return on plan assets (1,269) (1,908)
756 230
Analysis of the amount recognised in the Consolidated Statement of Comprehensive Income
In thousands of USD
Year ended 31 December
2012 2011
Actual return less expected return on pension scheme assets 2,463 (987)
Experience loss arising on the scheme liabilities (257) (13)
Change in the assumptions underlying the present value of the scheme liabilities (9,831) (2,227)
Actuarial losses recognised in the Statement of Comprehensive Income (7,625) (3,227)
The amount included in the Statement of ﬁnancial position arising from the Group’s obligation in respect of its deﬁned beneﬁt scheme is 
as follows:
In thousands of USD
Year ended 31 December
2012 2011
Present value of deﬁned beneﬁt obligations 51,614 39,481
Fair value of plan assets 33,934 30,468
Recognised liability for deﬁned beneﬁt obligations 17,680 9,013
Movement in deficit during the period
In thousands of USD
Year ended 31 December
2012 2011
Opening balance 9,013 8,638
Contributions paid – (2,751)
Other ﬁnance cost 756 231
Actuarial loss 7,625 3,227
Foreign exchange loss/(gain) 286 (331)
Deﬁcit at period end 17,680 9,013
Change in benefit obligation
In thousands of USD
Year ended 31 December
2012 2011
Beneﬁt obligation at beginning of the year 39,481 37,609
Interest cost 2,026 2,138
Actuarial loss 10,088 2,240
Beneﬁts paid (775) (1,048)
Foreign exchange gain 794 (1,458)
Beneﬁt obligation at end of the year 51,614 39,481
Change in plan assets
In thousands of USD
Year ended 31 December
2012 2011
Fair value of plan assets at beginning of the year 30,468 28,971
Actual return on plan assets 3,732 921
Employer contributions – 2,751
Beneﬁts paid from plan (775) (1,048)
Foreign exchange gain/(loss) 509 (1,127)
Fair value of plan assets at end of the year 33,934 30,468
26. Employee beneﬁts continued 84
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
History of scheme assets, liabilities and actuarial gains and losses
Year ended 31 December
In thousands of USD 2012 2011 2010 2009
Amounts recognised in the Statement of ﬁnancial position
Present value of funded obligations (51,614) (39,481) (37,609) (37,011)
Fair value of plan assets 33,934 30,468 28,971 23,883
Net deﬁcit (17,680) (9,013) (8,638) (13,128)
Actual return less expected return on scheme assets 2,463 (987) 1,123 2,289
% of scheme assets 7.26% 3.24% 3.88% 9.60%
Experience (loss)/gain arising on scheme liabilities (257) (13) 119 185
% of scheme liabilities 0.50% 0.03% 0.32% 0.50%
The deﬁned beneﬁt scheme was closed to accruals for future service in 2010, member contributions to this scheme have ceased. The 
Company paid contributions to the scheme of US$2.6 million in January 2013 (2011: US$2.8 million). The Company estimates that it will make 
further contributions of US$2.7 million in 2013 as part of the ten year funding proposal which commenced in 2010.
(b) Irish administered deﬁned contribution scheme
The Group also operates a deﬁned contribution pension scheme in Ireland.
The pension charge in the Consolidated income statement for the following periods is as follows.
In thousands of USD
Year ended 31 December
2012 2011
Pension charge to the Consolidated Income Statement 855 569
(c) Construction Industry Federation (CIF) scheme
Certain companies in the Group also participate in the Irish CIF deﬁned beneﬁt plan. 
The pension charge in the Consolidated income statement for the following periods is as follows. 
In thousands of USD
Year ended 31 December
2012 2011
Pension charge to the Consolidated Income Statement 90 74
27. Share-based payments
2009 Share Option Scheme
The Company operates an equity-settled share-based remuneration scheme for key management. All key management are eligible to 
participate in the scheme, the only vesting condition being that the individual remains an employee of the Group over the savings period. In 
addition, the options will lapse if the individual leaves within two years of satisfying the criterion.
2012 2011
Weighted 
average 
exercise price 
(p) Number
Weighted 
average  
exercise price  
(p) Number
Outstanding at beginning of the year 154.5 5,496,000 154.5 5,658,000
378.0 2,233,000
Granted during the year –– 378.0 2,359,000
Exercised during the year 154.5 (1,665,000) ––
Forfeited during the year – (36,000) – (288,000)
238.2 6,028,000 228.5 7,729,000
The share options outstanding at the year-end have a weighted average remaining contractual life of one year (2011: 1.85 years). Of the total 
number of options outstanding at the end of the year, the number of shares that had vested and were exercisable at the end of the year was 
3,831,000 (2011: nil). 
The weighted average share price at the dates of exercise for share options exercised during the year was Stg£3.71.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
26. Employee beneﬁts continued GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
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Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
The following information is relevant in the determination of the fair value of share options granted on 25 March 2011 under the 2009 Share 
Option Scheme. The fair value of the options granted on 25 March 2011 was Stg£1.29.
Share options granted 
on 25 March 2011 
Equity-settled
Option pricing model used Black-Scholes
Weighted average share price at grant date (in Stg£ pence) 378.0
Exercise price (in Stg£ pence) 378.0
Expected life of share award (in years) 5
Equity-settled
Expected volatility 41.67
Expected dividend growth rate 1.70
Risk-free interest rate 2.57
The volatility assumption, measured at the standard deviation of expected share price returns, is based on a statistical analysis of daily share 
prices of peer companies over the last three years.
Long Term Incentive Plan
In 2011, the Long Term Incentive Plan (LTIP) was introduced to provide senior executives with shares in lieu of cash bonus. Under this scheme, 
the award was a mixture of contingent awards (70%) and performance awards (30%) with a three-year vesting period. For the contingent 
awards the only vesting condition is that the individual remains an employee of the Group. For the performance awards to vest in full, Kentz’s 
average basic earnings per share (EPS) growth must not be less than the average basic EPS growth for the same period for a peer group of 
designated industry competitors. If the Kentz actual basic EPS growth is more than 90% but less than 100% of the industry competitors’ 
performance, a pro-rated award value will be made. No vesting of performance awards will be made if Kentz’s basic EPS growth is less than 
90% of the industry competitors’ average EPS growth. 
For the purpose of making awards under its employee share schemes, the Company acquires its own shares which are held by the Kentz 
Employee Beneﬁt Trust. All these shares have been classiﬁed in the Statement of ﬁnancial position as treasury shares within equity.
2012
Number
Outstanding at beginning of the year _
Granted during the year
– 9 January 2012 383,294
– 25 January 2012 218,075
601,369
The share awards outstanding at the year-end have a weighted average remaining contractual life of two years. Of the total number of awards 
outstanding at the end of the year, the number that had vested and were exercisable at the end of the year was nil. 
The fair value of the share awards granted on 9 January 2012 and 25 January 2012 was Stg£4.22 and Stg£4.11 respectively. The following 
information is relevant in the determination of the fair value of share awards granted during the year: 
Share awards granted  
on 9 January 2012
Share awards granted  
on 25 January 2012
Equity-settled
Pricing model used Black-Scholes Black-Scholes
Weighted average share price at award date (in Stg£ pence) 446.5 435.0
Expected life of share award (in years) 33
Equity-settled
Expected volatility 37.19 36.86
Expected dividend growth rate 1.90 1.90
Risk-free interest rate 0.52 0.52
The volatility assumption, measured at the standard deviation of expected share price returns, is based on a statistical analysis of daily share 
prices of peer companies over the last three years.
27. Share-based payments continued 86
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
Share-based payment charge
The share-based remuneration expense (note 6) comprises:
In thousands of USD
Year ended 31 December
2012 2011
2009 Share Option Scheme 2,138 2,879
Long Term Incentive Plan 1,327 –
3,465 2,879
28. Contingent liabilities
(a)  Certain banking facilities of the Group and its subsidiaries are secured by various securities, including the assignment of contract 
receivables, the cession of book debtors and corporate guarantees from the Company. The Company together with certain subsidiary 
companies have given corporate guarantees as security for the banking facilities of certain Group companies amounting to 
US$611.2 million. 
(b)  The Group’s bankers and certain insurance companies provide guarantees to customers of the Group as security against the possibility of 
the Group or certain companies related to the Group failing to satisfactorily complete contracts.
Guarantees issued with recourse against the Group amount to:
In thousands of USD
Year ended 31 December
2012 2011
Guarantee bonds provided by banks 270,146 306,896
Guarantee bonds provided by insurance companies 62,782 107,224
332,928 414,120
These guarantees are represented by the contractual amount. However, as management fully expects the guarantees to expire at the end 
of their respective terms without being called upon, no provision has been made in the ﬁnancial statements in respect of these contingent 
liabilities and the Directors do not believe that the Group will incur any liability arising from the issuance of these guarantees.
(c)  The Company and its subsidiary Kentz International Limited have also provided guarantees for certain Group companies in respect of 
performance of obligations under contract and tenders for contracts and a letter of ﬁnancial support for Kentz Management Limited. 
(d) The Group has received advances on certain contracts as follows:
In thousands of USD
Year ended 31 December
2012 2011
Advances received on contracts < 1 year 10,887 33,025
Advances received on contracts > 1 year 1,700 –
12,587 33,025
29. Capital commitments
The following are the annual commitments under non-cancellable operating leases:
In thousands of USD
Year ended 31 December
2012 2011
Within 1 year 14,729 13,017
Between 2 and 5 years 10,945 8,918
Greater than 5 years 1,024 2,117
26,698 24,052
30. Related parties and related party transactions
Identity of related parties
The Group has a related party relationship with its subsidiaries (see note 31), joint ventures (see note 14.1) and with its Directors and 
Executive Ofﬁcers.
Transactions with key management personnel
In addition to their salaries, the Group also provides non-cash beneﬁts to Directors and Executive Ofﬁcers, and contributes to a post-
employment deﬁned contribution plan on their behalf.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
27. Share-based payments continued GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
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Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
Prior to this, the Group operated a deﬁned beneﬁt scheme which was closed to future accruals on 31 December 2010. Pensionable 
service under this pension scheme will be determined by the number of continuous years service up to that date and ﬁnal pensionable 
salary will be based on 1/60th of ﬁnal pensionable salary for each year of service completed to 31 December 2010, as adjusted for an 
agreed inﬂation factor. 
In accordance with the terms of the plan, Directors and Executive Ofﬁcers retire at age 60.
The key management personnel compensations are as follows:
In thousands of USD
Year ended 31 December
2012 2011
Short-term employee beneﬁts 9,524 11,540
Post-employment beneﬁts 362 438
Share-based payments 759 411
10,645 12,389
Total remuneration is included in the Consolidated income statement (see note 5):
In thousands of USD
Year ended 31 December
2012 2011
Directors 5,036 3,820
Executive Ofﬁcers 10,645 12,389
15,681 16,209
Description of the other related parties
Kerbet Limited
At 31 December 2012, the Company was 13.45% owned by Kerbet Limited, a company registered in Jersey. Kerbet Limited is ultimately 
owned by Gigondas Real Estate Inc (80%) and Covili Investment Limited (20%). Both of these companies are registered in the British Virgin 
Islands. A Director of the Company, Tan Sri Mohd Razali Abdul Rahman, and a former Director of the Company, Hassan Abas, are beneﬁcial 
owners of both these companies.
Saffa Limited
Saffa Limited, a company incorporated in the Republic of Ireland, is beneﬁcially owned by Tan Sri Mohd Razali Abdul Rahman and a former 
director of the Company, Hassan Abas. In 2005, a property owned by the Group was sold to Saffa Limited at open market value based on an 
independent valuation for an amount of US$3,155,941. The property was subsequently leased to the Group by Saffa Limited. 
The Group pays rent to Saffa Limited. Amounts due to/from the Group to Saffa Limited are included in related parties.
Peremba Group companies
Tan Sri Mohd Razali Abdul Rahman, a Director of the Company, and Hassan Abas, a former Director of the Company, are shareholders in the 
Peremba Group companies incorporated in Malaysia.
Transactions with joint ventures
Subsidiary companies incurred reimbursable costs on behalf of the joint ventures listed in note 31. Amounts due to joint ventures represent 
advances received. 
Amount due from related parties
In thousands of USD
At 31 December
2012 2011
Joint ventures 4,228 3,640
Kerbet Limited 104 94
Carmyle Limited 28 19
Peremba Group companies 138 133
4,498 3,886
30. Related parties and related party transactions continued 88
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
Amount due to related parties
In thousands of USD
At 31 December
2012 2011
Joint ventures 26,163 12,900
Peremba Group companies 361 348
Kerbet Limited 54 146
26,578 13,394
An amount of US$9 million has been reclassiﬁed from advances on contracts at 31 December 2011 (note 21) to amounts due to joint ventures 
as disclosed above. There is no impact on the ﬁnancial statements classiﬁcation for the year ended 31 December 2010 which would require 
disclosure in accordance with IAS1 ‘Presentation of ﬁnancial statements’. 
Non-current liabilities
In thousands of USD
At 31 December
2012 2011
Kerbet Limited (Shareholder’s advance) 92 92
Transaction values
In thousands of USD Type of transaction 2012 2011
Joint Ventures Technical support services/Advances 28,099 11,457
Kerbet Limited Costs paid on behalf of related party 10 12
Carmyle Limited Costs paid on behalf of related party 9 10
Saffa Limited Rental Charges 255 331
31. Subsidiaries
The Company has control over the subsidiaries listed below. Accordingly, the Consolidated Financial Statements incorporate 100% of the 
assets, liabilities, income and expenses (except where otherwise stated) in accordance with the basis of consolidation accounting policy at 
31 December 2012.
Name Principal activity
Australia
Kentz Pty Limited Mechanical/electrical/instrumentation
Kentz (Australia) Pty Limited Mechanical/electrical/instrumentation
Kentz E&C Pty Limited
1
 (50%) Mechanical/electrical/instrumentation
1
 A subsidiary undertaking; Kentz Pty Limited is entitled to appoint the majority of directors of the board of Kentz E&C Pty Limited
Bahrain
Kentz Middle East Holding Company W.L.L. Holding company
Kentz Overseas Co. W.L.L. Mechanical/electrical/instrumentation
Botswana
Kentz Engineers and Constructors Botswana (Pty) Limited Engineering and construction services
Kentz Botswana (Proprietary) Limited In liquidation
Kentz Africa Proprietary Limited Dormant
Canada
Kentz Canada Holdings Limited Holding company
Kentz Canada Limited Mechanical/electrical/instrumentation
Callisto Construction Limited Mechanical/electrical/instrumentation
Beralta Construction Limited Mechanical/electrical/instrumentation
Caribbean
Kentz Caribbean (PR) Inc. Mechanical/electrical/instrumentation
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
30. Related parties and related party transactions continued GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
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Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
Name Principal activity
Channel Islands
Kentz International Limited Holding company
Leonora Limited Holding company
Bratoga Limited Engineering services
Kentz (TSS) Global Limited Holding company
Kentz Equatorial Guinea Limited Mechanical/electrical/instrumentation
Kentz Overseas Limited Engineering services
Ireland
Kentz Ireland Limited Mechanical/electrical/instrumentation
Chandler Enterprises Limited Holding company
Kentz Engineering International Limited Engineering services
Kentz Management Limited Engineering, ﬁnancial, human resources
Clonmak Limited Non-trading
Isle of Man
Kentz Africa Holdings Limited Holding company
Kentz Caspian Limited Mechanical/electrical/instrumentation
India
Kentz Engineering India Pvt Ltd Engineering services
Kazakhstan
Kentz Kazakhstan LLP Mechanical/electrical/instrumentation
Madagascar
Kentz Madagascar SARL Engineering and construction services
Malaysia
Kentz (MEPC) Malaysia SDN BHD Mechanical/electrical/instrumentation
Mauritius
Kentz Mauritius Limited Holding company and engineering and construction services
Mozambique
Kentz Engineering and Constructors Limitada Engineering and construction services
Netherlands
Kentz Holdings (Europe) B.V. Holding company
Qatar
Qatar Kentz W.L.L.
1
 (49%) Mechanical/electrical/instrumentation
1
 A subsidiary undertaking; Kentz Overseas Limited has dominant inﬂuence
Russia
Kentz Russia LLC Mechanical/electrical/instrumentation
Saudi Arabia
Saudi Arabia Kentz Company Limited
1
 (49%) Mechanical/electrical/instrumentation
1
 A subsidiary undertaking; Kentz Middle East Holding Co. W.L.L. has dominant inﬂuence
Singapore
Kentz MEPC (Singapore) PTE Limited Mechanical/electrical/instrumentation
31. Subsidiaries continued 90
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
Name Principal activity
South Africa
Kentz South Africa (Proprietary) Limited Holding company
Kentz Management Services (Proprietary) Limited Dormant
Kentz (Proprietary) Limited (74.998%) Engineering and contracting
Kentz Property Holdings (Proprietary) Limited (74.998%) Property investment and management company
Kentz Training Solutions Limited
1
 (58%) Training services
Kentz Automation and Drives Projects (Proprietary) Limited
1
Mechanical/electrical/instrumentation
RNE Engineering & Projects (Pty) Limited
1
Engineering services
1
 The shares in these companies are held by the 74.998% indirectly held subsidiary Kentz (Proprietary) Limited
Thailand
Peremba Kentz Thai Limited Engineering services
United Arab Emirates
UTS Kentz LLC
1
 (49%) Mechanical/electrical/instrumentation
1
 A subsidiary undertaking; Kentz Middle East Holding Co. W.L.L. has dominant inﬂuence
Uganda
Kentz E&C Uganda Limited Mechanical/electrical/instrumentation
USA
Kentz USA Inc Mechanical/electrical/instrumentation
Kentz Caribbean LLC Mechanical/electrical/instrumentation
The Company has the following joint ventures
Name Nature of business
Australia
Thiess Decmil Kentz JV Mechanical/electrical/instrumentation
CB&I Kentz JV Mechanical/electrical/instrumentation
Bahrain
Kentz Global Oil and Gas Process Systems W.L.L. Engineering services
Caribbean
Kentz OJ’s JV Barbados Limited Mechanical/electrical/instrumentation
Russia
Kentz-DEM LLC Mechanical/electrical/instrumentation
Kentz-SMNM LLC Mechanical/electrical/instrumentation
Trinidad and Tobago
Kentz OJ’s E&I Services JV Mechanical/electrical/instrumentation
31. Subsidiaries continued
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS CONTINUED GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS OVERVIEW
91
Annual Report and Accounts 2012 Kentz Corporation Limited www.kentz.com
32. Acquisition during the year 
On 1 October 2012, Kentz Corporation Limited acquired a business from Gulf Consult Designers & Engineers Private Limited (GCDE) in India 
for a total cash consideration of US$239,000.  
This ofﬁce will provide Kentz with a low cost scalable engineering centre to support on-going and future engineering services projects in the 
Middle East with the potential to expand this service elsewhere within the Group.
Details of the fair value of identiﬁable assets and liabilities acquired, purchase consideration and goodwill are as follows:
In thousands of USD Fair Value
Property, plant and equipment 11
Intangible assets 10
21
Fair value of consideration paid:
Cash paid for GCDE 239
Total consideration 239
Goodwill 218
The acquisitions cost have been charged to administrative expenses in the Consolidated income statement for the year ended 
31 December 2012.
During 2011 Kentz PTY Limited acquired 100% of the share capital in RNE Engineering & Projects (PTY) Limited (RNE) in South Africa.
Deferred consideration of US$2.2 million was paid to RNE during the year ended 31 December 2012. This consideration is payable should 
RNE meet performance targets for the ﬁnancial years ending 31 December 2011 to 31 December 2013. A portion of the purchase 
consideration will be forfeited if the selling shareholders were to leave RNE before 31 December 2013. The liability for the remaining deferred 
consideration recognised at the acquisition date is measured at the fair value of the obligation at that date. Differences on the remeasurement 
of this liability are recognised in proﬁt or loss.
On an undiscounted basis, the total future payments for which the Group may be liable range from US$1.5 million to US$2.2 million.
33. Events after the reporting period
a) Final dividend
The Directors have proposed a ﬁnal dividend of 9 US$ cents per share which would make a total dividend payment of 14.5 US$ cents per 
share for the year ended 31 December 2012. The ﬁnal dividend payment will be made in May 2013 to shareholders on the register at the close 
of business on 26 April 2013. 92
Kentz Corporation Limited Annual Report and Accounts 2012 www.kentz.com
Secretary  First Name Secretaries (C.I.) Limited
Registered ofﬁce  15 Union Street
 St Helier
 JE2 3RF
 Jersey 
 Channel Islands 
Auditors  PricewaterhouseCoopers
 One Spencer Dock
 North Wall Quay
 Dublin 1
 Ireland
Solicitors  Arthur Cox William Fry
 Earlsfort Centre Fitzwilton House
 Earlsfort Terrace Wilton Place
 Dublin 2  Dublin 2
 Ireland Ireland
 Simmons & Simmons Ogier
 1 Ropemaker Street Whiteley Chambers
 London EC2Y 9SS Don Street
 United Kingdom St Helier
  JE4 9WG
  Jersey 
  Channel Islands 
Broker  Investec Bank plc
 2 Gresham Street 
 London
 EC2V 7QP
 United Kingdom 
Registrar  Capita Registrars 
 The Registry 
 34 Beckenham Road 
 Beckenham 
 Kent BR3 4TU
 United Kingdom 
SHAREHOLDER INFORMATION WORLDWIDE OFFICES
Middle East and Caspian
Bahrain
Kentz Middle East Holding (W.I.I.)
Sheikh Abdullah Building
3rd Floor
Building #198
Road #2803
Al Seef District
Kingdom of Bahrain
Tel: +973 17560360
Fax: +973 17582132
contactbahrain@kentz.com
Dubai
Kentz Overseas Company W.L.L.
Unit 8H
Almas Tower
Jumeirah Lakes Towers
P.O. Box 391499
Dubai
United Arab Emirates
Tel: +971 4 440 4200
Fax: +971 4 438 4200
contactdubai@kentz.com
Saudi Arabia
Saudi Arabian Kentz Co. Ltd
P.O. Box 3462 
Al-Khobar 31952
Kingdom of Saudi Arabia
Tel: +966 3 859 1829
Fax: +966 3 859 1836
contactsaudi@kentz.com
Kentz Engineering International 
Co. Ltd
P.O. Box 31412, Al-Khobar 31952
Kingdom of Saudi Arabia
Tel: +966 3 806 5555
Fax: +966 3 859 1856
contactkeilsa@kentz.com 
Kuwait
Kentz Overseas Limited
Plot Nos. 61-66
East Ahmadi Industrial Area
P.O. Box 28244
Safat 13143
Kuwait
Tel: +965 2398 3020
Fax: +965 2398 3014
contactkuwait@kentz.com
UAE
UTS Kent L.L.C 
9/F Mazyad Mall, Ofﬁce Building No.3
Mohammed Bin Zayed City
Musaffah
P.O. Box 34826
Abu Dhabi
United Arab Emirates
Tel: +971 2 4013200
Fax: +971 2 5591202
contactuae@kentz.com
Qatar
Qatar Kentz (W.I.I.) 
P.O. Box 3865 
Doha
Qatar
Tel: +974 44025222
Fax: +974 44552153
contactqatar@kentz.com
Kazakhstan
Kentz Kazakhstan LLP
1st Floor, Urals 3 Building
Avenue Azattyk 2B
060002, Atyrau
Kazakhstan
Tel: +7 7122 76 08 14
Fax: +7 7122 76 08 14
contactkazakhstan@kentz.com 
Asia
India
Kentz Engineering India Pvt Ltd
2/19, Dr. VSI Estate
Thiruvanmiyur
Chennai - 600 041
Tamil Nadu
India
Tel: +91 44 4903 6767
Fax: +91 44 4903 6777
contact.india@kentz.com
Australasia
Malaysia
Kentz MEPC (Malaysia) Sdn Bhd
Suite J-05-13 Solaris Mont’ Kiara
No. 2 Jalan Solaris, Mont’ Kiara
50480 Kuala Lumpur
Malaysia
Tel: +603 6203 7300
Fax: +603 6203 7311
contactmalaysia@kentz.com
Papua New Guinea
Kentz MEPC (Malaysia) Sdn. Bhd
Level 3, Port Tower 
Section 03, Allotment 21 
Hunter Street
Port Moresby 
Papua New Guinea
Tel: + 675 320 2817
Fax: + 675 320 2817
contactpapuanewguinea@kentz.com
Australia
Kentz E&C Pty Ltd
Level 13, 191 St Georges Terrace
Perth, WA 6000
Australia
Tel: +61 8 9442 2500
Fax: +61 8 9226 5435
contactaustralia@kentz.com 
Kentz E&C Pty Ltd
Level 4, 488 Queen Street 
Brisbane, Queensland 4000
Australia 
G.P.O. Box 5807
Brisbane QLD 4001
Tel: +61 7 3370 8100
Fax: +61 7 3370 8166
contactaustralia@kentz.com
Russia
Russia 
Kentz Russia LLC 
Ofﬁce 8-16
31 Novinskiy Boulevard
Moscow
Russian Federation
123242
Tel: +7 499 951 1909
Fax: +7 499 951 1910
contactrussia@kentz.com 
Kentz Russia LLC
4th Floor, 24-B Kommunistichesky 
Avenue
Yuzhno-Sakhalinsk
Russia
693 000
Tel: +7 4242 464 974/5
Fax: +7 4242 464 976
contactrussia@kentz.com 
Africa
Madagascar 
Kentz Madagascar SARL
Lot II Y 33 F, Antanimora
Antananarivo 101
Madagascar
Tel: +27 11 203 9600
Fax: +27 11 203 9700
contactmadagascar@kentz.com 
Mauritius
Kentz Mauritius Limited
Abaz Corporate Services
6th Floor, Tower A, 1 Cyber City
Ebene 
Mauritius
Tel: +230 4036000
Fax: +230 4036060
contactmauritius@kentz.com 
Mozambique
Kentz Engineering and Constructors, 
Limitada
Rue Da Se Nr 114
Rovuma Pestana Hotel
1 Andar, Maputo
Mozambique
Tel: +258 21302712
Fax: +258 21302713
contactmozambique@kentz.com 
South Africa 
Kentz (Pty) Ltd
Suite 4B 
Corner of Torsvale and Armstrong 
Avenue 
2 Torsvale Crescent 
La Lucia
Durban 4051 
South Africa
Tel: +27 31 536 6300 
Fax: + 27 31 536 6350
contactdurban@kentz.com 
Kentz (Pty) Ltd
89 14th Road, Erand 
Midrand
South Africa
Tel: +27 11 203 9600
Fax: +27 11 203 9700
contactmidrand@kentz.com 
Kentz (Pty) Ltd
Corner of Frikkie Meyer Blvd and 
Kelvin Blvd
Vanderbijlpark 1900
South Africa
Tel: +27 16 910 9300
Fax: +27 16 933 4543
contactvanderbijlpark@kentz.com 
Europe 
Ireland  
Kentz Engineers & Constructors
Gurtnaﬂeur, Clonmel
County Tipperary
Ireland
Tel: +353 52 6122811
Fax: +353 52 6126021
contactireland@kentz.com 
United Kingdom 
Kentz Engineers and Constructors
Central Court
25 Southampton Buildings
London WC2A 1AL
Tel: +44 (0)20 3159 4000
contactuk@kentz.com 
The Americas
Canada
Kentz Canada Limited
Suite 610, Bow Valley Square 2
205 - 5th Avenue S.W. 
Calgary
Alberta T2P 2V7
Canada
Tel: +1 403 532 1119
Fax: +1 403 873 7293
contactcanada@kentz.com 
Kentz Canada Limited
Suite 1700
555 – 4th Avenue S.W.
Calgary, Alberta
T2P 3E7, Canada
Tel: +1 403 984 5400
Fax: +1 403 984 5401
contactcanada@kentz.com
USA
Kentz USA Inc.
1800 W Loop South
Suite 1800
Houston, TX 77027
USA
Tel: +1 713 862 4066
Fax: +1 713 862 3342
contactusa@kentz.com
Bahamas 
Kentz OJ’s JV Bahamas Limited
Chambers, Poinciana House 
West Mall and Poinciana Drive 
Freeport 
Bahamas
Tel: +1 868 223 1075/6/7
Fax: +1 868 679 6917
contactbahamas@kentz.com
Dominican Republic 
Kentz Caribbean DR LLC
Avenue Independencia No. 201
Esq. Dr. Delgado
Apto. 203, Gazcue, Santo Domingo
Distrito Nacional
Tel: +1 868 684 8649
Fax: +1 868 387 5599
contactdominicanrepublic@kentz.com 
Kentz Caribbean DR LLC
Calle Mella, Esq. 
Juan Sanchez Ramirez 
Y Des Center Plaza
Local No. 06, Cotui 
Republica Dominicana
Tel: + 1 809 813 1448 
contactdominicanrepublic@kentz.com 
Puerto Rico 
Kentz Caribbean PR Inc.
P.O. Box 51432, Toa Baja
Puerto Rico 00950-1432
Tel: +1 868 684 8649 / +1 868 387 5599
contactpuertorico@kentz.com
Trinidad 
Kentz-OJ’s E&I Services J.V.
65 New Settlement
Dow Village
California
Trinidad
West Indies
Tel: +1 868 636 1667
Fax: +1 868 679 6917
contacttrinidad@kentz.com 
Kentz Caribbean LLC
5300 Memorial Drive, Suite 1060
Houston, TX 77007, USA
Tel: +1 713 862 4066
Fax: +1 713 862 3342
contacttrinidad@kentz.com
Kentz Investor Relations
Ronan Tyrrell 
+44 (0) 20 3159 4000 
For more information about Kentz, please 
refer to our website
www.kentz.com