On August 17, Ausdrill announced a proposed merger with Brandrill Limited (ASX: BDL). The combined group will create a leading integrated mining services company, with a strong and complementary range of Australian and international business operations.

Under the merger terms, Ausdrill will issue shares to Brandrill shareholders in exchange for all of the shares in Brandrill. Eligible Brandrill shareholders will receive one Ausdrill share for every 14.5 Brandrill shares held. As at the last trading day prior to announcement, this equates to a value of 9.5 cents per Brandrill share , representing a premium of 77% to the volume-weighted average price of 5.4 cents per Brandrill share for the 30 days prior to the announcement date.

The Directors of Brandrill have unanimously recommended its shareholders vote in favour of the merger, in the absence of a superior proposal.

The merger will be implemented via a scheme of arrangement which is subject to a number of conditions, including Brandrill shareholder approval. It is expected that a meeting of Brandrill shareholders will be held in late November 2009 to vote on the merger. If approved, final implementation is likely to occur in December 2009.

Brandrill and Ausdrill are currently preparing an Information Booklet which will be provided to Brandrill shareholders in connection with the merger. Brandrill shareholders are encouraged to read that document in full.

Please see below for further details and recent news regarding the proposed merger:

News and announcements

Further information

For more information, shareholders can contact:

Ausdrill Limited
Andrew Broad
General Manager – Strategic Development
(08) 9311 5666

For media enquiries:

Warrick Hazeldine / Ryan McKinlay
Purple Communications
(08) 6314 6300