The rise came yesterday in the wake of a release from CEO Peter Fogarty. Fogarty made a statement in an attempt to dispel “mischievous speculation” about the company’s finances following the departure of the finance director Michael Slater.

Mr Fogarty said the claims that Slater’s resignation was due to a clash with management were totally groundless and that the relationship with Slater was ended on positive terms. Mr Fogarty went on to state that ERG’s finances were in good order after recent payments from its Singapore and San Francisco projects, of $A49m and $A12m respectively, and had raised A$104m in its recent rights issue.

Mr Fogarty also commented on the state of play in regards to the NSW travel smart card project, which was delayed last year due to litigation from losing consortium Transportation Systems Incorporated. Fogarty reported that the New South Wales Government wants to get back on track with an electronic ticketing system for public transport.

“…the Department of Transport in New South Wales and ourselves are continuing to negotiate the contract terms, and we’ve made progress in that regard. We hope to be in a position to sign shortly,” commented Mr Fogarty.