Back to top

Analyst Blog

This page is temporarily not available.  Please check later as it should be available shortly. If you have any questions, please email customer support at support@zacks.com or call 800-767-3771 ext.  9339.

Jacobs Engineering Group Inc. (JEC - Analyst Report), a construction services provider, received a contract from Shell Company of Australia Ltd., a subsidiary of Royal Dutch Shell Plc. (RDS.A - Analyst Report), for Shell’s Clyde Terminal Project, based in Sydney, Australia. The contract value was not disclosed.

According to the agreement, work for the contract will be carried on by Jacobs’ operations at its units in Sydney and Melbourne. The contract involves the conversion of the Clyde Refinery and associated satellite Gore Bay Terminal into competitive product import terminals. Jacobs is expected to provide a Basic Design and Engineering Package (BDEP) for the same.

Subsequent to shareholders’ approval in July 2011, it was decided in June 2012 that the Clyde refinery will cease its operations from September 2012, and will be eventually converted into a terminal. The refinery covers around 40% of Sydney’s petroleum requirements along with 50% of New South Wales’ needs.

The Clyde Terminal is currently used to provide services to the Sydney airport while helping Shell to distribute its fuels to the New South Wales market. Subsequent to regulatory approvals, Jacobs will also be needed to provide Engineering, Procurement and Construction Management (EPCm) services to the project.

Prior to this contract, Jacobs was involved in bringing about clean fuel upgrades for another project for Shell Australia, at the Shell Geelong and Clyde refineries. Jacobs’ association with Shell is not confined to Australia alone. In August last year, the company received a contract from Shell Global Solutions International B.V., Shell’s European subsidiary, to provide engineering and project management services to its European downstream assets, over a term of five years. 

Jacobs currently holds a Zacks Rank #3 (Hold). Other stocks worth a look in the services industry are AECOM Technology Corporation (ACM - Analyst Report) and Tyco International (TYC - Analyst Report); both holding a Zacks Rank  #2 (Buy).

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

Learn more

Start for as little as $4.50 per trade.

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
DIXIE GRP IN DXYN 15.84 +7.90%
BOFI HLDG IN BOFI 85.30 +4.97%
RAMBUS INC RMBS 12.31 +4.41%
VIPSHOP HOLD VIPS 148.73 +4.35%
NETFLIX INC NFLX 345.74 +4.32%