Back to top

Image: Bigstock

KBR Wins Contract Extension for Greater Tortue Ahmeyim Project

Read MoreHide Full Article

KBR, Inc. (KBR - Free Report) has won a contract extension from BP p.l.c. (BP - Free Report) for phase 1 of the Greater Tortue Ahmeyim Project to provide Facilities Integration and Terminal Quarters and Utilities (“QU”) management services for the Hub/Terminal.

The Engineering, Procurement and Construction Management contract will be executed at the maritime border of Senegal and Mauritania. Per the deal, KBR will manage the QU contractor, and offer services for the QU Integrated Control, Safety System ICSS, Telecoms Systems and Supplemental Services.

Notably, the said project will provide LNG revenues and gas to Africa for decades.

KBR has been in the LNG industry for more than 40 years and contributing nearly one third of the world's total LNG production. In fact, recently, it has collaborated with Baker Hughes, a GE company (BHGE - Free Report) to use the latter’s proven gas turbine driver technologies, featuring LM2500+G5 and LM6000PF gas turbines, for its standardized mid-scale LNG design.

Being active in the LNG industry for more than four decades, KBR remains committed to boost global LNG production for environmental reasons. Its Energy Solutions unit, accounting for 20.3% of revenues, is expected to benefit from selective opportunities in downstream petrochemical and ethylene projects, and a growing number of small-scale LNG projects in North America.

Energy Solutions’ backlog ($13.6 billion as of Mar 31, 2019) increased 20.2% in first-quarter 2019. Of the backlog, 75% represents service businesses that comprise high-end technical consultancy, pre-FEED, FEED, PMC, and sustaining capital construction services and maintenance.

Notably, shares of KBR have gained 50.6% year to date, outperforming its industry and the S&P 500 composite’s average growth of 23.5% and 14.4%, respectively. The contract winning spree underscores KBR's strong ability to safely and efficiently deliver projects in operating facilities.

Zacks Rank & Another Key Pick

Currently, KBR carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Another top-ranked stock in the same space is Quanta Services, Inc. (PWR - Free Report) .

Quanta Services currently carries a Zacks Rank #2. Its earnings for the current year are expected to increase 28.1%.

Biggest Tech Breakthrough in a Generation

Be among the early investors in the new type of device that experts say could impact society as much as the discovery of electricity. Current technology will soon be outdated and replaced by these new devices. In the process, it’s expected to create 22 million jobs and generate $12.3 trillion in activity.

A select few stocks could skyrocket the most as rollout accelerates for this new tech. Early investors could see gains similar to buying Microsoft in the 1990s. Zacks’ just-released special report reveals 7 stocks to watch. The report is only available for a limited time.

See 7 breakthrough stocks now>>


In-Depth Zacks Research for the Tickers Above


Normally $25 each - click below to receive one report FREE:


Quanta Services, Inc. (PWR) - free report >>

KBR, Inc. (KBR) - free report >>

BP p.l.c. (BP) - free report >>

Baker Hughes, a GE company (BHGE) - free report >>

Published in