KBR, Inc. (KBR - Free Report) has recently formed a new technology alliance with Yokogawa Electric Corporation for a fertilizer automation package (FAP).The strategic tie-up will combine KBR’s ammonia process technology expertise with Yokogawa's high value-added process control solutions to streamline the work process, develop standard configurations and simplify interfaces between various customers and suppliers.
The solution package will supplement KBR’s current portfolio of ammonia processing and will also support the basic engineering design package, proprietary equipment and catalyst supply.
Yokogawa is engaged in conducting research and innovation in the areas of industrial automation and control, test and measurement, and other business segments. Yokogawa’s CENTUM integrated production control system, the ProSafe-RS safety instrumented system and selected solution-based software will be used for this purpose.
This new package is likely to benefit companies with improved plant reliability, reduced energy consumption, reduced life-cycle costs for plant control, increased capacity and improved operator effectiveness in fertilizer plants.
Of late, KBR has been on a contract winning spree. Recently, the company received a contract from Subsea 7 SA to provide topsides design for the Chevron Lianzi development project.
KBR was also chosen by Shell Canada Energy to conduct off-site modularization and pipe fabrication at the latter’s Edmonton Module Facility. KBR will be assisting Shell to derive the maximum benefits from the off-site modularization by providing pipe spool fabrication and module assembly for pipe, process, equipment and building modules.
With continuous inflow of contract deals, KBR is well poised to maintain a growth momentum. KBR currently carries a Zacks Rank #3 (Hold). Other stocks worth a look in the services sector are Global Partners LP(GLP - Free Report) , and Chicago Bridge & Iron. (CBI - Free Report) , each carrying a Zacks Rank #2 (Buy).