Chicago Bridge & Iron Company N.V.
) recently announced that it has received a contract from the
China-based Shenhua Ningxia Coal Industry Group Co. Ltd. Per the
contract, CBI will be providing engineering services for the
licensing and designing of the latter's forthcoming petrochemicals
complex in Lingwu, Yinchuan City, Ningxia. Shares increased by a
marginal 0.4% following the announcement on Aug 26.
The contract requires CBI to utilize its Olefins Conversion
Technology (OCT) in order to aid the production of 196,000 metric
tons per annum (MTA) of propylene. Its Comonomer Production
Technology (CPT) will be deployed for the production and recovery
of as much as 20,000 MTA of comonomer grade 1-butene. This apart,
CBI's novel selective hydrogenation technology - CDHydro will
direct a diverse range of feedstock from the connected steam
cracker to the OCT unit. The transformation of isobutene to regular
butanes will be carried out using CBI's CDIsis technology, which
substantially increases the amount of polymer-grade propylene
obtainable from the C4 feed stream.
Last week, the company has received another engineering services
contract from Pesky Koncern Naftowy Orlen S.A. (PKN). This contract
entails extension of CBI's OCT technology for production of 100,000
metric tons per annum (MTA) of propylene at PKN's forthcoming
on-purpose propylene production facility in Plock,
Chicago Bridge & Iron currently has a Zacks Rank #3 (Hold).
Some better-ranked stocks in the sector include Willdan Group Inc.
), IDEX Corporation (
) and VSE Corp. (
). All three stocks carry a Zacks Rank #2 (Buy).
Want the latest recommendations from Zacks Investment Research?
Today, you can download 7 Best Stocks for the Next 30 Days.
Click to get this free report
CHICAGO BRIDGE (CBI): Free Stock Analysis
WILLDAN GROUP (WLDN): Get Free Report
VSE CORP (VSEC): Free Stock Analysis Report
IDEX CORP (IEX): Free Stock Analysis Report
To read this article on Zacks.com click here.