Engineering and construction firm,
) inked an agreement with the State Oil Company of the Azerbaijan
Republic (SOCAR). The contract relates to providing the front-end
engineering and design (FEED) services to the Gas Processing
Plant (GPP), located in the Oil-Gas Processing and Petrochemical
Complex (OGPC) in Azerbaijan.
The contract with KBR is expected to conclude by October 2013,
with the total completion of the project taking place in the late
2020's. The operations pertaining to the contract will be
undertaken by KBR's London based global engineering centers.
The gas processing plant consists of two different
sub-plants; a gas processing plant and a refinery plant. The gas
processing plant is currently in the FEED phase and carries a
production capacity of 10 billion to 12 billion cubic meters
annually. However, the refinery plant bears a capacity of 10
million tonnes per year, with a major portion of the production
targeted for export.
Last week, KBR was chosen by PT Panca Amara Utama (PAU), with
regard to its grassroots ammonia plant in Sulawesi, Indonesia.
Per the contract, KBR will provide licensing and engineering
services along with proprietary equipment for the plant. The
plant, when fully operational, will have a per day capacity of
2000 metric tonnes of Ammonia.
In the same week, KBR entered into yet another agreement with
the U.S. Army for its Logistics Civil Augmentation Program
(LOGCAP) IV contract. KBR will support the U.S. forces in the
kingdom of Bahrain, with its life support and logistics services.
The project tenure is estimated to be one year with a four year
extendable option. The estimated value is roughly $53.5
KBR currently holds a Zacks Rank #3 (Hold). Other stocks worth
a look in the services sector are
Global Partners LP
), holding a Zacks Rank #1 (Strong Buy). Also,
AECOM Technology Corporation
Anixter International Inc.
); both carry a Zacks Rank #2 (Buy).
AECOM TECH CORP (ACM): Free Stock Analysis
ANIXTER INTL (AXE): Free Stock Analysis
GLOBAL PARTNERS (GLP): Free Stock Analysis
KBR INC (KBR): Free Stock Analysis Report
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