Foster Wheeler AG
) Global Engineering and Construction Group have been pretty busy
lately winning deals. The division announced last Tuesday that it
has won a pre-feasibility study contract from the Kuwait-based
Petrochemical Industries Company for their proposed aromatic
The financial terms of this deal remain undisclosed, though it
will be recorded in the third quarter of Foster. The scope of the
contract requires Foster to provide its comprehensive experience
in chemical industry along with its profound technical expertise.
The pre-feasibility study along with a market report is scheduled
to complete in the fourth quarter of 2013.
This comes close on the heels of a deal win from Abu Dhabi
Polymers Company Ltd. late last month which required Fosters to
provide engineering and consultancy services in the United Arab
Emirates in the middle east region.
By establishing such long term sustainable relations, Foster
expects to achieve its key strategic objective of having a strong
presence in the Middle Eastern region. Hence, this contract marks
an important milestone for Foster Wheeler, as Middle East is one
of the primary growth regions for Foster's business. During
fiscal 2012, Middle East contributed 7.3% of the total geographic
revenue and 9.7% of the total revenue generated by the Global
Engineering and Construction division. Further, about 26.8% of
the total new orders booked by Foster in fiscal 2012 were from
the Middle East region.
Fosters E&C division also won a contract from Wood
Mackenzie to provide consultancy services for two projects in
Peru and another one from LLC KINEF in Russia on in late
Foster Wheeler's Global E&C Group provides technical and
economic analyses and study reports to owners, investors,
developers, operators and governments. These services include
concept and feasibility studies, market studies, asset
assessments, environmental assessments, energy and emissions
management, product demand and supply modeling and technology
Foster currently has a Zacks Rank #2 (Buy). Other stocks in
the industry worth buying at the moment are
Jacobs Engineering Group Inc.
Pernix Group Inc
) all three carry a Zacks Rank #2 (Buy).
FOSTER WHELR AG (FWLT): Free Stock Analysis
JACOBS ENGIN GR (JEC): Free Stock Analysis
KBR INC (KBR): Free Stock Analysis Report
PERNIX GROUP (PRXG): Get Free Report
To read this article on Zacks.com click here.