) recently received a contract from Dyno Nobel, a US-based
business of Incitec Pivot Limited, to provide engineering,
procurement and construction (EPC) services for an ammonia plant
to be built in Waggaman, La. In addition, the contract also
includes that KBR will be providing technology licensing and
equipment for the same plant.
The facility having a capacity of producing 800,000 metric
tons of ammonia annually will be deploying KBR's trusted and
tested PurifierTM technology. This technology will help the
facility to operate with lowest energy consumption. The contract
is worth $600 million.
In addition, this contract confirms the fact that KBR is a
trusted leader in the ammonia plant technology. Recently, in
order to strengthen its position in ammonia processing, the
company formed a new technology alliance with Yokogawa Electric
Corporation for a fertilizer automation package.
The strategic tie-up is expected to 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.
Since the technology alliance, the contract from Dyno Nobel is
the second contract. Prior to this KBR won a turnaround services
contract from a leading supplier of agricultural products. The
scope of the contract involves providing turnaround services for
the agricultural company's ammonia furnace revamp and supporting
expansion project in Borger, Texas. The proposed plant turnaround
services are expected to increase efficiencies and operational
life of the furnace that will be designed by KBR.
KBR currently holds a Zacks Rank #3 (Hold). Other stocks worth
a look in the services sector are
Chicago Bridge & Iron
AECOM Technology Corporation
Jacobs Engineering Group Inc.
); all having a Zacks Rank #2 (Buy).
AECOM TECH CORP (ACM): Free Stock Analysis
CHICAGO BRIDGE (CBI): Free Stock Analysis
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KBR INC (KBR): Free Stock Analysis Report
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