) added to its newly formed Oil & Gas division a nearly $130
million contract. The new division was formed with the completion
of the acquisition of Flint Energy Services Ltd. With this
acquisition, the URS expanded its presence in the oil and gas
As per the contract, the company will act as a pipeline
construction contractor for an important Steam Assisted Gravity
Drainage (SAGD) oil sands project in the Wood Buffalo Region near
Fort McMurray, Alberta. URS Corp. will begin its work in the second
quarter of 2012 and will continue until mid-2013.
The company will build pipelines both below and above the ground
and will provide access platforms and valve stations. In this
project, gas, oil, water and steam pipelines of about 8 to 24
inches in diameter will be laid down over 70 kilometers.
The company announced the completion of Flint Energy acquisition
on May 14, 2012. The North American unconventional oil and gas
segments have been growing and with this acquisition URS will
derive significant benefit in these segments.
The company will now be able to provide a comprehensive set of
engineering, procurement and construction services to its energy
sector clients. Investments in energy sector have increased
substantially, especially in developing countries, providing good
prospect for the companies operating in the sector.
URS Corp. provides engineering, construction and technical
services. The company offers a broad range of program management,
planning, design, engineering, construction and construction
management, operations and maintenance, and decommissioning and
closure services to public agencies and private sector clients
globally. Major competitors of URS are
AECOM Technology Corporation
We currently maintain our Neutral rating on URS Corp. with a
Zacks #3 Rank (short-term Neutral recommendation) over the next
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