Another milestone North Sea Offshore Platform Complex for KBR: Maersk Oil's Culzean Field
HOUSTON, UNITED STATES, Oct. 29, 2015 (GLOBE NEWSWIRE) -- KBR, Inc. (NYSE: KBR) announced today a significant award for detailed design engineering and follow-on services by SMOE PTE LTD, Singapore for the topsides facilities for Maersk Oil's Culzean project, in the UK Sector of the North Sea. Specifically, KBR will deliver the living quarters, central processing facility and well-head decks for the three platforms for the Culzean project.
"We are pleased to support this exciting and significant new UK North Sea project and to continue our long and successful history with SMOE and Maersk Oil as well as in the UK and Asia-Pacific region," said Stuart Bradie, KBR President and CEO. "For more than 50 years, KBR has been a world leader in designing and constructing fixed and floating offshore oil and gas facilities in challenging maritime environments around the globe. Our selection for this project is indicative of KBR's unique expertise, and competitive high quality and technologically advanced services," continued Bradie.
KBR has been supporting Maersk Oil and their co-venturers in the development of the concept and front-end engineering (FEED) for the Culzean gas field since May 2014 from KBR's Leatherhead, UK offices. KBR's world class engineering capability in the design of ultra-high pressure and high temperature (uHPHT) facilities has facilitated Maersk Oil's ability to proceed with the field development.
The sixteen month detailed design will commence immediately with the Leatherhead team transitioning the next phase of work to KBR's project team in Singapore. KBR will also provide follow-on services to SMOE for the whole thirty-two month duration of the project.
The project has capitalized on schedule opportunities during FEED by placing contracts for eighteen major equipment packages. KBR's strategy of supporting customers to de-risk project schedules by engagement of the supply chain early in the project life-cycle has been critical in scheduling first gas from Culzean for 2019.
Revenue associated with this project will be booked into backlog of unfilled orders for KBR's Engineering and Construction business segment in the fourth quarter of 2015. The project will start immediately and flow through to 2018, with the bulk of the work complete by mid- 2017.
About KBR, Inc.
KBR, Inc. is a global technology, engineering, procurement and construction company serving the hydrocarbons and government services industries, employing approximately 25,000 people worldwide with customers in more than 70 countries and operations in 40 countries across three distinct global businesses:
Technology & Consulting, including proprietary technology in refining, ethylene, ammonia and fertilizers, and gasification; and niche consulting and know-how through subsidiaries Granherne, Energo and GVA
Government Services, including program management and long term annuity contracts
KBR is proud to work with its customers across the globe to provide technology, value-added consulting services, integrated EPC delivery and Long Term Industrial Services to ensure consistent project delivery with predictable results. At KBR, we deliver.
The statements in this press release that are not historical statements, including statements regarding future financial performance, are forward-looking statements within the meaning of the federal securities laws. These statements are subject to numerous risks and uncertainties, many of which are beyond the company's control that could cause actual results to differ materially from the results expressed or implied by the statements. These risks and uncertainties include, but are not limited to: the outcome of and the publicity surrounding audits and investigations by domestic and foreign government agencies and legislative bodies; potential adverse proceedings by such agencies and potential adverse results and consequences from such proceedings; the scope and enforceability of the company's indemnities from its former parent; changes in capital spending by the company's customers; the company's ability to obtain contracts from existing and new customers and perform under those contracts; structural changes in the industries in which the company operates; escalating costs associated with and the performance of fixed-fee projects and the company's ability to control its cost under its contracts; claims negotiations and contract disputes with the company's customers; changes in the demand for or price of oil and/or natural gas; protection of intellectual property rights; compliance with environmental laws; changes in government regulations and regulatory requirements; compliance with laws related to income taxes; unsettled political conditions, war and the effects of terrorism; foreign operations and foreign exchange rates and controls; the development and installation of financial systems; increased competition for employees; the ability to successfully complete and integrate acquisitions; and operations of joint ventures, including joint ventures that are not controlled by the company.
KBR's most recently filed Annual Report on Form 10-K, any subsequent Form 10-Qs and 8-Ks, and other Securities and Exchange Commission filings discuss some of the important risk factors that KBR has identified that may affect the business, results of operations and financial condition. Except as required by law, KBR undertakes no obligation to revise or update publicly any forward-looking statements for any reason.
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