Back to top

Image: Bigstock

KBR Wins Contract to Boost Sustainable Energy in Saudi Arabia

Read MoreHide Full Article

KBR, Inc. (KBR - Free Report) has been awarded a significant contract to support the sustainable production of energy resources in Saudi Arabia. This partnership with Saudi Aramco is part of the Master Expansion Program and aims to increase gas handling capacity at key regional locations, ensuring the Kingdom's energy requirements are met.

Under the contract, which runs through 2028, KBR will be involved in increasing and maintaining the maximum sustainable capacity across the Shaybah field's four Gas-Oil Separation Plants (GOSPs). This effort includes power plant enhancements and well injection facilities, which are crucial for Saudi Arabia’s energy future.

The project places a strong emphasis on sustainability, integrating carbon-free energy alternatives, carbon capture, and gas reinjection to reduce emissions. By optimizing existing equipment and GOSP plot space and evaluating a greenfield facility, the initiative supports Saudi Aramco’s 2060 net-zero goals, enhancing resource efficiency.

KBR’s Legacy of Partnership and Progress

KBR’s presence in Saudi Arabia spans over four decades of impactful collaboration. During this time, KBR has been pivotal in advancing key sectors such as energy, infrastructure, and sustainability. Consistently delivering innovative solutions, KBR’s work aligns with Saudi Arabia's ambitious Vision 2030. This enduring relationship reflects KBR's dedication to excellence and shared progress, further strengthening its position in the region.

KBR Share Price Performance

Zacks Investment Research
Image Source: Zacks Investment Research

KBR’s shares have lost 10.4% in the past six months compared with the Zacks Engineering - R and D Services industry’s 6.2% decline. Although high costs and expenses are posing concerns, increased activity in energy transition projects is likely to be beneficial in the upcoming period.

The awarded contract not only highlights KBR’s strategic positioning in the sustainable energy sector but also underscores its role in driving significant advancements in Saudi Arabia. KBR’s innovative approach and long-standing partnership with Saudi Aramco signify a robust growth trajectory, making it a compelling prospect for investors focused on sustainable and long-term gains.

KBR’s Zacks Rank & Key Picks

KBR currently carries a Zacks Rank #3 (Hold).

Here are some better-ranked stocks from the Construction sector.

Weyerhaeuser Company (WY - Free Report) currently sports a Zacks Rank of 1 (Strong Buy). WY delivered a trailing four-quarter earnings surprise of 41.6%, on average. The stock has lost 0.4% in the past six months. You can see the complete list of today’s Zacks #1 Rank stocks here.

The consensus estimate for WY’s 2025 sales and EPS indicates an increase of 8% and 71%, respectively, from a year ago.

Frontdoor, Inc. (FTDR - Free Report) currently sports a Zacks Rank of 1. FTDR delivered a trailing four-quarter earnings surprise of 269%, on average. The stock has gained 59.5% in the past six months.

The consensus estimate for FTDR’s 2025 sales and EPS indicates an increase of 6.4% and 1.4%, respectively, from a year ago.

MasTec, Inc. (MTZ - Free Report) currently carries a Zacks Rank #2 (Buy). MTZ delivered a trailing four-quarter earnings surprise of 40.2%, on average. The stock has rallied 50.6% in the past six months.

The Zacks Consensus Estimate for MTZ’s 2025 sales and EPS calls for an increase of 8.9% and 43.9%, respectively, from a year ago.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Weyerhaeuser Company (WY) - free report >>

KBR, Inc. (KBR) - free report >>

MasTec, Inc. (MTZ) - free report >>

Frontdoor Inc. (FTDR) - free report >>

Published in