Energy-industrial contractor CB&I had a good month of July on the heels of several large EPC contracts, particularly a $2.3-billion joint-venture award for a mechanical, electrical and instrumentation contract on the estimated $19-billion Gorgon liquified-natural-gas, or LNG project in Australia.Awarded to the joint venture of Netherlands-based CB&I and Australia-based Kentz, the work includes gas processing, compression and associated utilities, CB&I says. Set to finish in 2015, the project, a development of several international energy companies, could produce 15 million tons of gas a year. CB&I has a 65% stake in the JV. “This will be the largest LNG export facility
The market is generally healthy and steadily growing, and margins are up for large specialty contractors. Further, advances in design tools and owner demand for collaboration are giving subcontractors a seat at the table early on in projects.