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BP plc BP has solidified its 70-year collaboration with United States-based KBR, Inc. KBR through a new global agreement that spans BP’s onshore, offshore, greenfield and brownfield conventional energy projects as well as its new energy initiatives. This partnership highlights the company’s commitment to leveraging KBR’s proven expertise to deliver cutting-edge energy solutions.
Under the three-year deal, KBR will provide engineering, procurement and construction management (EPCM) services across BP’s global energy portfolio. The agreement also includes an option for a two-year extension. KBR will also deliver licensed technology solutions to BP, highlighting its adaptability across both conventional and sustainable energy industries.
Jay Ibrahim, president of KBR Sustainable Technology Solutions, expressed enthusiasm for the extended partnership, emphasizing the company’s dedication to safely and effectively delivering quality projects. The collaboration will involve teams from key global hubs, including Houston, Baku, Abu Dhabi and Singapore, leveraging KBR’s expertise to execute complex projects worldwide.
Over the years, KBR has played a pivotal role in BP’s major projects, including initiatives in the United States, North Sea, Iraq and Azerbaijan. Notable contributions include work on the Shah Deniz field, where operations recently faced a suspension due to a subsea pipeline issue. The new agreement significantly expands KBR’s scope, providing comprehensive EPCM services to BP’s extensive energy portfolio.
This agreement comes on the heels of KBR’s recent successes, including securing a front-end engineering design contract for the Qalhat LNG complex in Oman, part of the Sur LNG Train 4 project aimed at enhancing the region’s LNG capacity.
For BP, this deal aligns with its strategy to strengthen its global operations while transitioning to cleaner energy solutions. The partnership with KBR is poised to drive innovation and efficiency in both conventional and new energy projects, cementing their shared commitment to a sustainable energy future.
BP's Zacks Rank & Key Picks
BP and KBR currently carry a Zack Rank #3 (Hold) each.
Investors interested in the energy sector may look at a couple of better-ranked stocks like Sunoco LP SUN and TechnipFMC plc FTI. While Sunoco presently sports a Zacks Rank #1 (Strong Buy), TechnipFMC carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.