KBR Allies With JM to License FORMOX Integrated UFC Technology
KBR's ammonia technology to be used for low-cost production of UFC for higher grade urea.
KBR, Inc. KBR has entered into a contract to license the FORMOX Integrated UFC Technology (iUFC).
The iUFC technology will integrate Johnson Matthey’s (JM) methanol and UFC production processes with KBR's proprietary ammonia process for both new installations and as retrofits for existing units. This will enable low-cost production of UFC for higher grade urea.
KBR’s Technology unit president, Doug Kelly, said, "Following our successful alliance for ammonia–methanol coproduction with JM last year, KBR is excited to offer the iUFC process for new and existing fertilizer complexes to efficiently upgrade their end products. With KBR's market leading ammonia technology, this offering will allow integrated fertilizer complexes to upgrade their urea quality for maximizing crop yields while ensuring the lowest carbon footprint."
Both KBR and JM's respective technology showcases a long history, profound experience, continuous improvements along with cutting-edge performance.
Sustainable Technology Business a Boon for KBR
The Sustainable Technology Solutions segment — comprising 20.3% of the company’s total revenues — includes Energy Solutions, Technology Solutions and Non-strategic Business segments. This segment is anchored by innovative, proprietary process technologies.
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KBR’s best-in-class technologies have been designing and building end-to-end, sophisticated digitization solutions and services for clients across the world. This includes high-fidelity operator training simulators, reliability-based maintenance solutions, dynamic simulation solutions, advanced process control solutions and more. These notable digitized technologies and solutions allow companies to increase efficiency and productivity, reduce costs, and create opportunities for generating higher revenues and profitability.
Since 1940, KBR has licensed, engineered and constructed more than 244 ammonia plants throughout the world. Additionally, the segment integrates proprietary KBR technologies, knowledge-based services and the company’s three specialty consulting brands — Granherne, Energo and GVA — under a sole customer-centric business across the world. KBR, with focus on climate change, has developed and/or designed several sustainable as well as renewable fuel projects across the globe over the past decade.
Overall, it has been driving growth by focusing on lowering carbon emissions, product diversification, energy efficiency, and more sustainable technologies as well as solutions. Demand for the company’s technologies across ammonia for food productions, olefins for non-single-use plastics, and in refining for product diversification and more green solutions to meet tighter environmental standards has been strong. A strategic shift to IP-enabled maintenance is gaining traction and KBR — which shares space with AECOM ACM, Jacobs Engineering Group Inc. J and Quanta Services Inc. PWR in the Zacks Engineering - R and D Services industry — continues to see increasing activity across the advisory portfolio, particularly in energy transition.
Solid Backlog Level & Share Performance
As of Jun 30, 2021, total backlog was $19.9 billion compared with $19 billion at 2020-end. Of the total backlog, Government Solutions booked $12.4 billion. The Sustainable Technology Solutions segment accounted for $2.5 billion of the total backlog.
KBR’s solid prospects are backed by continuous contract wins, strong project execution, backlog level, and potential government as well as technology businesses. KBR’s shares have gained 23.8% in the year-to-date period, marginally outperforming the Zacks Engineering - R and D Services industry’s 21.7% growth.
The Zacks Consensus Estimate for the Zacks Rank #2 (Buy) company’s 2021 earnings indicates a 23.7% increase from 2020. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Quanta Services, Inc. (PWR): Free Stock Analysis Report
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