KBR Bags Front End Engineering Design Contract From Equinor Canada

KBR, Inc's KBR Canadian entity has received a Letter of Intent (LOI) from Equinor ASA EQNR Canada. Financial terms were not disclosed.
The LOI is for the front-end engineering design (FEED) of the topside facilities of the new Bay Du Nord floating production, storage, and offloading facility (FPSO) to be located offshore Newfoundland, Canada.
The Bay du Nord FPSO is a deep-water facility utilizing technology and digital solutions to ensure safe and reliable production.
The agreement also includes an option for the continuation of detailed design and procurement management services through to the final completion of the FPSO.
The FEED scope comes on the back of the pre-FEED engineering carried out by KBR in 2022. During the FEED engineering, KBR will continue to assist Equinor in developing one of the world's lowest carbon-emitting FPSOs.
KBR will carry out the work scope in collaboration with Canadian subcontractor Hatch Ltd.
Price Action: EQNR shares are trading higher by 5.56% at $30.01 premarket Monday. KBR shares closed higher by 1.23% at $55.05 on Friday.