ICA Fluor Awarded Fabrication Contract for Shell’s Heavy Oil Extraction Project in Canada
October 30 2014 - 7:00PM
Business Wire
Fluor Corporation (NYSE: FLR) announced that ICA Fluor, its
industrial engineering, fabrication and construction joint venture
with Empresas ICA, S.A.B. de C.V. (BMV and NYSE: ICA), signed a
contract with Shell Canada Energy to supply modular fabrication and
procurement services for 13 well pads for heavy oil extraction at
Shell’s Carmon Creek project currently under construction in
northern Alberta. The project is expected to produce about 80,000
barrels per day of heavy oil from Shell’s Peace River Operations
using steam recovery methods. The initial contract awarded to ICA
Fluor is worth US$264 million, and Fluor will book its $132 million
share in the fourth quarter of 2014.
“This project is a major step for our company,” said Juan Carlos
Santos, director general of ICA Fluor. “We are proud of this
certification of our fabrication yards’ capabilities and work
processes, and we look forward to supporting Shell on their North
American projects.”
ICA Fluor will fabricate the modules at the El Empalme yard,
property of its wholly-owned subsidiary, Industria del Hierro,
located in Tampico, Tamaulipas, Mexico. The completion is scheduled
for December 2017.
“This is a great opportunity for ICA Fluor, for Mexico’s labor
force and for the Tampico region,” said Lucía Bustamante,
communications and government relations director for Shell Mexico.
“After a solid certification process, negotiations and several site
visits for further assessment, the final outcome is a successful
enterprise framework agreement that will add value to the Shell
Carmon Creek project.”
This contract is the first award under the multi-year frame
agreement signed with Shell Global Solutions International U.S. for
projects in North America in June 2014. It is also the first
fabrication work ICA Fluor/Industria del Hierro will perform for a
project in Canada.
Shell Mexico’s sourcing office promotes the use of Mexican
suppliers on a global basis that have been already qualified
according to Shell’s technical and health, safety, security and
environmental standards. This opportunity clearly provides
diversification of demand for Mexican suppliers. This award
reinforces ICA Fluor’s fabrication capabilities and competitiveness
to support projects located around the world.
Module fabrication enhances safety performance by transferring
work at heights to ground level and improves quality and
productivity by working in a controlled yard environment. The
approach can shorten construction schedules by allowing
simultaneous activities at both the job site and fabrication yard.
It also reduces site congestion, minimizes impacts to existing
facilities and reduces risks and costs associated to
weather-related impacts.
About Shell
For more information, please contact Paulina Rensoli Meana at
paulina.rensolimeana@shell.com.
About ICA Fluor
ICA Fluor is the leading industrial engineering-construction
company in Mexico, dedicated to the engineering, procurement,
construction and maintenance of industrial facilities in the oil
and gas, chemical, petrochemical, automotive, power, mining and
telecommunication industries.
About ICA
Empresas ICA, S.A.B. de C.V. is Mexico's largest infrastructure
company. ICA carries out large-scale civil and industrial
construction projects and operates a portfolio of long-term assets,
including airports, toll roads, water systems, and real estate.
Founded in 1947, ICA is listed on the Mexican and New York Stock
exchanges. For more information, visit www.ica.com.mx/ir.
About Fluor Corporation
Fluor Corporation (NYSE: FLR) is a global engineering and
construction firm that designs and builds some of the world's most
complex projects. The company creates and delivers innovative
solutions for its clients in engineering, procurement, fabrication,
construction, maintenance and project management on a global basis.
For more than a century, Fluor has served clients in the energy,
chemicals, government, industrial, infrastructure, mining and power
market sectors. Headquartered in Irving, Texas, Fluor ranks 109 on
the FORTUNE 500 list. With more than 40,000 employees worldwide,
the company's revenue for 2013 was $27.4 billion. Visit Fluor at
www.fluor.com and follow on Twitter @FluorCorp.
Fluor CorporationMedia RelationsBrian Mershon,
469-398-7621orEric Krantz, 281-263-6030orInvestor RelationsKen
Lockwood, 469-398-7220orJason Landkamer, 469-398-7222
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