SNC-Lavalin
Third on our list is Canada-based contractor SNC-Lavalin. In March the company announced that it had been awarded a significant oil and gas contract in the Middle East with an approximate value of $800mn. The project will involve developing the infrastructure and processing facilities for a gas field, with SNC-Lavalin’s lump sum turnkey engineering, procurement and construction (EPC) scope on the project including connecting gas producing wells into the main processing plant.
Late last year, Qatargas awarded a contract to SNC-Lavalin for a water recycling facility at its Laffan Refinery 2 plant in Ras Laffan Industrial City. SNC-Lavalin is providing engineering, procurement, supply, construction and commissioning services for the recycling facility to handle treated industrial water from the Laffan Refineries 1 and 2. The contract is expected to be completed in Q1 2017. SNC-Lavalin was also awarded a contract in mid-2014 by the Abu Dhabi Company for Onshore Oil Operations (ADCO), a subsidiary of Abu Dhabi National Oil Company (ADNOC), to provide a front-end engineering design (FEED) study for Phase 2 of the Qusahwira Oil Field.
The firm also tripled its adjusted profits in Q4 2015 to $0.33 per share compared with the $0.11 per share achieved in the same period in 2014. After years of weathering successive corruption cases in multiple countries and all the associated legal costs, the company’s adjusted Q4 2015 net income rose to $49.2mn, from $16.9mn in 2014. The company said it anticipated earnings to rise in 2016 to between $1.12 per share and $1.27 per share.
By the end of 2015, SNC’s backlog stood at $8.94bn, and the company started 2016 strongly, winning the $600mn oil and gas project in Qatar, as well as a $1bn nuclear plant project in Ontario, Canada.
