- Oil & Gas awards total $101 million
- UTD MSA contract extensions of $13 million
HOUSTON, July 31, 2017 (GLOBE NEWSWIRE) -- Willbros Group, Inc. (NYSE:WG) today announced its Oil & Gas segment has executed pipeline and facilities contracts valued at $30 million and has also received a limited notice-to-proceed award which, upon finalization of the contract, has an estimated total value of $71 million. In addition, its Utility T&D segment has finalized extensions of existing Master Service Agreements (“MSA’s”) valued at approximately $13 million.
Approximately $20 million of these awards were additions to second quarter 2017 backlog while the remaining $94 million are anticipated to be third quarter 2017 backlog additions. This work consists of:
- Oil & Gas Segment
- The Facilities business unit has received a limited notice-to-proceed award to install various manifolds, connect piping and complete necessary tie-ins in southeast Texas. Work has commenced under the notice-to-proceed cap of $19 million, pending finalization of the contract, and is anticipated to be completed near the end of the year.
- A contract to construct one additional booster station in the Midwest, bringing the project total to six. Construction of the booster stations will be completed by the second quarter of 2018.
- A $15 million contract to construct approximately 15 miles of 12” pipeline in the Northeast. Work has commenced in the third quarter of 2017 with completion expected by the end of the year.
- The Lineal business unit has won small diameter jobs in the Marcellus/Utica area valued at approximately $12 million.
- The Facilities business unit has received a limited notice-to-proceed award to install various manifolds, connect piping and complete necessary tie-ins in southeast Texas. Work has commenced under the notice-to-proceed cap of $19 million, pending finalization of the contract, and is anticipated to be completed near the end of the year.
- Utility T&D Segment
- The WTD East business unit executed one-year MSA contract extensions with a key client.
Mike Fournier, President and CEO, said, “This work, coupled with the $50 million in awards announced last month, provides us with better visibility in our Oil & Gas segment for the remainder of the year. We continue to have solid visibility in our Utility T&D segment while the Canadian market remains challenging.”
About Willbros
Willbros is a specialty energy infrastructure contractor serving the oil and gas and power industries with offerings that primarily include construction, maintenance and facilities development services. For more information on Willbros, please visit our web site at www.willbros.com.
This announcement contains forward-looking statements. All statements, other than statements of historical facts, which address activities, events or developments the Company expects or anticipates will or may occur in the future, are forward-looking statements. A number of risks and uncertainties could cause actual results to differ materially from these statements, including unanticipated accounting or other issues regarding any material weaknesses in internal control over financial reporting; inability of the Company or its independent auditor to confirm relevant information or data; unanticipated issues that prevent or delay the Company’s independent auditor from completing its review of financial statements or that require additional efforts, procedures or review; the untimely filing of financial statements; pending and potential investigations and lawsuits; the identification of one or more issues that require restatement of one or more other prior period financial statements; ability to remain in compliance with, or obtain additional waivers or amendments under, the Company's existing loan agreements; the existence of other material weaknesses in internal control over financial reporting; contract and billing disputes; availability of quality management; availability and terms of capital; changes in, or the failure to comply with, government regulations; the promulgation, application, and interpretation of environmental laws and regulations; future E&P capital expenditures; oil, gas, gas liquids, and power prices and demand; the amount and location of planned pipelines; development trends of the oil and gas, and power industries; as well as other risk factors described from time to time in the Company's documents and reports filed with the SEC. The Company assumes no obligation to update publicly such forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by law.