KBC Advanced Technologies (AIM:KBC) – huge contract award and well placed to acquire
The leading consultancy and software provider to the global hydrocarbon processing industry has announced a massive US$48.6m consulting contract award with a South American oil and gas company. With the shares having sold off with the oil price over the past few weeks, this news is a reminder there is still plenty of business out there
The two year contract award from a South American oil and gas company is an expansion and extension of an existing relationship and will see KBC immediately expand its support to the refinery with a focus on providing operational readiness and management support for the upcoming revamping of its facilities. The contract is worth more than US$48.6m to KBC over a 24 month period and extends the current contractual relationship to 2018. To get a sense of the significance of this award revenue for the 6 months ending 30th June 2014 was £34m! With the placing in May 2014 raising…