WorleyParsons Limited’s Shares Uplifted After Being Awarded E&C And EPC Contracts By ConocoPhillips

  • Nov 07, 2018 AEDT
  • Team Kalkine
WorleyParsons Limited’s Shares Uplifted After Being Awarded E&C And EPC Contracts By ConocoPhillips

On 7 November 2018, WorleyParsons Limited (ASX: WOR) announced that it has been awarded a frame agreement for engineering and construction (E&C) services and an engineering, procurement and construction (EPC) contract in the UK with ConocoPhillips U.K., Ltd. Following this news, the share price of the company increased by 10.199 percent as on 7 November 2018.   

Under the E&C contract, the company will provide E&C services to assets in the central and southern North Sea and under the EPC contract, the company will provide EPC services, including pre-commissioning and commissioning, for a subsea tieback project to an existing platform. WorleyParsons’ UK Integrated Solutions will provide the services for both the contracts. WorleyParsons’ CEO Mr. Andrew Wood said the management of the company is delighted to continue its long-term relationship with ConocoPhillips in the ongoing development and support of their North Sea assets.

The company also made an announcement stating that the Rosenberg WorleyParsons has been awarded an EPCI contract by Lundin Norway ASO in the Norwegian Continental Shelf. The services include planning, engineering, prefabrication, offshore installation and commissioning support. The objective of the modification is to prepare Lundin’s Edvard Grieg platform to receive and process oil and gas from nearby offshore fields. The project will start immediately, and it has a duration of two and a half years and the WorleyParsons Rosenberg in Stavanger will execute all the services of the project.

Further, the company also provides update in relation to the Retail Entitlement Offer of its 1 for 1.47 accelerated non-renounceable pro-rata entitlement offer which was announced on 22 October 2018. The Retail Entitlement Offer is closing at 5:00pm (AEDT) on 7 November 2018 and will raise around $1.1 billion at $15.56 per share and together with the institutional component of the Entitlement Offer, the total amount raised under the Entitlement Offer will be approximately $2.9bn.

The company’s largest shareholder Dar Group took up approximately $185 million of its entitlements through the Institutional Entitlement Offer and has today provided a binding commitment to take-up its remaining $476 million in entitlements in the Retail Entitlement Offer. This will result in Dar Group taking up 100% of its entitlements under the Entitlement Offer.

In FY18, the aggregate revenue of the company increased by more than 8.5 percent to $4,749.2m compared to last year. The underlying EBIT margin on aggregated revenue for the Group grew to 6.3 percent in FY18 compared with 5.9 percent in FY17. The operating cash flow of the company uplifted from $78.9m in FY17 to $259.7m in FY18. The net debt of the company decreased to $662.5m. The return on equity increased from 5.5 percent in FY17 to 6.8 percent in FY18.

In the last six months, the share price of the company decreased by 8.97 percent as on 6 November 2018, and traded at PE level of 60.390x. WOR’s shares traded at $15.505 with a market capitalization of circa $5.48 billion as on 7 November 2018 (AEST 3:30 PM).


The advice given by Kalkine Pty Ltd and provided on this website is general information only and it does not take into account your investment objectives, financial situation or needs. You should therefore consider whether the advice is appropriate to your investment objectives, financial situation and needs before acting upon it. You should seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice) as necessary before acting on any advice. Not all investments are appropriate for all people. Kalkinemedia.com and associated websites are published by Kalkine Pty Ltd ABN 34 154 808 312 (Australian Financial Services License Number 425376). website), employees and/or associates of Kalkine Pty Ltd do not hold positions in any of the stocks covered on the website. These stocks can change any time and readers of the reports should not consider these stocks as advice or recommendations.


All pictures are copyright to their respective owner(s).Kalkinemedia.com does not claim ownership of any of the pictures displayed on this website unless stated otherwise. Some of the images used on this website are taken from the web and are believed to be in public domain. We have used reasonable efforts to accredit the source (public domain/CC0 status) to where it was found and indicated it below the image.


There is no investor left unperturbed with the ongoing trade conflicts between US-China and the devastating bushfire in Australia.

Are you wondering if the year 2020 might not have taken the right start? Dividend stocks could be the answer to that question.

As interest rates in Australia are already at record low levels, find out which dividend stocks are viewed as the most attractive investment opportunity in the current scenario in our report.

We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK