AECOM joint venture selected by U.S. Department of Interior to remediate orphaned oil and gas wells

Rhea-AI Summary

AECOM's SLICOM joint venture has been awarded a contract by the U.S. Department of Interior Bureau of Land Management to support the Federal Orphaned Well Program, funded with $4.7 billion through the IIJA. The program aims to address risks from abandoned oil and gas wells on federal lands. AECOM's industry-leading air quality experts will play a key role in mitigating methane pollution. The company's small business partnership with Street Legal Industries is integral to their work.

Positive

• AECOM's SLICOM joint venture awarded contract for Federal Orphaned Well Program
• $4.7 billion funding through IIJA
• AECOM's air quality experts to mitigate methane pollution

Negative

• None.

DALLAS--(BUSINESS WIRE)-- AECOM (NYSE: ACM), the world’s trusted infrastructure consulting firm, today announced that its SLICOM joint venture with managing partner Street Legal Industries has been awarded an indefinite delivery, indefinite quantity contract by the U.S. Department of Interior Bureau of Land Management to support the government’s Federal Orphaned Well Program. The multi-state, multi-agency program—supported by $4.7 billion in funding through the Infrastructure Investment and Jobs Act (IIJA)—addresses the significant risks to human and environmental health from abandoned oil and gas wells in national parks, national forests, national wildlife refuges, and other federal lands throughout the United States.

“Millions of Americans live within a mile of orphaned oil and gas wells that pollute the air and water, are a source of climate warming emissions, and pose public safety hazards,” said Frank Sweet, chief executive of AECOM’s global Environment business. “Harnessing the passion of our technical experts, deeply aligned with the core principles of AECOM’s Sustainable Legacies strategy, we look forward to making a positive impact through this critical environmental remediation program that will spur economic development in effected communities.”

The SLICOM joint venture will deliver a range of services required for remediation following more than 150 years of oil and gas production on federal lands nationwide. The program includes planning; environmental assessments, permitting, testing, and compliance; investigations of abandoned oil and gas wells; digital and geographic information system services; and project inspection services. A major initiative within the program is mitigating harmful methane pollution, which is a key contributor to climate change. By leveraging its cutting-edge technology for methane monitoring, AECOM’s industry-leading air quality experts will be key to the team’s successful delivery.

“We are proud of our industry-leading supplier diversity program and thrilled that we are continuing to build on our successful collaboration with our small business protégé Street Legal Industries through this new contract,” said Karl Jensen, executive vice president of AECOM’s National Governments business. “These small business partnerships positively impact the environment and communities nationwide, and they are integral to our work to deliver a better world.”

Street Legal Industries is an 8(a), woman-owned small business that is participating in the U.S. Small Business Administration mentor-protégé program with AECOM as their large business mentor. In this rigorous six-year program, large federal contractors are paired with small and diverse firms to help grow their capabilities with the objective of becoming more competitive in the federal market. AECOM has formally mentored 12 firms in federal agency mentor-protégé programs over the past five years and has been recognized with numerous national awards for its commitment to meaningful small business partnerships.

About AECOM
AECOM (NYSE: ACM) is the world’s trusted infrastructure consulting firm, delivering professional services throughout the project lifecycle – from advisory, planning, design and engineering to program and construction management. On projects spanning transportation, buildings, water, new energy and the environment, our public- and private-sector clients trust us to solve their most complex challenges. Our teams are driven by a common purpose to deliver a better world through our unrivaled technical and digital expertise, a culture of equity, diversity and inclusion, and a commitment to environmental, social and governance priorities. AECOM is a Fortune 500 firm and its Professional Services business had revenue of $13.1 billion in fiscal year 2022. See how we are delivering sustainable legacies for generations to come at aecom.com and @AECOM.

Forward-Looking Statements
All statements in this communication other than statements of historical fact are “forward-looking statements” for purposes of federal and state securities laws, including any statements of the plans, strategies and objectives for future operations, profitability, strategic value creation, risk profile and investment strategies, and any statements regarding future economic conditions or performance, and the expected financial and operational results of AECOM. Although we believe that the expectations reflected in our forward-looking statements are reasonable, actual results could differ materially from those projected or assumed in any of our forward-looking statements. Important factors that could cause our actual results, performance and achievements, or industry results to differ materially from estimates or projections contained in our forward-looking statements include, but are not limited to, the following: our business is cyclical and vulnerable to economic downturns and client spending reductions; limited control over operations that run through our joint venture entities; liability for misconduct by our employees or consultants; failure to comply with laws or regulations applicable to our business; maintaining adequate surety and financial capacity; potential high leverage and inability to service our debt and guarantees; ability to continue payment of dividends; exposure to political and economic risks in different countries, including tariffs; currency exchange rate and interest fluctuations; retaining and recruiting key technical and management personnel; legal claims; inadequate insurance coverage; environmental law compliance and adequate nuclear indemnification; unexpected adjustments and cancellations related to our backlog; partners and third parties who may fail to satisfy their legal obligations; AECOM Capital real estate development projects; managing pension cost; cybersecurity issues, IT outages and data privacy; risks associated with the expected benefits and costs of the sale of our Management Services and self-perform at-risk civil infrastructure, power construction and oil and gas construction businesses, including the risk that any contingent purchase price adjustments from those transactions could be unfavorable and result in lower aggregate cash proceeds and any future proceeds owed to us under those transactions could be lower than we expect; as well as other additional risks and factors that could cause actual results to differ materially from our forward-looking statements set forth in our reports filed with the Securities and Exchange Commission. Any forward-looking statements are made as of the date hereof. We do not intend, and undertake no obligation, to update any forward-looking statement.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230926834171/en/

Media Contact:

Brendan Ranson-Walsh

Senior Vice President, Global Communications

1.213.996.2367

Brendan.Ranson-Walsh@aecom.com

Investor Contact:

Will Gabrielski

Senior Vice President, Finance, Treasurer

1.213.593.8208

William.Gabrielski@aecom.com

Source: AECOM