ENG Awarded Fuel Handling Contract from Defense Logistics Agency

Rhea-AI Summary

ENG (NASDAQ:ENG) has secured a $4.4 million contract extension from the Defense Logistics Agency (DLA) to provide support for Automated Fuel Handling Equipment (AFHE) at a confidential facility. This contract includes eleven monthly release orders, each valued at approximately $400,000, with a total of about $1.6 million issued through April 2022. ENG has provided fueling system solutions to the U.S. military for 17 years, operating at over 150 locations and expanding services for federal and state clients.

Positive

• Awarded a $4.4 million contract extension from DLA, indicating strong demand for services.
• Contract includes eleven monthly release orders, enhancing revenue stability.
• ENG's long-standing relationship with the U.S. military strengthens reputation and future opportunities.

Negative

• None.

HOUSTON, TX / ACCESSWIRE / January 6, 2022 / ENG (NASDAQ:ENG), a leading provider of innovative, project delivery solutions for the energy industry, today announced that its wholly-owned subsidiary, ENGlobal Government Services, Inc. (EGS), has been awarded a $4.4 million contract extension by the Defense Logistics Agency (DLA), a sub-tier of the Department of Defense, to provide Automated Fuel Handling Equipment (AFHE) support at an undisclosed DLA facility.

The contract extension consists of eleven monthly release orders valued at approximately $400,000 each. Thus far, the DLA has issued release orders through April 2022 for a current total of approximately $1.6 million.

EGS is one of three prime contractors regularly serving under the DLA's AFHE interim support system. EGS' work on these assignments typically includes technology upgrades and refreshes of existing AFHE systems at multiple U.S. military bases located throughout the world.

ENG has provided diverse fueling system solutions to the U.S. Military for the past 17 years, working at over 150 locations, and continues to expand our services to meet the needs of our federal, state, and local government clients.

"We are proud to receive this assignment from the DLA, one of our most valued clients. As always, we look forward to applying our engineering expertise in this vital area of our nation's defense infrastructure," said Mr. Kevin Holfeld, EGS' Sr. Vice President.

About ENG

ENG (NASDAQ:ENG) is a leading provider of complete project solutions for renewable and traditional energy throughout the United States and internationally. ENG operates through two business segments: Commercial and Government Services. The Commercial segment provides engineering, design, fabrication, construction and integration of automated control systems as a complete packaged solution for our clients. The Government Services segment provides engineering, design, installation, operations, and maintenance of various government, public sector, and international facilities, specializing in turnkey automation and instrumentation systems for the U.S. Defense industry worldwide. Further information about the Company and its businesses is available at www.englobal.com.

Safe Harbor for Forward-Looking Statements

The statements above regarding the Company's expectations, including those relating to its future results, its operations and certain other matters discussed in this press release may constitute forward-looking statements within the meaning of the federal securities laws and are subject to risks and uncertainties. For a discussion of risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see ENG's filings with the Securities and Exchange Commission, including the Company's most recent reports on Form 10-K and 10-Q, and other SEC filings.

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CONTACT:
Market Makers - Investor Relations
Jimmy Caplan
512-329-9505
Email: jimmycaplan@me.com

Market Makers - Media Relations
Rick Eisenberg
212-496-6828
Email: eiscom@msn.com

SOURCE: ENGlobal

View source version on accesswire.com:
https://www.accesswire.com/681152/ENG-Awarded-Fuel-Handling-Contract-from-Defense-Logistics-Agency

FAQ

What is the value of the contract awarded to ENG by the DLA?

ENG was awarded a contract extension valued at $4.4 million.

How many release orders are included in the DLA contract for ENG?

The contract includes eleven monthly release orders.

How much has the DLA issued in release orders to ENG so far?

The DLA has issued approximately $1.6 million in release orders through April 2022.

What type of services does ENG provide under the DLA contract?

ENG provides Automated Fuel Handling Equipment (AFHE) support, including technology upgrades and system refreshes.

What is ENG's experience with the U.S. military?

ENG has provided fueling system solutions to the U.S. military for 17 years, working at over 150 locations.