Fluor Joint Venture Moves One Step Closer to Completion and Startup of LNG Canada Train One with Placement of Final Weld
Fluor (NYSE: FLR) announces the completion of the final weld on the first production train at the LNG Canada project in Kitimat, British Columbia. This milestone marks significant progress in one of Canada's largest energy projects, with over 380 welders contributing since 2018.
The JGC-Fluor joint venture, responsible for various project aspects including engineering and construction, is now closer to introducing gas and commencing operations. LNG Canada, a collaboration among Shell, Petronas, PetroChina, Mitsubishi, and Korea Gas, is expected to produce 12.7 metric tonnes of LNG annually, with the first shipment slated for mid-2025. Fluor, with 34,000 employees and $15.5 billion in 2023 revenue, continues to lead in delivering capital-efficient projects globally.
- Completion of the final weld on the first production train at LNG Canada project.
- Significant milestone in one of Canada's largest energy projects.
- Project on track to introduce gas and start-up, with first LNG shipment expected by mid-2025.
- Fluor's involvement in a high-profile, capital-efficient project.
- None.
Insights
Fluor's announcement regarding the completion of the final weld on the first production train of the LNG Canada project marks a significant milestone in the energy sector. For retail investors, this development is noteworthy because it indicates progress towards the project's operational phase. With an initial capacity to produce 14 million tons of LNG per year, this project positions LNG Canada as a key player in the global LNG market, potentially enhancing North America's export capabilities.
In the short term, this milestone could boost investor confidence, reflecting positively on Fluor’s stock. However, investors should also be aware of potential risks such as project delays or cost overruns that could impact future earnings. Long-term benefits include increased revenue streams from the operational phase, positioning Fluor to capitalize on rising global LNG demand.
Rating: 1
The LNG Canada project is expected to significantly contribute to Fluor's financial performance. The completion of the final weld on Train One reduces execution risk, a key concern for large-scale projects. Fluor's revenue of
Short-term, this achievement may provide a stock price boost due to increased investor confidence. In the long term, successful project completion and operationalization offer revenue stability and potential growth. However, it is critical to monitor Fluor's continued ability to manage costs and maintain timelines to avoid negative financial impacts.
Rating: 1
Members of the Outside Battery Limits Closure Weld Team following completion of the final weld on the first production train at the LNG Canada project, in
The final weld took 48 hours of continuous work from teams of welders working in shifts. More than 380 pipe welders have worked on the project since construction began in 2018.
Fluor and JGC Corporation make up the JGC-Fluor joint venture, which is delivering multiple aspects of the LNG Canada megaproject, including engineering, procurement, fabrication and delivery of modules, as well as construction of the project's infrastructure and utilities, marine structures and LNG storage tank.
“The significance of achieving the last weld to support Train One completion is a testament to the collaborative efforts of the JGC-Fluor project team, subcontractors and a skilled and dedicated workforce,” said Jim Breuer, President of Fluor’s Energy Solutions business. “We are now one step closer to the introduction of gas and start-up.”
LNG Canada is a joint venture between Shell, Petronas, PetroChina, Mitsubishi Corporation and Korea Gas Corporation. The project will have an initial capacity to produce 12.7 metric tonnes (14 million tons) of LNG per year with first shipment expected by the middle of 2025.
About Fluor Corporation
Fluor Corporation (NYSE: FLR) is building a better world by applying world-class expertise to solve its clients’ greatest challenges. Fluor’s nearly 34,000 employees provide professional and technical solutions that deliver safe, well-executed, capital-efficient projects to clients around the world. Fluor had revenue of
#EnergySolutions
View source version on businesswire.com: https://www.businesswire.com/news/home/20240708384137/en/
Brett Turner
Media Relations
864.281.6976
Jason Landkamer
Investor Relations
469.398.7222
Source: Fluor Corporation
FAQ
What milestone did Fluor (FLR) announce for the LNG Canada project?
When was the final weld completed for Fluor's (FLR) LNG Canada project?
What is the production capacity of LNG Canada once operational, according to Fluor's (FLR) announcement?
Who are the partners involved in the LNG Canada project alongside Fluor (FLR)?
When is the first LNG shipment expected from the LNG Canada project, according to Fluor (FLR)?
