KBR Announces Investment in Mura Technology to Advance the Plastics Circular Economy

Rhea-AI Summary

KBR, Inc. has announced a $100 million investment in Mura Technology, increasing its stake to 18.5%. This funding aims to accelerate Mura's plastics recycling projects, contributing to a sustainable circular economy. Payments will be made in two tranches, with the first in the quarter ending June 30, 2022 and the second in 2023. KBR's partnership with Mura leverages their technology to target a recycling capacity of 1,000,000 tonnes by 2025, enhancing KBR's engagement in this high-growth sector.

Positive

• KBR's investment increases its stake in Mura to 18.5%, emphasizing commitment to sustainability.
• Strategic partnership with Mura may lead to profitable growth in the plastics recycling sector.
• Mura targets 1,000,000 tonnes of recycling capacity by 2025, indicating significant market potential.

Negative

• None.

HOUSTON, June 1, 2022 /PRNewswire/ -- KBR, Inc. (NYSE: KBR) is pleased to announce it has entered into an agreement to invest an additional $100 million in Mura Technology ("Mura") bringing KBR's aggregate investment in Mura to 18.5%.

This investment provides Mura incremental capital to accelerate development of its plastics recycling projects and enables KBR to participate more fully in this sustainability-focused, high growth sector. Funding is expected in two tranches with the first payment in the quarter ended June 30, 2022 and the remainder in 2023.

"Building on our strong partnership of collaboration and innovation, we are very excited to announce our expanded investment in Mura," said Stuart Bradie, KBR President and CEO. "With a strategic approach to commercializing and scaling its proprietary, differentiated plastics recycling solution, Mura is very well positioned for profitable growth and value creation as the plastics circular economy develops and matures."

Mura's mission is to commercialize its differentiated plastics recycling solution to enable a plastic-neutral, sustainable future by providing an end-to-end process to convert mixed waste plastic back to high quality chemical feedstocks. Targeting 1,000,000 tonnes of annual recycling capacity in operation or development by 2025, Mura licenses its technology through KBR to a global client base and is also developing its own portfolio of global sites.

"The combination of Mura's game-changing Hydro-PRT℠ technology with KBR's scalable engineering and licensing expertise has now established a world-leading alliance in the advanced recycling of plastics," said Dr. Steve Mahon, CEO of Mura Technology. "This additional investment by KBR in Mura Technology and the addition of a member of KBR's management to Mura's Board of Directors demonstrates a strong commitment to this partnership by both parties."

In early 2021, KBR entered into an alliance to become Mura's exclusive licensing partner, broadening the addressable market and customer access for this highly differentiated plastics recycling technology.  Together, KBR and Mura have won numerous license awards and feasibility studies. This alliance has also produced advances in process technology innovation such as closed loop power, water recycling, modularization and digital operating solutions. Through this partnership, KBR may also expand its engagement on Mura's own projects to provide advanced engineering, program management and integration expertise. 

A circular economy, in which plastics are reused, remade, and recycled, could slash CO2 emissions by almost 40% across the globe. Mura's plastics recycling solution will play a central role in a global circular economy by providing an innovative new way to recycle all forms of end-of-life plastic, many of which would otherwise be incinerated, sent to landfill, or leak into the environment as plastic pollution, helping to eliminate unnecessary single-use plastic and cut carbon emissions.

About KBR

We deliver science, technology and engineering solutions to governments and companies around the world. KBR employs approximately 28,000 people performing diverse, complex and mission critical roles in 34 countries.

KBR is proud to work with its customers across the globe to provide technology, value-added services, and long- term operations and maintenance services to ensure consistent delivery with predictable results. At KBR, We Deliver.

Visit www.kbr.com  

Forward Looking Statement

The statements in this press release that are not historical statements, including statements regarding future financial performance, are forward-looking statements within the meaning of the federal securities laws. These statements are subject to numerous risks and uncertainties, many of which are beyond the company's control that could cause actual results to differ materially from the results expressed or implied by the statements. These risks and uncertainties include, but are not limited to: the significant adverse impacts on economic and market conditions of the COVID-19 pandemic and the company's ability to respond to the resulting challenges and business disruption; the recent dislocation of the global energy market; the company's ability to manage its liquidity; the outcome of and the publicity surrounding audits and investigations by domestic and foreign government agencies and legislative bodies; potential adverse proceedings by such agencies and potential adverse results and consequences from such proceedings; changes in capital spending by the company's customers; the company's ability to obtain contracts from existing and new customers and perform under those contracts; structural changes in the industries in which the company operates; escalating costs associated with and the performance of fixed-fee projects and the company's ability to control its cost under its contracts; claims negotiations and contract disputes with the company's customers; changes in the demand for or price of oil and/or natural gas; protection of intellectual property rights; compliance with environmental laws; changes in government regulations and regulatory requirements; compliance with laws related to income taxes; unsettled political conditions, war and the effects of terrorism; foreign operations and foreign exchange rates and controls; the development and installation of financial systems; the possibility of cyber and malware attacks; increased competition for employees; the ability to successfully complete and integrate acquisitions; and operations of joint ventures, including joint ventures that are not controlled by the company.

The company's most recently filed Annual Report on Form 10-K, any subsequent Form 10-Qs and 8-Ks, and other U.S. Securities and Exchange Commission filings discuss some of the important risk factors that the company has identified that may affect its business, results of operations and financial condition. Except as required by law, the company undertakes no obligation to revise or update publicly any forward-looking statements for any reason.

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SOURCE KBR, Inc.

FAQ

What is KBR's recent investment in Mura Technology about?

KBR announced a $100 million investment in Mura Technology, increasing its stake to 18.5% to accelerate plastics recycling projects.

When will KBR's investment in Mura Technology take place?

The investment will be executed in two tranches, with the first payment scheduled for the quarter ending June 30, 2022, and the remainder in 2023.

How does KBR benefit from investing in Mura Technology?

KBR stands to benefit from its strategic investment by participating in the growing plastics recycling sector, potentially leading to profitable growth.

What are Mura Technology's recycling capacity goals?

Mura Technology aims to achieve 1,000,000 tonnes of annual recycling capacity by 2025, positioning itself in the sustainable plastics market.