KBR Launches a Zero-Emission Furnace Solution SCOREKlean
KBR, Inc. KBR introduced a proprietary ethylene and propylene process technology — SCOREKlean. The technology utilizes 100% hydrogen-fueled burners from the ethylene cracking furnaces for zero emissions.
Furnaces are the largest sources of greenhouse gas emissions in the petrochemical industry. SCOREKlean will play a major role in decarbonizing the industry as it has the advantages of KBR's SCORE technology, including ultra-low CAPEX design, feedstock flexibility and higher yields.
Doug Kelly, KBR’s Technology unit president, said, "We are excited to launch SCOREKlean, especially at a time when the petrochemical industry is going through a growth phase and also prioritizing decarbonization."
Although shares of the company fell 1.43% on Mar 22, it has gained 17.8% in the past six months compared with the industry’s 29.2% growth. Earnings estimates for 2023, which moved up by a cent in the past seven days, reflect a 5.5% year-over-year increase. The trend is likely to continue, given the solid backlog level (including award options).
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KBR’s solid backlog and option level of $19.8 billion (as of Dec 31, 2022) accentuate its underlying strength. In 2022, KBR received $8.2 billion of bookings and options in highly strategic areas with 1.2x trailing 12-month book-to-bill. Going forward, KBR expects broad-based growth across both segments.
KBR has been a leader in process technology development, commercialization and plant design for more than 50 years. The determination to lower emissions, achieve product diversification and energy efficiency, as well as develop more sustainable technologies and solutions, have been driving KBR’s performance.
In February, KBR launched Sustainable Aviation Fuel (SAF) technology in alliance with Swedish Biofuels AB. The technology processes ethanol and converts carbon dioxide and synthesis gas to SAF, thereby helping KBR's clients utilize captured carbon toward a cleaner, greener future.
The demand for the company’s technologies across ammonia for food production, olefins for non-single-use plastics, refining for product diversification and more green solutions to meet tighter environmental standards has been going strong. A strategic shift to IP-enabled maintenance is also gaining traction and KBR continues to see increasing activity across the advisory portfolio, particularly in the energy transition.
Zacks Rank & Key Picks
Currently, KBR carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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