Aegion Corporation (“Aegion” or the “Company”) (Nasdaq Global Select Market: AEGN) today announced that its Corrosion Protection platform was recently awarded three contracts with a combined value of approximately $32 million.
The Aegion Coatings Services group within the Corrosion Protection platform was awarded a contract in the Caspian Sea region to perform outer diameter field coatings for a 300-mile onshore natural gas pipeline expansion. The project is expected to begin in the fall of 2015 and be completed by the end of 2017.
Aegion’s subsidiary, The Bayou Companies, LLC, was awarded two pipe coating contracts at its Louisiana facility. The first requires the application of a multi-layer corrosion protection coating and a proprietary temperature and pressure control insulation coating to a 14-mile transmission pipeline associated with a Gulf of Mexico deepwater oil field development. The insulation coating portion of the contract will be applied onsite by Bayou Wasco Insulation, LLC, a joint venture between Aegion and Malaysian-based Wasco Energy, Ltd. The project is expected to begin in the fall of 2015 and conclude in early 2016. The second project consists of a fusion bonded epoxy coating for corrosion protection in combination with a concrete buoyancy control coating for a 32-mile pipeline that will transport crude oil from existing facilities in the Gulf Coast to various refineries in the region. This project is expected to begin this summer and conclude by the first quarter of 2016.
Greta Voss, President of Aegion’s Corrosion Protection platform, commented, “We are very pleased to be awarded these contracts, which introduce our field pipe protection coating capabilities in the Caspian region and add to an improved backlog of pipeline coating projects in the Gulf Coast region of the United States. We look forward to the successful completion of these projects, which will help safeguard these vital pipeline assets for our customers.”