Aberdeen-based consulting and engineering firm Wood has announced that it secured $850 million in Middle East contracts throughout 2023.
Over the course of 2023, the Aberdeen business was involved in the development of carbon dioxide transport and storage projects that expanded current global capacity of CO2 storage by around 25%.
Wood (LON: WG) also worked on feasibility studies and preliminary front end engineering design (FEED) for both carbon capture and storage (CCS) and low-carbon hydrogen projects.
Wood says that due to its success in the region, it is looking to create a further 500 jobs throughout 2024 after hiring 700 people last year.
Ken Gilmartin, chief executive at Wood said, “We are thrilled to see continued growth across our Middle East business, where we have supported the energy industry for more than eight decades.
“Wood remains committed to delivering exceptional value for our clients in the region and developing in-country talent.
“Our recent successes are testament to the hard work and dedication of our remarkable team and our unwavering commitment to providing solutions that contribute to a low-carbon future.”
Following work in Iraq last year Wood is supporting a project to reduce emissions in the country by more than 10 million tons of carbon per year through the elimination of flaring.
This comes weeks after the firm’s trading update which outlined EBITDA and revenue are being hit.
However debt, in part due to foreign exchange and delayed customer payments, was higher than analyst consensus estimates at $680m.
Gilmartin recently told Energy Voice that Wood has “always been focused on debt and we will continue to be focused on debt,” pointing to operating cash flow having significantly improved year-on-year by around $275m.
The firm is aiming for positive free cash flow in 2024 and “significant” free cash flow the following year. “We are on track with that, and that’s going to parlay out into our debt numbers”.
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