Posted on October 11, 2021
The marine segment of Houston-based specialty construction company Orion Group Holdings Inc. (NYSE: ORN) has been winning some significant awards recently.
On September 29, the company reported that it had been awarded a contract valued at approximately $67 million from the Port of Port Arthur to construct the Berth 6 Expansion Project in Port Arthur, Texas, that will allow for significant additional berthing capacity at the port. The project is expected to commence in the fourth quarter of 2021 and be completed in the third quarter of 2024.
The announcement of the Port Arthur contract came just one day after Orion reported that its marine segment had been awarded three contracts valued at a combined $22 million to perform dredging services for the U.S. Army Corps of Engineers (USACE) in waterways along the Gulf Coast, with the potential for the contract value on one award to increase by up to $19 million.
Two of the contracts were awarded by the Galveston Engineer District for dredging work on the Texas coast. The first award valued at $8.8 million calls for the removal of up to two million cubic yards of maintenance material along the Gulf Intracoastal Waterway between Corpus Christi and Port Isabel. The second award, located in the Sabine Neches Waterway in Jefferson County, Texas, is valued at a base amount of $9.5 million for the dredging of 2.1 million cubic yards of material. If the USACE exercises all options for additional scope of work, the total value for this contract could grow to over $28 million.
The third award is a $3.5 million contract from the Jacksonville Engineer District to dredge maintenance material from the upper channels in Tampa Harbor, in Tampa, Florida. Work on all three projects is expected to commence during the fourth quarter of 2021, with completion expected late next year.
“Maintaining our nation’s waterways is critical to the economy of our country and being able to continue to support the US Army Corps of Engineers in executing their mission is equally critical to Orion,” said Mark Stauffer, Orion’s president and CEO. “We have several ongoing projects for the U.S. Army Corps of Engineers and the addition of these projects adds to the growing backlog in our marine business.”
Earlier in the month, Orion announced that its marine segment has been awarded four contracts valued at a combined $35 million to perform marine and infrastructure construction work on the Gulf Coast
Three of the contracts covered construction of marine infrastructure for private sector clients in Texas and Louisiana. Two of these awards, valued at $11.8 million and $6.7 million, are in the greater Houston area and call for the construction and dredging of new ship and barge berths for petrochemical loading and unloading. The third project, valued at approximately $9 million, calls for the replacement of an existing barge dock at a terminal located west of New Orleans. Work on all three projects is expected to commence in the fourth quarter of 2021 and be complete by third quarter of 2022.
