Engineering, procurement and construction (EPC) firms are recalibrating their 2026 strategies toward sectors where demand is rising—oil and gas, advanced technologies, mining and nuclear—betting that these markets will generate the next wave of large-scale industrial projects and project cargo activity.
Four major EPC players—Fluor, KBR, TechnipFMC and Worley—are building on recent contract wins as they target growth tied to global fossil fuel demand and the energy- and water-intensive infrastructure needed to support artificial intelligence, including data centers. All four companies are key shippers of equipment and materials required for industrial, energy and defense builds.
KBR expands in Iraq and prepares a major spin-off
Houston-based KBR is expanding its project footprint in Iraq while preparing to spin off its national security and space business into a standalone public entity later this year. On Feb. 23, KBR said it had secured a “transformational” oil project contract from Iraq’s Basra Oil Company. Under the deal, KBR will provide EPC management and integrated field management services for the Manjoon Oil Field in Basra, one of the world’s largest oil fields.
In its Feb. 26 year-end earnings update, KBR also projected a double-digit bid increase for its mission tech business this year as it progresses toward separating its national security and space segment by mid-to-late 2026. The company is working through a backlog supported by LNG, ammonia, defense and intelligence. CEO Stuart Bradie said work already under contract covers roughly 63% of KBR’s 2026 guidance, supported by a $5 billion near-term project pipeline. KBR ended the fourth quarter with a combined project backlog and potential future work options totaling $23.2 billion, up 13% year on year.
Worley targets data centers, industrial water and ports
Australian engineering group Worley is forecasting moderate growth for the remainder of 2026 while pursuing complex critical infrastructure projects as a key expansion area. Worley booked $7 billion in work in the first half of its fiscal year ending Dec. 31—a 63% increase from six months earlier and a 70% jump from a year ago—driven by wins across energy and mining and metals.
CEO Chris Ashton said momentum is building as Worley wins a larger share of major projects in markets it has identified for growth, including data center infrastructure, power, industrial water, and ports and marine terminals.
Worley’s recent bookings include work linked to Venture Global’s CP2 project, a major LNG export facility in Louisiana that reached a final investment decision last July. Worley provided EPC planning services for CP2 and in February won the contract to provide those services for the project’s second phase. Contract wins since January could add more than $2.5 billion to Worley’s backlog, which reached $11.7 billion in the first half of its fiscal year.
TechnipFMC sees record offshore opportunities despite weaker orders
Oil and gas services contractor TechnipFMC is eyeing a record pipeline of potential projects in its subsea energy business over the next two years, even as quarterly and annual orders declined.
During the company’s Feb. 19 earnings call, CEO Doug Pferdehirt said the next 24 months could bring an estimated $29 billion in subsea contract opportunities—a record and the sixth consecutive quarterly increase for the segment’s pipeline. He expects more capital spending to move offshore, citing reservoirs that are prolific, accessible and increasingly attractive economically.
Subsea orders—about 90% of the company’s overall business—fell 13% to $2.3 billion in the fourth quarter and slipped 3% to $10.1 billion for the year. A key award in the quarter included a $600 million to $800 million integrated engineering, procurement, construction and installation contract for BP’s Tiber production hub in the U.S. Gulf.
Fluor expects significantly higher awards in 2026
Texas-based Fluor is targeting LNG, mining, nuclear fuels and advanced technology projects in 2026 as it works to recover from weaker annual performance. On its Feb. 17 earnings call, CEO James Breuer said Fluor anticipates 2026 awards will be “significantly higher” than 2025 based on client discussions.
New awards totaled $12 billion in 2025, down 21% year on year. Nearly three-quarters came from Fluor’s Urban Solutions business, which includes mining, infrastructure and advanced technology such as data centers and semiconductor facilities. Urban Solutions logged $8.7 billion in new awards—down 8% versus 2024—yet it marked the third consecutive year near the $9 billion level.
Breuer highlighted growth prospects in major copper, aluminum and green steel projects, as well as rare earth production facilities. He also said Fluor has strengthened its support for semiconductor and data center work, including advanced discussions for a major U.S. data center, project management pursuits in Europe, and continued positioning for U.S. semiconductor projects.
