Award: Biologics manufacturing facility
Client: Fujifilm Diosynth Biotechnologies
Fujifilm Diosynth Biotechnologies, a biologics company, has selected Fluor to perform procurement and construction management for a large-scale biologics drug substance manufacturing facility in Denmark, the contractor announced Thursday.
The Irving, Texas-based company will book the multi-hundred-million-dollar reimbursable contract value in the third quarter of 2022, according to a company release.
The facility will produce new capacity for advanced biologics used in a variety of treatments including vaccines, oncology and quality-of-life medicines. Fluor anticipates the facility to be operational by 2025, according to the release.
But Fluor’s concentration in large projects also poses risks, said Andrew Wittmann, senior research analyst at Milwaukee-based financial services company Baird, in a research note shared with Construction Dive in August. Large project awards drive much of Fluor’s business, but that results in “lumpier bookings and can result in larger project charges, should project execution deteriorate,” he said.
The engineering and construction firm both missed estimates and trimmed guidance in its most recent earnings report in August. Still, CEO David Constable said the company remains “on track to deliver our expectations for 2022 and on our key strategic priorities for 2024.”
Fluor’s Urban Solutions segment is leading the project with support from its Nordic Technology Hub in Copenhagen, Denmark.