Quanta Services Inc.'s (PWR) Alberta PowerLine won one of the largest engineering, procurement and construction (EPC) electric transmission project contracts of North America. Following this news, shares of Quanta Services rose 1.8%, during the regular trading session on NYSE on Dec 19, 2014.
In particular, Alberta PowerLine has been chosen by the Alberta Electric System Operator (‘AESO') for the Fort McMurray West 500 Kilovolt (kV) Transmission Project in Canada. Notably, Alberta PowerLine is the limited partnership firm of Quanta Services in alliance with ATCO Group.
The project includes installation of around 500 km of transmission line between the Wabamun and the Fort McMurray regions of Alberta. Also, two new 500 kV substations have been planned for set up. Quanta Services will offer turnkey EPC services for the project and anticipates the construction to commence in 2017, following the attainment of obligatory permissions. The project is likely to complete in 2019. Upon project completion, the new 500 kV transmission line will enhance power of the electricity system in northeastern Alberta.
ENTER TO WIN $500 IN STOCK OR CRYPTO
Enter your email and you'll also get Benzinga's ultimate morning update AND a free $30 gift card and more!
Winning the abovementioned project is an achievement for Quanta Services, as it is a first contract that is awarded via a world-wide competitive concession tender process. Moreover, the company has been benefiting from increased spending in the Electric Power segment on projects to upgrade and deploy electric power transmission infrastructure. Also, Quanta Services has a successful track record of safely executing large and complex projects across North America.
Quanta currently has a Zacks Rank #3 (Hold). Some better-ranked stocks in the same sector include Willdan Group, Inc. (WLDN), AECOM Technology Corp. (ACM) and AO Smith Corp. (AOS). While Willdan and AECOM sport a Zacks Rank #1 (Strong Buy), AO Smith carries a Zacks Rank #2 (Buy).
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
SMITH (AO) CORP (AOS): Free Stock Analysis Report
AECOM TECH CORP (ACM): Free Stock Analysis Report
QUANTA SERVICES (PWR): Free Stock Analysis Report
WILLDAN GROUP (WLDN): Get Free Report
To read this article on Zacks.com click here.
Zacks Investment Research