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Infrastructure News - December 2007

Texas Companies Tapped for Multi-Million Projects

CB&I awarded about $300 million in projects across the globe; Jaster-Quintanilla selected for more than $413 million in projects across the country. Also, DART awards McCarthy rail lines contract. .

Four CB&I Projects Tally $300 Million in Contracts

CB&I of The Woodlands was recently awarded four new contracts that will add approximately $300 million to the company's backlog.

The firm will participate in a major expansion project at a refinery in Alabama. CB&I's contract value is estimated in excess of $160 million. The full project is designed to double gasoline and diesel production, while complying with new clean fuel regulations. CB&I will provide detailed engineering, procurement and modular fabrication for a new 15,000 barrel per day UOP CCR Platforming unit, a 28-million-standard cu-ft-per-day hydrogen plant using CB&I's proprietary Hyforming hydrogen technology, associated utilities and offsite facilities for the expansion project. CB&I expects completion of its project scope in the first quarter of 2009.

Among the projects are refining process contracts including two to provide sulfur recovery complexes at refineries in California and Texas. The work scope of the first project includes engineering, procurement and modular fabrication of a 200 long tons per day, or LTD, sulfur recovery unit and an associated tail gas treating unit at a refinery in the San Francisco Bay area. The award is valued in excess of $50 million.

The second contract is for a similar project in Texas. The work scope includes the engineering, procurement and modular fabrication of a 225 LTD sulfur recovery unit and associated tail gas treating unit. The award is valued in excess of $50 million.

Additionally, a Middle East petrochemical storage project includes a contract to design and build a storage tank for the Borouge 2 petrochemical project expansion in Ruwais, Abu Dhabi in the United Arab Emirates. The project owner is Borouge, a joint venture between the Abu Dhabi National Oil Co. and Borealis. The expansion project is designed to increase Borouge's polyolefins annual production capacity to two million tons.

CB&I's work scope includes the engineering, procurement, fabrication and construction of a new low-temperature storage tank and all associated electrical, mechanical, instrumentation and controls work. The award is valued in excess of $40 million and the project is expected to be completed in 2009.

DART Awards $44 Million Contract for Rail Lines

Dallas-based McCarthy Building Cos Inc. was awarded the Trinity Railway Express Beltline Grade Separation and Bridge Construction by Dallas Area Rapid Transit. This $44 million project involves a two-phase conversion of an at-grade, single-line railroad into two elevated railroad lines for the Trinity Railway Express, or TRE, in the city of Irving.

Designed to eliminate the at-grade traffic conflict between train and automobile traffic at three key intersections in Irving, the project will elevate the rail lines parallel to Rock Island Road from Rogers Road to Gilbert Road. A large quantity of precast beams and bent caps will be utilized in the bridge structure, which consists of 122 spans totaling over one and one-half miles long.

Completion for this project is scheduled for fall 2010. This will be the first project McCarthy has worked on for DART. The engineer for the project is Bridgefarmer and Associates Inc. of Dallas.

Rio Vista Energy Partners Sells Mexican Facility

Houston-based Rio Vista Energy Partners LP, an energy services master limited partnership, has signed a binding letter of intent with TransMontaigne Partners LP to sell to TLP Rio Vista's terminal facility in Matamoros, Mexico, two pipelines, with associated rights of way and easements, from the Brownsville terminal owned by TLP to the Matamoros terminal facility and related permits, collectively "LPG Assets".

The total purchase price for the LPG Assets is $10.5 million, subject to adjustments at closing, and is contingent on execution of a definitive purchase and sale agreement and completion of due diligence satisfactory to TLP. The transaction was expected to close during the fourth quarter of 2007. In connection with execution of the letter of intent, Rio Vista received a refundable deposit of $6.5 million from TLP.

Rio Vista intends to use the deposit as well as proceeds to be received upon the closing of the sale of the LPG Assets to make additional acquisitions of qualified oil and gas >> assets. As previously announced, Rio Vista has entered into letters of intent to acquire interests in certain oil and gas producing properties and associated pipeline gathering systems from four privately held companies based in East Central Oklahoma.

Jaster-Quintanilla Tapped for Major Infrastructure and Building Projects

Dallas-based Jaster-Quintanilla recently expanded in the North Texas region with the opening of a new Fort Worth office, but the firm's offices in Austin, Dallas, Houston and San Antonio are also experiencing significant growth.

The firm has been awarded the U.S. Columbus Port of Entry expansion project in Columbus, N.M., consisting of the redesign and expansion of the existing Port of Entry facilities totaling 42,487 gross sq ft. Estimated construction costs are $22 million, including a newly expanded main building, primary and secondary inspection points, kennel, export docks, and commercial building. A Haz-Mat commercial inspection booth, narcotics vault and a border patrol processing facility are also part of the planned improvements on the 14.7-acre site situated in Luna County, N.M, just west of El Paso.

In Dallas, JQ has been engaged for a mixed-use development in Lincoln, Neb., called Catalyst One, which will occupy two city blocks and includes two below grade and 18 above grade levels for a total size of 645,000 sq ft in Block 25 and two below grade and 22 above grade levels for a total size of 721,000 sq ft in Block 38.

In Austin, JQ is providing engineering services for the $125 million Waller Creek Tunnel Project, consisting of a flood-diversion tunnel below 15th Street to intercept creek flows in Waterloo Park for discharge into Town Lake. This project will help to contain floodwaters within the existing Waller Creek channel and allow development near the creek. The 5,500-ft-long tunnel will be approximately 60 ft below the surface and is 22 ft in diameter. Construction begins in 2008.

In Fort Worth, the firm is providing engineering services for the new 250,000-sq-ft, multi-story, maximum security Tarrant County Jail. The jail will be built on the site of the County's Muller Building on West Weatherford Street, across from the Tarrant County Corrections Center. A tunnel under the street will connect the new jail to the existing jail and courts. As part of a $433 million bond package approved last year, the project has an estimated construction cost of $75 million. Construction is slated to begin in 2009 with an anticipated completion date in 2012.
Also in Fort Worth, JQ along with CDM, have been engaged to provide engineering services for the Northwest Water Treatment Plant, a $55 million project targeted for completion in December 2010.

The San Antonio office of JQ has been awarded a structural engineering contract for the San Antonio International Airport expansion project. The $136 million construction project involves the design and construction administration for two new terminal buildings, a two level connector, a central utility plant expansion, an elevated roadway, and the demolition of the existing Terminal Two at San Antonio International Airport.

Port of Houston Authority Approves $1.4 Million in Contracts, Projects
The Port Commission of the Port of Houston Authority approved $1.4 million in contracts and projects for the Bayport container and cruise terminals to permit it to meet future demands – including a new 50-acre container yard – that will require heavy-capacity forklift and yard tractors.

Commissioners approved specifications and advertising and receipt of competitive sealed proposals for the purchase of one 49,000-pound capacity forklift machine for Bayport Container Terminal for $280,000. By March, an additional 50-acre container yard will be completed. As terminal demands increase, the maintenance of cranes and terminal equipment used to support vessel operations will require the use of a large forklift for continuous lifting of heavy components, such as spreader bars, tires, motors and gearboxes.

Also approved were specifications and advertising and receipt of competitive sealed proposals for the purchase of eight yard tractors for Bayport Container Terminal for an estimated $650,000. Six yard tractors are being used to transport containers to and from the USDA inspection ramp and other areas of the facility. With the March completion of an additional 50-acre container yard, a total of eight additional yard tractors will be needed to meet future terminal demands and provide adequate levels of service.

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