Description
Bechtel, we know that our customers' projects demonstrate progress. They bring opportunity for individuals and regions. Infrastructure efforts improve communication, as well as connect communities to commerce and citizens to vital services. Energy projects-from combined cycle to oil and gas-deliver reliable and sustainable access to power for future prosperity.
INFRASTRUCTURE
MINING & METALS
NUCLEAR, SECURITY & ENVIRONMENTAL
OIL, GAS & CHEMICALS
THE BECHTEL REPORT 2015
BREAKING
NEW
25°15’41”N | 51°33’54”E
Hamad International Airport Qatar
2 Executive Letter
5 Vision, Values & Covenants
6 Project Highlights
8 Oil, Gas & Chemicals
14 Mining & Metals
18 Nuclear, Security & Environmental
24 Infrastructure
30 Creating Opportunity
32 Leadership
THE BECHTEL REPORT 2015
At Bechtel, we know that our customers’ projects demon-
strate progress. They bring opportunity for individuals
and regions. Infrastructure eforts improve communica-
tion, as well as connect communities to commerce and
citizens to vital services. Energy projects—from com-
bined cycle to oil and gas—deliver reliable and sustain-
able access to power for future prosperity. Work in the
mining industry delivers natural resources and new
sources of revenue to developing regions. Government
customers take on nuclear and environmental eforts that
create a cleaner, safer society for future generations.
It is our responsibility to help our customers deliver on
the promise of these projects and more. We work to
ensure we protect the environment and conserve natural
resources; support local communities, create new jobs
and improve economies.
We are not motivated to be the largest engineering,
procurement, and construction (EPC) company in the
industry; we are determined to be the best.
We do that by anticipating trends, aligning our expertise
with customers’ needs, transforming delivery, building
progress, and breaking new ground in everything we do.
BREAKING
NEW
GROUND
To our customers and colleagues:
Every day, around the world, we aspire
to achieve extraordinary results for our
customers, build satisfying careers for
our people, and deliver on our promises.
In 2014, we stayed true to that focus.
We completed the Dulles Metrorail Expansion, one of the
largest rail projects in the United States, as well as Hamad
International Airport, one of the most modern airports in
the world, in Qatar.
Elsewhere in the United States, in California’s Mojave
Desert, we delivered the award-winning Ivanpah Solar Elec-
tric Generating System, which is powering 140,000 homes
with clean, solar energy and reducing carbon dioxide
emissions by more than 400,000 tons per year. In Texas,
Panda Temple and Panda Sherman, two of the country’s
cleanest combined-cycle plants, were completed and
handed over to our customer ahead of schedule. Our proj-
ect team at the Pueblo Chemical-Agent Destruction Pilot
Plant, in Colorado, is completing systemization and was
awarded the operations phase of the contract, important
steps toward helping the U.S. meet its treaty obligations to
eliminate its remaining inventory of chemical weapons.
We delivered the first cargo of liquefied natural gas (LNG)
for export from Curtis Island on schedule for our customer,
Queensland Curtis LNG (QCLNG), a BG Group company.
This first-of-a-kind project is one of three ongoing Bechtel
projects to launch a new coal seam gas industry in
Queensland, Australia.
We completed the Caval Ridge metallurgical coal project
under budget and three months ahead of schedule. This
facility will increase Queensland’s coal exports by 5.5 mil-
lion metric tons per year.
In the UK, we finished the Reading Station expansion,
which has doubled the capacity of one of the busiest sta-
tions outside of London. The new station was formally
opened by Her Majesty Queen Elizabeth II in July 2014.
These accomplishments—and hundreds more—would not
have been possible without the commitment, passion,
expertise, and hard work of our 58,000 colleagues world-
wide. By partnering with our customers, we are helping to
deliver landmark projects that are fostering sustainable
progress and helping local economies.
EXECUTIVE LETTER
Bill Dudley Chief Executive Oficer
Revenue in billions of U.S. dollars
$27.9
$32.9
$37.9
$39.4
$37.2 2014
2013
2012
2011
2010
New Work Booked in billions of U.S. dollars
$21.3
$53
$23.9
$34
$18.4 2014
2013
2012
2011
2010
Backlog Revenue in billions of U.S. dollars
$70.5
$88.2
$91.8
$104.4
$78.1
2014
2013
2012
2011
2010
Financial Performance
Work-of revenue for 2014 totaled $37.2 billion, down
5.6 percent from 2013. Our New Work Booked result, which
fluctuates year to year, was significantly down at $18.4 bil-
lion in comparison to our excellent 2013. Our 2014 book-
ings were impacted by capital cost cuts in the mining and
2 THE BECHTEL REPORT 2015
Brendan Bechtel President & Chief Operating Oficer
Riley Bechtel Chairman of the Board
in Canada and parts of the northern United States. We are
working with ExxonMobil on an ethylene plant in Texas, and
we began work on a 750-megawatt combined-cycle gener-
ating station in Virginia. The U.S. Department of Energy
reafirmed its selection of the Bechtel-led team to manage
the consolidation of two nuclear weapons facilities—the
Pantex Plant, in Texas, and the Y-12 National Security Com-
plex, in Tennessee—and build a uranium processing facility
that will replace aging Cold War-era facilities.
The UK Ministry of Defence selected Bechtel to support its
national security eforts by transforming its procurement
processes to equip the British Armed Forces with neces-
sary supplies. Following the successful delivery of Kosovo’s
first motorway ahead of schedule, the government turned
to us to build the new 37-mile (60-kilometer) motorway
linking Pristina, the capital, to neighboring Macedonia.
In Africa, Bechtel was selected to manage the construction
of the Catembe Bridge in Maputo, Mozambique, and in
the Middle East, we were selected to build a new alumina
refinery in Abu Dhabi.
Safety
Public and project safety is—and always will be—para-
mount for Bechtel. In 2014, we had the best safety perfor-
mance in our company’s history with our lowest recordable
incident rate. Eighty-five percent of all Bechtel locations
completed the year without a single lost-time incident, and
11 of our projects recorded more than 10 million or more
safe work hours. While we are proud of these achieve-
ments, we believe every incident, and therefore every
occupational injury, is preventable. Zero incidents is the
only acceptable goal, and we work to achieve it for every
person, every day, everywhere.
energy sectors, compounded by uncertain world growth
that caused many customers to defer anticipated awards
into 2015. Our backlog, at $70.5 billion, remains strong.
We look forward to 2015 in anticipation of important awards
that have been in development for some time.
New Business
We are pleased that our customers continue to trust us to
deliver their critical projects that span all industries.
In Canada, we broke ground on the Keeyask Generation
and Infrastructure project. This new 695-megawatt power-
house, in Manitoba, will provide energy to 400,000 homes
3 BREAKING NEW GROUND
EXECUTIVE LETTER
Poised for the Future
In 2014, we took proactive steps to strengthen our busi-
ness, drive opportunities in new markets, and streamline
our cost structure to improve our competitiveness.
We consolidated five global business units into four; Infra-
structure; Mining & Metals (M&M); Oil, Gas & Chemicals
(OG&C); and Nuclear, Security & Environmental (NS&E).
We are increasing our focus on and investment in engineer-
ing skills, with ambition to achieve broad customer recog-
nition as best engineer in our industry. We continue to
develop new ways to deliver high-quality projects ahead of
schedule and under budget.
We are proud to be shaping our industry with innovative
approaches to deliver the complex, unique projects upon
which our customers depend. Our new EPC Innovation
Centers in Houston and London will push the limits
of virtual project delivery and drive improvements in our
integrated global EPC delivery model.
Low oil and natural gas prices combined with low world-
wide growth and increasing global uncertainty create a
challenging macroeconomic environment for EPC compa-
nies like Bechtel. However, we anticipate an excellent year
in new awards in 2015 as many of our key prospects that
have been in development for some time are expected to
proceed despite the economic headwinds.
In 2015, we will continue to invest in our business for the
long-term and look forward to working with our customers
to break new ground, achieve new milestones, and deliver
projects that will improve the world.
Riley Bechtel
Chairman of the Board
Bill Dudley
Chief Executive Oficer
Brendan Bechtel
President & Chief Operating Oficer
4 THE BECHTEL REPORT 2015
VISION, VALUES & COVENANTS
Ethics.
We are uncompromising
in our integrity, honesty,
and fairness.
Safety & Health.
We are relentless in
keeping people safe
from harm, and we
provide a healthy work
environment.
Quality.
We are passionate about
excellence and doing our
work right the first time.
Our reputation depends
on our delivered value
in the eyes of every
customer and community.
People.
We inspire each other
with important work full
of purpose, challenging
development oppor-
tunities, and rewarding
careers. We aspire to be
the employer of choice
in our industry.
Relationships.
We build positive,
long-term relationships
with our customers,
joint-venture partners,
subcontractors, suppliers,
and colleagues that are
built on trust, respect,
and collaboration.
Innovation.
We develop and apply
world-class technology.
We listen, learn, and seek
out the best ideas. We
attack complacency and
continually improve.
Sustainability.
We improve the quality
of life in communities
where we work by
respecting local cultures,
engaging local people,
and protecting the
environment.
Wherever we go and
whatever we do, we:
Demonstrate Integrity.
Exercise the highest
level of professional and
ethical behavior.
Are Respectful.
Treat people with respect
and dignity. Listen
actively. Communicate
in a timely and forthright
manner. Never undermine
colleagues.
Collaborate.
Ask for and welcome
help; ofer and give it
freely. Mutually resolve
ambiguity and conflict.
Build Trust.
Make commitments
responsibly and always
keep our word. Be candid
while building shared
understanding.
Deliver.
Set high aspirations, plan
responsibly, and honor
all commitments.
Learn It, Do It, Share It.
Be curious. Seek,
share, and build upon
experiences and
lessons learned.
Live Our Culture.
Embrace, embody,
and actively contribute
to our Vision, Values &
Covenants. Nurture
a proud legacy.
Our Vision
Be the world’s premier engineering, construction, and project
management organization by achieving extraordinary results for
our customers, building satisfying careers for our people, and
earning a fair return on the value we deliver.
Our Values Our Covenants
5 BREAKING NEW GROUND
PROJECT HIGHLIGHTS
1. Pacific NorthWest LNG:
Providing front-end engineering
design for a proposed
liquefied natural gas facility,
in British Columbia, for Pacific
NorthWest LNG.
2. Kitimat Modernization
Project: Expanding and modern-
izing a 57-year-old aluminum
smelter and associated hydro-
electric tunnels, in British
Columbia, for Rio Tinto Alcan.
3. Tilbury LNG: Adding new
storage capacity and increasing
liquefaction capacity at the
Tilbury LNG facility, in British
Columbia, for FortisBC.
4. U.S. National Research
Institutions: Managing
Lawrence Livermore and
Los Alamos National Labora-
tories, in California and New
Mexico, respectively, for the
U.S. Department of Energy.
5. Hanford Waste Treatment &
Immobilization Project:
Building a first-of-a-kind facility
to treat radioactive liquid waste
at a former nuclear production
site in Washington state for the
U.S. Department of Energy.
6. Surmont Phase 2:
Designing and managing con-
struction of a steam-assisted
gravity drainage facility, in
Alberta, for ConocoPhillips
and Total.
7. Hanna Region Transmission
Development:
Expanding and upgrading
electrical transmission systems,
in Alberta, for ATCO.
8. Chemical Agent-Destruction
Pilot Plant Projects:
Eliminating chemical weapon
stockpiles at sites, in Colorado
and Kentucky, for the U.S.
Department of Defense.
9. Panda Power Projects:
Constructing three 758-
megawatt and one 778-mega-
watt natural gas-fired com-
bined-cycle facilities, in Texas
and Virginia, respectively, for
Panda Power Funds.
10. Corpus Christi LNG:
Performing engineering,
procurement, and construction
services for three LNG trains
and related facilities being
developed near Corpus Christi,
Texas, for a subsidiary of
Cheniere Energy, Inc.
11. Wolf Creek Generating
Station: Installing buried and
aboveground water piping as
well as excavating and placing
pipe in the cooling lake.
12. Keeyask Generation &
Infrastructure Project:
Constructing the 695-megawatt
hydroelectric power station
on the lower Nelson River, in
northern Manitoba, Canada, for
Manitoba Hydro.
13. North American Growth
Project: Designing and building
an ethylene plant for ExxonMobil
at the Baytown Complex, in
Texas.
14. Sabine Pass LNG: Designing
and constructing the first
four trains of a natural gas
liquefaction plant, in Louisiana,
for Cheniere Energy Partners.
15. Live Oak LNG: Providing
engineering and design services
to develop a liquefied natural gas
export terminal, in Louisiana, for
Live Oak LNG LLC, a subsidiary of
Parallax Energy LLC.
16. Watts Bar Generating
Station: Completing engineer-
ing and construction of Unit 2
at a nuclear generating station,
in Tennessee, for the Tennessee
Valley Authority.
17. U.S. Nuclear Security
Enterprise: Managing and
operating the Y-12 National
Security Complex, in Tennessee,
and the Pantex Plant, in Texas,
and building the new Uranium
Processing Facility, for the U.S.
Department of Energy.
18. Davis-Besse Nuclear
Power Station:
Completed replacement of two
steam generators and a reactor
pressure vessel head at a 900-
megawatt nuclear power plant,
in Ohio, for FirstEnergy Nuclear
Operating Company.
19. Savannah River
Remediation Project:
Remediating radioactive and
hazardous underground waste
tanks, in South Carolina, for the
U.S. Department of Energy.
20. Shell Polymer Plant: Per-
forming front-end engineering
and design for a Shell Chemical
polymer plant, in Pennsylvania.
21. Naval Nuclear Propulsion
Plants: Managing atomic power
laboratories as well as propulsion
plant design and procurement,
in New York and Pennsylvania, for
the U.S. Department of Energy
and the U.S. Navy.
22. Dulles Corridor Metrorail
Extension: Completed construc-
tion of an extension of the
Metrorail, in Northern Virginia,
for the Metropolitan Washington
Airports Authority.
23. Las Bambas Mine:
Constructing a greenfield cop-
per concentrator project, in the
Peruvian Andes, for MMG.
24. Escondida Water Supply:
Building a first-of-a-kind water
system to desalinate and deliver
sustainable freshwater to the
mine, in the Atacama Desert, for
BHP Billiton.
25. Escondida Organic Growth
Project 1: Decommissioning
and demolishing a concentrator
in the Chilean Andes to make
way for a new one to process
high-grade copper ore, for
BHP Billiton.
26. MetrôRio Project: Providing
project management services to
deliver the new six-station,
10-mile (16-kilometer) line 4 of
the subway system in Rio de
Janeiro, for MetrôRio.
27. Sellafield Pile Fuel Cladding
Silo Retrieval Project: Designing
and building silo doors and mod-
ules for retrieval, handling, and
packaging of legacy radioactive
waste, in North West England, for
Sellafield Ltd.
1
2
3
4
4
5
6
7
8 8
9
18
19
24
26
23
10
11
12
16
17
17
13
25
15
21
20
9
22
14
6 THE BECHTEL REPORT 2015
28. Defence Equipment &
Support: Working with the UK
Ministry of Defence to imple-
ment improvements in purchas-
ing, project management, and
key equipment programs, for its
naval and air forces.
29. Crossrail & Reading
Program: Upgrading on-network
and station improvements for
Network Rail.
30. Crossrail: Managing design
and construction of twin 13-mile
(21-kilometer) tunnels and asso-
ciated underground stations
and systems on a new commuter
railway, for Crossrail Ltd.
31. Gatwick Airport: Providing
project management oversight
for a capital investment program
south of London that includes
an expansion of two terminals
and improvements to the airfield,
for Gatwick Airport Limited.
32. Gabon Infrastructure:
Executing the build-out of
national infrastructure to sup-
port sustainable economic
development, for the govern-
ment of Gabon.
33. Angola LNG: Designing
and building a natural gas
liquefaction plant for Angola
LNG Limited.
34. Kosovo Motorway:
Building Route 6, a new 37-mile
(60-kilometer) motorway
linking the capital, Pristina, to
neighboring Macedonia, for the
government of Kosovo.
35. West Nile Delta Gas
Processing Plant: Providing EPC
services for an onshore gas plant
near Alexandria, Egypt, for BP.
36. Chornobyl Shelter
Implementation Plan:
Managing an integrated interna-
tional team overseeing the
design and construction of an
enclosure for a nuclear reactor,
for the European Bank for Recon-
struction and Development.
37. Waad Al Shamaal City
Development: Providing
program management and front-
end engineering and design as
part of the King Abdullah project
for the North Promise Industrial
Mineral City, for Saudi Arabian
Mining Company (Ma’aden).
38. South Caucus Pipeline
Expansion: Performing con-
struction and commissioning
support for the project facilities,
in the country of Georgia, for BP.
39. Riyadh Metro: Designing
and building two metro lines
in Saudi Arabia’s capital of
Riyadh that will form the back-
bone of the city’s public trans-
portation network, for the High
Commission for the Develop-
ment of ArRiyadh.
40. Hamad International
Airport: Completed construc-
tion on this new airport, which
features 41 gates and two of the
world’s longest runways, capable
of handling superjumbo jets, for
the government of Qatar.
41. Muscat International
Airport: Performing engineering,
procurement, and construction
services to create a 28-gate
international airport terminal
and associated facilities, for the
Ministry of Transportation
and Communications of the
Sultanate of Oman.
42. Tengiz Expansion: Providing
engineering, procurement and
construction services to add four
crude-oil storage tanks at the
Tengizchevroil oil production
facility, in Tengiz, Kazakhstan.
41
42
43
44
45
46
31
32
33
34
35
36
37
38
39
40
27
2829
30
43. Wheatstone LNG: Building
a Bechtel-designed two-train
LNG plant and related facilities in
Western Australia, for Chevron.
44. Queensland LNG Projects:
Designing and building three
LNG facilities fed by coal-seam
gas on Curtis Island in Queens-
land, for Australia Pacific LNG,
Gladstone LNG, and Queensland
Curtis LNG.
45. Caval Ridge Mine Project:
Completed construction of a
greenfield open-cut coal mine
with the capacity to produce up
to 5.5 metric tons per year of
quality hard coking coal in
Queensland, for BHP Billiton.
46. Hay Point Coal Terminal
Expansion Stage 3 Project:
Increasing the capacity of this
terminal in Queensland from 44
to 55 metric tons per year with
the construction of a third berth,
for BHP Billiton.
7 BREAKING NEW GROUND
ANTICIPATING
INFRASTRUCTURE
MINING & METALS
NUCLEAR, SECURITY & ENVIRONMENTAL
OIL, GAS & CHEMICALS
8 THE BECHTEL REPORT 2015
TRENDS
29°44'56"N | 93°52'39" W
Sabine Pass Liquefaction Project LA, USA
The oil, gas, and chemicals industry
has shifted dramatically. The drop in oil
and gas prices, alternative energy
sources, expanding competition, eco-
nomic turmoil, and robust reserves
have steadily increased the supply of
energy. At the same time, demand is
growing at a slower pace, causing pro-
ducers and refiners to prioritize and
reduce capital expenditures.
9 BREAKING NEW GROUND
Oil, Gas &
Chemicals
Bechtel is responsible for a third of the
world’s LNG liquefaction capacity under
construction, with projects on three con-
tinents. Led by the robust LNG work, our
OG&C business unit continued its strong
performance worldwide.
On Curtis Island, in Queensland, Australia, our three
simultaneous construction projects for three separate cus-
tomers—Queensland Curtis LNG (QCLNG), Gladstone LNG,
and Australia Pacific LNG—represent the largest concentra-
tion of private capital investment in Australia’s history. We
continue to achieve unprecedented firsts in the building of
three adjacent LNG liquefaction plants, including starting
LNG production for QCLNG on schedule, delivering all
260 modules required for the three plants, and employing
and training 400 adult apprentices—the largest single
class of apprentices in Australian history.
In North America, we are working with Cheniere Energy,
Inc. to transform the Sabine Pass terminal, in Louisiana,
into the first LNG export facility in the contiguous United
States. In 2014, 6,000 workers were employed, and we
made significant progress on the project. First exports are
scheduled for late 2015. Elsewhere in the region, we were
selected for two other LNG export facilities: the design
and build of a second facility in Corpus Christi, Texas, for
Cheniere; and the design of a midscale liquefaction facility
and export terminal in Louisiana, for Parallax.
Queensland Curtis LNG Queensland
BUSINESS REVIEW
10 THE BECHTEL REPORT 2015
Construction began on a new liquefaction train at the
Tilbury LNG plant in British Columbia, Canada, for FortisBC.
The expansion includes a new 1.6-million-cubic-foot
(46,000-cubic-meter) full-containment storage tank.
Our partnership with Linde—a leading supplier of industrial,
process, and specialty gases—resulted in two new projects.
In June, we started construction of a multibillion-dollar eth-
ylene plant at ExxonMobil’s Baytown Complex, in Texas.
Shell Chemical selected Bechtel to perform front-end engi-
neering and design work for a multibillion-dollar ethylene
and polymer plant, in Pennsylvania.
Market Opportunities
?
Mexico: Oil and gas exploration is growing in part
due to legislative changes that opened up the market
to global partnerships.
?
Sub-Saharan Africa: Governments seek to tap into their
nation’s natural resources to produce energy and to
apply revenues derived from exports to fund needed
infrastructure projects.
?
LNG: There is an emerging market for midsize facilities.
These smaller solutions are less capital-intensive, can be
constructed rapidly, and are easily aligned with existing
pipelines. In 2014, dozens of companies in the United
States submitted applications to the U.S. Department of
Energy to build LNG export facilities though recent price
changes are likely to cause the shale gas industry to not
sustain its recent and rapid development.
?
Petrochemicals: Cost-competitive natural gas is helping
the U.S. petrochemical industry, which uses the gas and
its byproducts, like ethane and propane, in manufactur-
ing. We see a marked increase for fertilizer, propane
dehydrogenation, and ethane cracker facilities.
BREAKING NEW GROUND:
Putting All The Pieces Together
Modularization plays a vital role in the success of
our Australian LNG projects. We construct hundreds
of modules for these projects—many of which weigh
up to 5,000 tons—in the yards we manage in China,
Indonesia, Malaysia, the Philippines, and Thailand.
We then ship them to the project sites, where they
are connected and tested.
This approach provides our customers with cer-
tainty of cost and schedule, improves safety and
quality, and mitigates project delivery risks.
Queensland Curtis LNG Queensland
Bechtel is a global leader in the integrated design, procurement, construction, and project manage-
ment of oil, chemical, and natural gas processing facilities. Our customers rely on our expertise to
deliver liquefied natural gas capacity, refineries and petrochemical plants, pipelines, ofshore facilities,
tanks, and terminal facilities.
11 BREAKING NEW GROUND
BUSINESS REVIEW OIL, GAS & CHEMICALS
12 THE BECHTEL REPORT 2015
Select 2014 Accomplishments
?
Completed Chevron’s new lubricants manufacturing
facility in Pascagoula, Mississippi; the plant will manu-
facture 25,000 barrels per day of premium base oil, the
main ingredient in the production of top-tier motor oil
?
Awarded a contract to support the South Caucus Pipe-
line Expansion project, in the country of Georgia
?
Awarded a contract to provide engineering, procure-
ment, and construction services to build four crude-oil
storage tanks at the Tengizchevroil oil production
facility, in Tengiz, Kazakhstan
Looking Forward
We are optimistic about 2015 and beyond as we balance
and align prospects with the geopolitical and economic
climate. To better meet evolving customer needs and
fast-changing market demands, we are:
?
Diversifying our customer base and oferings in our
LNG, ofshore, onshore, petrochemicals, tanks, and
pipeline businesses
?
Expanding our presence in North America, Africa, the
Middle East, and Southeast Asia
?
Positioning the business to take advantage of the
emerging smaller-scale LNG market
?
Employing innovative processes, such as our integrated
self-perform modularization program
?
Enhancing our world-class direct-hire construction
execution capability in order to respond to our custom-
ers’ challenges to control project costs, ensure schedule
certainty, and raise financing
We continue to pursue work around the globe where the
business environment aligns with our values and the
market conditions support the development of projects.
Pascagoula Base Oil Project Mississippi, USA
Bechtel Hydrocarbon Technology
Solutions
Our standalone Center of Excellence—Bechtel Hydrocar-
bon Technology Solutions—provides our customers with
innovative solutions, using the latest technologies, built on
the foundation of our unequaled knowledge of project
delivery. In 2014, we acquired Chevron’s wastewater treat-
ment technology, which improves the eficiency of petro-
leum refineries, and we signed a license agreement with
the INA-Industrija nafte, d.d., for the process design of a
delayed coking unit, in Croatia.
13 BREAKING NEW GROUND
ALIGNING
INFRASTRUCTURE
MINING & METALS
NUCLEAR, SECURITY & ENVIRONMENTAL
OIL, GAS & CHEMICALS
THE BECHTEL REPORT 2015 14
EXPERTISE
23°39'12"S | 70°16'34"W
Escondida Organic Growth Project 1 Chile
It was a challenging year for the mining
and metals industry. Declining prices
in commodities led to a significant con-
traction in the resource market, resulting
in lower capital expenditures and project
delays. The industry is also facing the
dificult challenges of establishing
afordable access to the energy and
water needed to operate mines, and of
managing public perception.
Recognizing these pressures, we sought
new ways to help our customers stream-
line processes and reduce costs to best
achieve their goals.
15 BREAKING NEW GROUND
In Chile, our work building the world’s highest-capacity,
single-line copper concentrator, at BHP Billiton’s Organic
Growth Project 1 (OGP1), is progressing at the Escondida
mine in the Atacama Desert. We also began work on a first-
of-a-kind water system to desalinate and deliver sustain-
able freshwater to the mine, which is considered the
world’s largest producer of copper, from an ocean intake
more than 112 miles (180 kilometers) away.
In central Queensland, Australia, we worked on the final
two projects associated with the Brisbane Hub, which was
created to facilitate fast, smooth execution of projects for
industry leader BHP Billiton. The Caval Ridge Metallurgical
Coal project, which is the largest greenfield coal mine in
Australia, achieved world-class safety, environmental, and
health standards. At the nearby Hay Point Coal Terminal, we
continued to make progress on the facility’s expansion. The
first coal load took place in December, and the project is
expected to be complete in mid-2015. To reduce costs, we
Mining & Metals
Bechtel has adapted to market changes
and customer needs for 117 years. For
our mining and metals customers, we
broadened our oferings to include
industrial water supply systems, power,
supporting infrastructure, waste man-
agement, and pipelines to help them
achieve cost eficiencies and provide a
single point of accountability across
their projects.
In Peru, we continued construction on a greenfield copper
concentrator at Las Bambas, in the Peruvian Andes. This
year we applied Six Sigma techniques to improve produc-
tivity at the project, and we topped out steel on the grind-
ing structure.
BUSINESS REVIEW
Caval Ridge Metallurgical Coal Project Queensland
16 THE BECHTEL REPORT 2015
Bechtel is a global leader in the design, procurement, construction, and project management of natu-
ral resource processing facilities and infrastructure. Our expertise includes ferrous, nonferrous, pre-
cious, and light metals, as well as industrial metals. We excel at logistically challenging projects, often
in remote locations, and help our customers produce everything from aluminum to zinc.
BREAKING NEW GROUND:
From the Ocean to the Andes
In Chile, we are creating a first-of-a-kind water sys-
tem that will desalinate and deliver sustainable
freshwater to the world’s largest copper mine. The
water will travel more than 112 miles (180 kilome-
ters)—from the ocean and through the desert—to its
destination 10,500 feet (3,200 meters) above sea
level, in the Andes Mountains.
The project is groundbreaking not only in its scale
and complexity, but also in its execution. It requires
the building of one of the world’s largest desalina-
tion facilities, two massive pipelines, and four
high-pressure pumping stations.
Escondida Water Supply Chile
employed an innovative modularization approach similar to
the one used on Bechtel’s four Australian LNG projects.
We continue to make headway into the aluminum market in
the Middle East. The successful completion of a feasibility
study in early 2014 led to the award of a contract to build
the Shaheen Alumina Refinery Project, in the United Arab
Emirates (UAE). Bechtel has worked in the region for more
than 70 years and in the UAE for more than 50 years—
positioning us well for new mining and metals work needed
to support the region’s growing industrialization.
Select 2014 Accomplishments
Achieved more than 5 million hours without a lost-time
incident at the Caval Ridge Mine project, in Australia;
10 million hours on Las Bambas, in Peru; and surpassed
10 million hours on OGP1, in Chile
?
Completed the Caval Ridge Metallurgical Coal project
four months ahead of schedule and under budget
?
Garnered an Award of Merit for Global Best Projects
from Engineering News-Record for the Ras Al Khair
aluminum smelter, which we completed in 2013
Looking Forward
We will continue to support our customers and adapt to
market dynamics. Specifically, we are:
?
Working closely with existing customers and partners to
develop innovative, more cost-efective ways to best
achieve their goals
?
Expanding our portfolio to ofer customers a suite of
services that combines the expertise of Bechtel, includ-
ing industry water solutions, infrastructure, and energy
?
Broadening our customer base and geographic
footprint
?
Exploring new ways to apply technologies to address
customer needs
17 BREAKING NEW GROUND
TRANSFORMING
INFRASTRUCTURE
MINING & METALS
NUCLEAR, SECURITY & ENVIRONMENTAL
OIL, GAS & CHEMICALS
THE BECHTEL REPORT 2015 18
DELIVERY
38°15'16"N | 104°36'33"W
Chemical Agent-Destruction Pilot
Project-Pueblo CO, USA
Government customers face unprece-
dented challenges critical to national
security, including weapons demilitariza-
tion, environmental cleanup, and facili-
ties modernization. These missions often
require one- or first-of-a-kind solutions,
and they must be achieved regardless of
shifts in the regulatory, political, and
budgetary landscape.
Commercial customers in the nuclear
power industry are addressing similar
pressures. Many utilities have turned
away from building new nuclear units,
focusing instead on cutting costs and
extending the operating life of existing
facilities.
Bechtel is focusing our eforts on trans-
forming mission delivery so our cus-
tomers can achieve mission success.
19 BREAKING NEW GROUND
our expertise, we help our government and commercial
customers navigate a changing environment and achieve
mission success.
Among the notable wins in 2014 was the selection by the
UK Ministry of Defence to help transform the delivery of
military support services, and to drive improvements in
purchasing, project management, and key equipment pro-
grams that support the Royal Navy and Air Force.
In the United States, the project team at the Pueblo Chemi-
cal Agent-Destruction Pilot Plant received the American
Institute of Chemical Engineer’s 2014 Engineering and Con-
struction Award for successfully completing the design
and construction of the plant. In 2015, the United States will
Nuclear, Security
& Environmental
The Nuclear Security & Environmental
business unit had a solid year. We set a
record for new work, despite shrinking
government budgets and the near-term
uncertainty in the nuclear industry.
This year, we consolidated our nuclear, environmental, and
security businesses to better deliver across our customers’
project life cycle—from research and development to
decontamination and decommissioning.
By forming co-operative solutions with government
customers, delivering ongoing innovation, and combining
Hanford Waste Treatment and Immobilization Plant
Washington, USA
BUSINESS REVIEW
20 THE BECHTEL REPORT 2015
Bechtel delivers world-class engineering, procurement, construction, operations, and project
management services to government and commercial customers to addresses challenges that pro-
foundly afect local communities, nations, and the world. Our expertise spans activities in applications
as diverse as defense, global security, nuclear energy, and environmental stewardship.
make a significant step toward complying with a treaty to
destroy all of its chemical weapons and to begin neutraliz-
ing 2,600 tons of aging mustard agents at this facility.
Significant progress was made at the Hanford Waste Treat-
ment and Immobilization Project, a one-of-a-kind complex
that will immobilize nuclear waste. For a second time, the
Bechtel-led project earned Star status, the highest recogni-
tion in worker safety, from the U.S. Department of Energy’s
Voluntary Protection Programs.
Bechtel-led Consolidated Nuclear Security, LLC was
selected by the Department of Energy for the combined
management of the Pantex Plant, in Texas, and the Y-12
BREAKING NEW GROUND:
Accelerating the Nuclear Cleanup
at Savannah River
Five decades of nuclear materials, including pluto-
nium and tritium, produced for use in U.S. weapons,
created nearly 37 million gallons (140 million liters)
of liquid radioactive waste. That waste is stored in
underground steel tanks along the Savannah River,
which stretches for 314 miles (505 kilometers) to the
Atlantic Ocean and borders the states of Georgia
and South Carolina.
Bechtel is part of the team contracted by the U.S.
Department of Energy that is operating the Savan-
nah River Remediation liquid waste complex and
remediating radioactive and hazardous under-
ground waste tanks. To date, we have closed more
than 300 of the site’s 515 waste areas, and we are
accelerating the cleanup lifecycle by 13 years,
which will save the agency more than $450 million.
Savannah River Remediation
South Carolina, USA
National Security Complex, in Tennessee—two nuclear
security weapons facilities separated by more than 1,000
miles (1,609 kilometers). This approach will yield significant
savings during the course of the contract. Bechtel will also
design and construct the Uranium Processing Facility at
Y-12, a critical national security resource that will replace
aging Cold War-era facilities.
The Bettis and Knolls Atomic Power Laboratories, two
world-class research and development facilities operated
by Bechtel Marine Propulsion Corporation, were con-
solidated into a single organization in continued support
of the U.S. Navy’s nuclear-powered submarines and
aircraft carriers.
21 BREAKING NEW GROUND
BUSINESS REVIEW NUCLEAR, SECURITY & ENVIRONMENTAL
22 THE BECHTEL REPORT 2015
Looking Forward
We are focused on supporting our customers on existing
projects and leveraging our expertise to support new-build
programs for European owners. The best opportunity is
in the UK, where an aging nuclear and coal fleet must be
replaced by the mid-2020s. We are working with EDF
Energy to support management of the Hinkley Point proj-
ect and will make a considerable investment to develop our
UK nuclear project execution capability.
We expect to grow the business by partnering with our
customers to develop new processes and techniques to
safely and cost efectively meet mission requirements.
As part of our strategy, we are:
?
Growing our capabilities to provide services throughout
the life cycle of customers’ facilities
?
Transforming mission delivery for our government
customers by leveraging our project management
principles and commercial approaches
?
Strengthening our next generation of expertise
through knowledge-management systems and full
life-cycle support
?
Expanding our customer base and global footprint
We have also established a permanent engineering and
procurement execution center in Virginia. The facility
provides a centralized workforce that can quickly respond
to customer needs.
2014 Select Accomplishments
?
Completed the replacement of two steam generators
and the reactor coolant piping at the Davis-Besse
Nuclear Power Station, in Ohio. This pressurized water
reactor located 35 miles (56 kilometers) east of Toledo,
produces 908 megawatts of electricity, enough to
power 450,000 homes.
?
Received the prestigious James S. Cogswell Outstand-
ing Industrial Security Achievement Award from the U.S.
Department of Defense’s Defense Security Service. Less
than 1 percent of more than 13,000 cleared contractors
receive this annual award, which recognizes how we
maintain the highest standards for protection of the
nation’s classified assets.
?
Concluded open vessel and primary cold hydrostatic
testing at the Watts Bar Unit 2 Completion project, in
Tennessee. This will be the first U.S. nuclear unit built this
century. Scheduled for completion in 2015, Watts Bar
Unit 2 will generate enough carbon-free electricity to
power 650,000 homes.
?
Honored by the DOE with a Capital Project of the
Year designation for the Radiological Laboratory and
Utility Ofice Building at the Los Alamos National Labora-
tory. Also earned six 2014 R&D 100 Awards, known in
the industry as the Oscars® of Invention, for applications
in national security, energy, and health sciences at
the Lawrence Livermore and Los Alamos laboratories,
managed and operated by a partnership led by the
University of California and Bechtel.
?
Completed ahead of schedule one of the nation’s larg-
est nuclear power plant piping replacement projects, at
the Wolf Creek Generating Station, in Kansas. This is a
significant upgrade that improved the overall safety and
reliability of the plant, which provides clean, reliable, and
safe power to thousands of people.
?
Oversaw the connection of the halves of the arches for
the Chornobyl Shelter Implementation Plan.
Bechtel has performed engineer-
ing and construction services on
85 percent of the operating
nuclear plants in the United
States. We remain committed to
assisting our power customers in
every stage of their business.
Watts Bar Unit 2 Completion Project Tennessee, USA
Chornobyl Shelter Implementation Plan Ukraine
23 BREAKING NEW GROUND
BUILDING
INFRASTRUCTURE
MINING & METALS
NUCLEAR, SECURITY & ENVIRONMENTAL
OIL, GAS & CHEMICALS
THE BECHTEL REPORT 2015 24
PROGRESS
51°27'1"N | 0°58'31"W
Crossrail & Reading Program UK
The rapid increase in the worldwide pop-
ulation and the rise of urbanization are
driving demand for resilient and reliable
infrastructure. The world’s population is
projected to increase from some 7 billion
today to 9.6 billion by 2050. Meeting this
growth requires the equivalent of a new
city of 1.5 million people to be built every
week for the next 35 years.
At Bechtel, infrastructure is more than
just steel, concrete, and asphalt. It is
about developing thriving economies,
connecting communities, and building
for the future.
25 BREAKING NEW GROUND
Ivanpah Solar Electric Generating System California, USA
Macedonia. This new award comes on the heels of the suc-
cessful completion of the country’s first motorway, Route 7,
which was delivered by our team a year ahead of schedule.
Construction started on the largest new hydroelectric proj-
ect in Canada. The 695-megawatt Keeyask Generation and
Infrastructure project will provide power to Manitoba and
the northern United States. It is part of a larger plan to
develop hydroelectric power in Canada, and several power
stations are in various stages of study and development.
Hydropower ofers key benefits to the regions it serves: It’s
clean, it’s domestic, and it’s renewable. Africa also ofers
excellent potential for hydroelectric projects.
Bechtel is responding to the worldwide demand for energy
by delivering a variety of thermal, renewable energy, and
Infrastructure
Our Infrastructure business performed
well in 2014. We received an extension
on a signature master planning and
urban development program: the Gabon
National Infrastructure project, in Africa.
In Gabon, we helped the government develop a $25 billion
national infrastructure master plan and are now supporting
the delivery of hundreds of projects such as roads, water,
power, schools, hospitals, and housing. Building on our
success at Jubail, we are currently helping to define four
new economic cities in Saudi Arabia.
A Bechtel joint venture was selected to build a new 37-mile
(60-kilometer) motorway linking Kosovo’s capital, Pristina, to
BUSINESS REVIEW
26 THE BECHTEL REPORT 2015
transmission solutions that power the growth of global
infrastructure. We are taking advantage of an innovative
standard plant and execution model to build four of the
cleanest gas-fueled power plants in the United States for
Panda Power Funds. These clean gas-fueled plants can
achieve full power production within an hour, ofsetting
the efect of fluctuating electricity output from renewable
energy sources. When completed, the four plants
will collectively generate enough electricity to power
approximately 4 million homes. In Virginia, we were
awarded a contract to build a new 778-megawatt natural
gas-fueled, combine-cycle power plant that will use
reclaimed wastewater to cool the plant, conserving the
Commonwealth’s natural supply of drinking water. Further,
BREAKING NEW GROUND:
Powering Progress
The Hanna Region Transmission Development
project in Alberta, completed for ATCO Electric
this year, was extensive. About 60 percent of the
area where the project was built passed through
protected pasture, native grasses, and wetlands that
are also popular wildlife breeding grounds.
To minimize the impact on these sensitive areas, the
project team used a mobile app to ensure that the
field team had customized information about
accessing land parcels and environmental regula-
tions. Automated checklists built into the app
allowed the team to conduct environmental and
safety checks while monitoring the project for qual-
ity compliance. The team also had special handheld
devices that allowed them to see the boundaries
of the environmentally sensitive areas and make
decisions about next steps while in the field.
Hanna Region Transmission Development Alberta
the facility will be built along existing transmission lines,
eliminating the need for additional power lines.
We also completed the Ivanpah Solar Electric Generating
System, the world’s largest solar thermal facility. Located in
Southern California’s Mojave Desert, Ivanpah was named
POWER magazine’s 2014 Plant of the Year. This award is
presented to projects that lead the industry in the success-
ful deployment of advanced technology while minimizing
environmental impact.
We continue to support the deployment of wireless tech-
nology in six major metropolitan markets, providing engi-
neering, procurement, and construction services across
16,000 cellular sites.
We design and build vital infrastructure—rail systems, roads, bridges, aviation facilities, power plants,
transmission networks, hydroelectric installations, communications networks, water systems, and
ports—to improve quality of life and foster sustainable economic growth the world over.
27 BREAKING NEW GROUND
BUSINESS REVIEW INFRASTRUCTURE
28 THE BECHTEL REPORT 2015
2014 Select Accomplishments
?
Broke ground on the $10 billion landmark Riyadh Metro
project, in Saudi Arabia
?
Completed the massive expansion of Reading train sta-
tion, in London, on schedule and within budget
?
Passed the halfway mark on our work on the Crossrail
commuter line, a project that includes 26 miles (42
kilometers) of new rail tunnels under London
?
Completed the Dulles Corridor Metrorail project, one of
the largest infrastructure projects in the United States
?
Completed a full passenger opening of Hamad Interna-
tional Airport, in Qatar
?
Completed the Eastern Alberta Transmission Line, in
Canada—building more than 220 miles (354 kilometers)
of transmission line
Looking Forward
The future of infrastructure is extremely promising. We
expect exponential demand for rail, primarily in the Middle
East, where developing public transport networks to con-
nect Gulf Cooperation Countries is a regional priority. In the
UK, large-scale investments are being made to improve the
existing network to accommodate the projected increase
in passenger demand. Growth in Eastern Europe and
North America has many municipalities seeking incentive
financing for much-needed infrastructure projects: roads,
highways, and bridges. Airports worldwide require modern-
ization as facilities age, travel volume increases, and airlines
move toward high-frequency, low-cost aircraft.
Access to sustainable and reliable energy will continue to
be essential to development and a priority in developed
regions. We are taking steps to increase our presence in
core regional markets—the Middle East, the Americas, and
Europe—and pursuing opportunities in Sub-Saharan Africa
and Asia. As part of our strategic focus, we are also:
Dulles Corridor Metrorail Extension Virginia, USA
?
Using our master-planning expertise to help govern-
ments develop new economic cities and expand and
upgrade airports
?
Pursuing public-private partnerships, particularly in
North America, to meet the needs of governmental
organizations interested in attracting private investment
to fund infrastructure development
?
Adapting our tunneling, large pipeline, and heavy
civil capabilities to supply and convey large amounts
of water to our industrial, government, and utility
customers in response to increased scarcity and
higher demands
?
Designing and constructing critical infrastructure
components, such as roads, ports, and bridges, for
major LNG facilities
Waad Al Shamaal City Development Saudi Arabia
29 BREAKING NEW GROUND
?
Engaged 15,000 young people through JA programs
in 13 countries
?
Worked with more than 2,500 students through
classroom visits and hands-on learning activities
with DiscoverE
?
Supported the Nautilus expedition of Oceanic
Exploration Trust through volunteering, events,
and university partnerships
Diversity
We are proud to be recognized as a top employer for
women and minority engineers, earning the Best Diversity
Company designation by Engineering and Information
Technology magazine for four consecutive years. We also
were named a 2014 Military Friendly Employer® by the pub-
lishers of G.I. Jobs and Military Spouse. In the UK, nearly a
quarter of our colleagues are women, including 14 percent
of the engineering population—which is more than twice
the UK industry average.
Sustainability
In 2014, we strengthened our commitment to deliver sus-
tainable solutions for long-term prosperity. We helped
reduce particulate emissions by 85 percent on the Crossrail
project. The U.S. Department of Energy recognized several
of our projects with 12 sustainability awards. We spent more
than $78 million on goods and services from local suppliers
in 16 remote Peruvian towns in the Andes. In these ways
and more, we continue to seek approaches to improve
outcomes for our customers and the societies that benefit
from them.
Creating
Opportunity
Our focus extends far beyond the
project. We are committed to building
opportunity everywhere we work, by
sharing our time, talents, and resources
with local communities and partners
to improve quality of life. For us, that
means we roll up our sleeves and get
the job done.
We partner with five international nonprofit organizations—
DiscoverE, Engineers Without Borders, FIRST® Robotics,
Junior Achievement®, and Oceanic Exploration Trust—our
Signature Programs. In 2014, thousands of colleagues and
family members at more than 30 Bechtel locations on six
continents actively participated in these programs.
In 2014, we:
?
Added new Engineers Without Borders (EWB) programs
in Malaysia and Virginia, USA; new FIRST® Robotics
partnerships in Florida and Kentucky, USA; and Junior
Achievement® (JA) programs in Dubai, UAE; Kentucky,
USA; and Peru
?
Assisted more than 67,500 people (directly and indi-
rectly) from 19 Bechtel grants to EWB chapters
?
Reached nearly 25,000 students through Bechtel
funding of FIRST programs in the United States and
throughout the world
Engineers Without Borders,
Queensland
Students learn how to build water filters
out of common household materials.
30 THE BECHTEL REPORT 2015
DiscoverE, USA
During the annual family engineering day at the
National Building Museum in Washington, D.C.,
Bechtel and American Society of Civil Engineers
volunteers taught kids how to build on a budget.
Mentoring A Girl In Construction
(MAGIC), USA
Our colleagues spent the week at a
MAGIC camp in Houston, Texas.
FIRST® LEGO® League National
Tournament, Chile
Bechtel’s BechBot team received the Strategy
and Innovation Award in the Robot Design
Category at the FIRST LEGO League - Chile final.
31 BREAKING NEW GROUND
Riley Bechtel
Chairman of the Board
Bill Dudley
Chief Executive Oficer
Brendan Bechtel
President &
Chief Operating Oficer
Peter Dawson
Chief Financial Oficer
Michael Bailey
General Counsel
Mike Adams
Strategic Projects
INFRASTRUCTURE
Toby Seay
President
Chris Dering
Aviation
Walker Kimball
Civil-Global
Scott Osborne
Power
Ailie MacAdam
Rail
NUCLEAR, SECURITY &
ENVIRONMENTAL
Craig Albert
President
Brian Sheridan
Defense & Security
Michael Graham
Environmental
Ty Troutman
Nuclear Power
John Howanitz
Nuclear Security &
Operations
MINING & METALS
Shaun Kenny
President
Paige Wilson
Americas
OIL, GAS & CHEMICALS
Jack Futcher
President
Jim Ivany
Manager of Operations
Alasdair Cathcart
LNG
Joe Gebara
Ofshore
Scott Johnson
Onshore
Jamie Cochrane
Petrochemicals
Steve Hawkins
Pipeline
Ron Blum
Tanks
REGIONS
Ian Laski
President
Asia Pacific
David Welch
President
Europe, Africa,
& Middle East
Héctor García
President
Latin America
BOARD OF DIRECTORS,
BECHTEL GROUP, INC.
EXECUTIVE DIRECTORS
Mike Adams
Craig Albert
Michael Bailey
Brendan Bechtel
Peter Dawson
Bill Dudley
Jack Futcher
Andy Greig
John MacDonald
NON-EXECUTIVE
DIRECTORS
Riley Bechtel
Chairman of the Board,
Bechtel Group, Inc.
Steve Bechtel, Jr.
Senior Director
Bechtel Group, Inc.
Leigh Cliford , AO
Chairman, Qantas
Airways Limited,
and former CEO, Rio
Tinto Group
Alan Dachs
President & CEO
Fremont Group
Bob Joss
Dean Emeritus, Graduate
School of Business,
Stanford University &
CEO, Retired, Westpac
Banking Corporation
Nick Moore
Former Global Chairperson,
PricewaterhouseCoopers
David O’Reilly
Former Chairman and
CEO, Chevron
Dan Warmenhoven
Former Executive
Chairman, NetApp
EPC MANAGEMENT
Barbara Rusinko
Engineering, Procurement &
Construction Functions
Mike Lewis
Construction & Bechtel
Equipment Operations
Amos Avidan
Engineering & Technology
Jef Shoop
Environmental,
Safety & Health
David Hammerle
Procurement & Contracts
Mike Fox
Project Controls
Scott Monson
Quality & Six Sigma
Joe Diaz
Startup
OTHER MANAGEMENT
Eric Parker
Bechtel Enterprises
Anette Sparks
Controller & Business
Services
Charlene Wheeless
Corporate Afairs
Nancy Higgins
Ethics & Compliance
Larry Melton
Human Resources
Carol Zierhofer
Information Systems &
Technology
Lynne Saint
Internal Audit
Michael Wilkinson
Risk Management
Tam Nguyen
Sustainability
John Deshong
Tax
Kevin Leader
Treasury
LEADERSHIP
32 THE BECHTEL REPORT 2015
Bechtel is a premier engineering,
construction, and project management
company with projects in 40 countries.
www.bechtel.com
doc_531217215.pdf
Bechtel, we know that our customers' projects demonstrate progress. They bring opportunity for individuals and regions. Infrastructure efforts improve communication, as well as connect communities to commerce and citizens to vital services. Energy projects-from combined cycle to oil and gas-deliver reliable and sustainable access to power for future prosperity.
INFRASTRUCTURE
MINING & METALS
NUCLEAR, SECURITY & ENVIRONMENTAL
OIL, GAS & CHEMICALS
THE BECHTEL REPORT 2015
BREAKING
NEW
25°15’41”N | 51°33’54”E
Hamad International Airport Qatar
2 Executive Letter
5 Vision, Values & Covenants
6 Project Highlights
8 Oil, Gas & Chemicals
14 Mining & Metals
18 Nuclear, Security & Environmental
24 Infrastructure
30 Creating Opportunity
32 Leadership
THE BECHTEL REPORT 2015
At Bechtel, we know that our customers’ projects demon-
strate progress. They bring opportunity for individuals
and regions. Infrastructure eforts improve communica-
tion, as well as connect communities to commerce and
citizens to vital services. Energy projects—from com-
bined cycle to oil and gas—deliver reliable and sustain-
able access to power for future prosperity. Work in the
mining industry delivers natural resources and new
sources of revenue to developing regions. Government
customers take on nuclear and environmental eforts that
create a cleaner, safer society for future generations.
It is our responsibility to help our customers deliver on
the promise of these projects and more. We work to
ensure we protect the environment and conserve natural
resources; support local communities, create new jobs
and improve economies.
We are not motivated to be the largest engineering,
procurement, and construction (EPC) company in the
industry; we are determined to be the best.
We do that by anticipating trends, aligning our expertise
with customers’ needs, transforming delivery, building
progress, and breaking new ground in everything we do.
BREAKING
NEW
GROUND
To our customers and colleagues:
Every day, around the world, we aspire
to achieve extraordinary results for our
customers, build satisfying careers for
our people, and deliver on our promises.
In 2014, we stayed true to that focus.
We completed the Dulles Metrorail Expansion, one of the
largest rail projects in the United States, as well as Hamad
International Airport, one of the most modern airports in
the world, in Qatar.
Elsewhere in the United States, in California’s Mojave
Desert, we delivered the award-winning Ivanpah Solar Elec-
tric Generating System, which is powering 140,000 homes
with clean, solar energy and reducing carbon dioxide
emissions by more than 400,000 tons per year. In Texas,
Panda Temple and Panda Sherman, two of the country’s
cleanest combined-cycle plants, were completed and
handed over to our customer ahead of schedule. Our proj-
ect team at the Pueblo Chemical-Agent Destruction Pilot
Plant, in Colorado, is completing systemization and was
awarded the operations phase of the contract, important
steps toward helping the U.S. meet its treaty obligations to
eliminate its remaining inventory of chemical weapons.
We delivered the first cargo of liquefied natural gas (LNG)
for export from Curtis Island on schedule for our customer,
Queensland Curtis LNG (QCLNG), a BG Group company.
This first-of-a-kind project is one of three ongoing Bechtel
projects to launch a new coal seam gas industry in
Queensland, Australia.
We completed the Caval Ridge metallurgical coal project
under budget and three months ahead of schedule. This
facility will increase Queensland’s coal exports by 5.5 mil-
lion metric tons per year.
In the UK, we finished the Reading Station expansion,
which has doubled the capacity of one of the busiest sta-
tions outside of London. The new station was formally
opened by Her Majesty Queen Elizabeth II in July 2014.
These accomplishments—and hundreds more—would not
have been possible without the commitment, passion,
expertise, and hard work of our 58,000 colleagues world-
wide. By partnering with our customers, we are helping to
deliver landmark projects that are fostering sustainable
progress and helping local economies.
EXECUTIVE LETTER
Bill Dudley Chief Executive Oficer
Revenue in billions of U.S. dollars
$27.9
$32.9
$37.9
$39.4
$37.2 2014
2013
2012
2011
2010
New Work Booked in billions of U.S. dollars
$21.3
$53
$23.9
$34
$18.4 2014
2013
2012
2011
2010
Backlog Revenue in billions of U.S. dollars
$70.5
$88.2
$91.8
$104.4
$78.1
2014
2013
2012
2011
2010
Financial Performance
Work-of revenue for 2014 totaled $37.2 billion, down
5.6 percent from 2013. Our New Work Booked result, which
fluctuates year to year, was significantly down at $18.4 bil-
lion in comparison to our excellent 2013. Our 2014 book-
ings were impacted by capital cost cuts in the mining and
2 THE BECHTEL REPORT 2015
Brendan Bechtel President & Chief Operating Oficer
Riley Bechtel Chairman of the Board
in Canada and parts of the northern United States. We are
working with ExxonMobil on an ethylene plant in Texas, and
we began work on a 750-megawatt combined-cycle gener-
ating station in Virginia. The U.S. Department of Energy
reafirmed its selection of the Bechtel-led team to manage
the consolidation of two nuclear weapons facilities—the
Pantex Plant, in Texas, and the Y-12 National Security Com-
plex, in Tennessee—and build a uranium processing facility
that will replace aging Cold War-era facilities.
The UK Ministry of Defence selected Bechtel to support its
national security eforts by transforming its procurement
processes to equip the British Armed Forces with neces-
sary supplies. Following the successful delivery of Kosovo’s
first motorway ahead of schedule, the government turned
to us to build the new 37-mile (60-kilometer) motorway
linking Pristina, the capital, to neighboring Macedonia.
In Africa, Bechtel was selected to manage the construction
of the Catembe Bridge in Maputo, Mozambique, and in
the Middle East, we were selected to build a new alumina
refinery in Abu Dhabi.
Safety
Public and project safety is—and always will be—para-
mount for Bechtel. In 2014, we had the best safety perfor-
mance in our company’s history with our lowest recordable
incident rate. Eighty-five percent of all Bechtel locations
completed the year without a single lost-time incident, and
11 of our projects recorded more than 10 million or more
safe work hours. While we are proud of these achieve-
ments, we believe every incident, and therefore every
occupational injury, is preventable. Zero incidents is the
only acceptable goal, and we work to achieve it for every
person, every day, everywhere.
energy sectors, compounded by uncertain world growth
that caused many customers to defer anticipated awards
into 2015. Our backlog, at $70.5 billion, remains strong.
We look forward to 2015 in anticipation of important awards
that have been in development for some time.
New Business
We are pleased that our customers continue to trust us to
deliver their critical projects that span all industries.
In Canada, we broke ground on the Keeyask Generation
and Infrastructure project. This new 695-megawatt power-
house, in Manitoba, will provide energy to 400,000 homes
3 BREAKING NEW GROUND
EXECUTIVE LETTER
Poised for the Future
In 2014, we took proactive steps to strengthen our busi-
ness, drive opportunities in new markets, and streamline
our cost structure to improve our competitiveness.
We consolidated five global business units into four; Infra-
structure; Mining & Metals (M&M); Oil, Gas & Chemicals
(OG&C); and Nuclear, Security & Environmental (NS&E).
We are increasing our focus on and investment in engineer-
ing skills, with ambition to achieve broad customer recog-
nition as best engineer in our industry. We continue to
develop new ways to deliver high-quality projects ahead of
schedule and under budget.
We are proud to be shaping our industry with innovative
approaches to deliver the complex, unique projects upon
which our customers depend. Our new EPC Innovation
Centers in Houston and London will push the limits
of virtual project delivery and drive improvements in our
integrated global EPC delivery model.
Low oil and natural gas prices combined with low world-
wide growth and increasing global uncertainty create a
challenging macroeconomic environment for EPC compa-
nies like Bechtel. However, we anticipate an excellent year
in new awards in 2015 as many of our key prospects that
have been in development for some time are expected to
proceed despite the economic headwinds.
In 2015, we will continue to invest in our business for the
long-term and look forward to working with our customers
to break new ground, achieve new milestones, and deliver
projects that will improve the world.
Riley Bechtel
Chairman of the Board
Bill Dudley
Chief Executive Oficer
Brendan Bechtel
President & Chief Operating Oficer
4 THE BECHTEL REPORT 2015
VISION, VALUES & COVENANTS
Ethics.
We are uncompromising
in our integrity, honesty,
and fairness.
Safety & Health.
We are relentless in
keeping people safe
from harm, and we
provide a healthy work
environment.
Quality.
We are passionate about
excellence and doing our
work right the first time.
Our reputation depends
on our delivered value
in the eyes of every
customer and community.
People.
We inspire each other
with important work full
of purpose, challenging
development oppor-
tunities, and rewarding
careers. We aspire to be
the employer of choice
in our industry.
Relationships.
We build positive,
long-term relationships
with our customers,
joint-venture partners,
subcontractors, suppliers,
and colleagues that are
built on trust, respect,
and collaboration.
Innovation.
We develop and apply
world-class technology.
We listen, learn, and seek
out the best ideas. We
attack complacency and
continually improve.
Sustainability.
We improve the quality
of life in communities
where we work by
respecting local cultures,
engaging local people,
and protecting the
environment.
Wherever we go and
whatever we do, we:
Demonstrate Integrity.
Exercise the highest
level of professional and
ethical behavior.
Are Respectful.
Treat people with respect
and dignity. Listen
actively. Communicate
in a timely and forthright
manner. Never undermine
colleagues.
Collaborate.
Ask for and welcome
help; ofer and give it
freely. Mutually resolve
ambiguity and conflict.
Build Trust.
Make commitments
responsibly and always
keep our word. Be candid
while building shared
understanding.
Deliver.
Set high aspirations, plan
responsibly, and honor
all commitments.
Learn It, Do It, Share It.
Be curious. Seek,
share, and build upon
experiences and
lessons learned.
Live Our Culture.
Embrace, embody,
and actively contribute
to our Vision, Values &
Covenants. Nurture
a proud legacy.
Our Vision
Be the world’s premier engineering, construction, and project
management organization by achieving extraordinary results for
our customers, building satisfying careers for our people, and
earning a fair return on the value we deliver.
Our Values Our Covenants
5 BREAKING NEW GROUND
PROJECT HIGHLIGHTS
1. Pacific NorthWest LNG:
Providing front-end engineering
design for a proposed
liquefied natural gas facility,
in British Columbia, for Pacific
NorthWest LNG.
2. Kitimat Modernization
Project: Expanding and modern-
izing a 57-year-old aluminum
smelter and associated hydro-
electric tunnels, in British
Columbia, for Rio Tinto Alcan.
3. Tilbury LNG: Adding new
storage capacity and increasing
liquefaction capacity at the
Tilbury LNG facility, in British
Columbia, for FortisBC.
4. U.S. National Research
Institutions: Managing
Lawrence Livermore and
Los Alamos National Labora-
tories, in California and New
Mexico, respectively, for the
U.S. Department of Energy.
5. Hanford Waste Treatment &
Immobilization Project:
Building a first-of-a-kind facility
to treat radioactive liquid waste
at a former nuclear production
site in Washington state for the
U.S. Department of Energy.
6. Surmont Phase 2:
Designing and managing con-
struction of a steam-assisted
gravity drainage facility, in
Alberta, for ConocoPhillips
and Total.
7. Hanna Region Transmission
Development:
Expanding and upgrading
electrical transmission systems,
in Alberta, for ATCO.
8. Chemical Agent-Destruction
Pilot Plant Projects:
Eliminating chemical weapon
stockpiles at sites, in Colorado
and Kentucky, for the U.S.
Department of Defense.
9. Panda Power Projects:
Constructing three 758-
megawatt and one 778-mega-
watt natural gas-fired com-
bined-cycle facilities, in Texas
and Virginia, respectively, for
Panda Power Funds.
10. Corpus Christi LNG:
Performing engineering,
procurement, and construction
services for three LNG trains
and related facilities being
developed near Corpus Christi,
Texas, for a subsidiary of
Cheniere Energy, Inc.
11. Wolf Creek Generating
Station: Installing buried and
aboveground water piping as
well as excavating and placing
pipe in the cooling lake.
12. Keeyask Generation &
Infrastructure Project:
Constructing the 695-megawatt
hydroelectric power station
on the lower Nelson River, in
northern Manitoba, Canada, for
Manitoba Hydro.
13. North American Growth
Project: Designing and building
an ethylene plant for ExxonMobil
at the Baytown Complex, in
Texas.
14. Sabine Pass LNG: Designing
and constructing the first
four trains of a natural gas
liquefaction plant, in Louisiana,
for Cheniere Energy Partners.
15. Live Oak LNG: Providing
engineering and design services
to develop a liquefied natural gas
export terminal, in Louisiana, for
Live Oak LNG LLC, a subsidiary of
Parallax Energy LLC.
16. Watts Bar Generating
Station: Completing engineer-
ing and construction of Unit 2
at a nuclear generating station,
in Tennessee, for the Tennessee
Valley Authority.
17. U.S. Nuclear Security
Enterprise: Managing and
operating the Y-12 National
Security Complex, in Tennessee,
and the Pantex Plant, in Texas,
and building the new Uranium
Processing Facility, for the U.S.
Department of Energy.
18. Davis-Besse Nuclear
Power Station:
Completed replacement of two
steam generators and a reactor
pressure vessel head at a 900-
megawatt nuclear power plant,
in Ohio, for FirstEnergy Nuclear
Operating Company.
19. Savannah River
Remediation Project:
Remediating radioactive and
hazardous underground waste
tanks, in South Carolina, for the
U.S. Department of Energy.
20. Shell Polymer Plant: Per-
forming front-end engineering
and design for a Shell Chemical
polymer plant, in Pennsylvania.
21. Naval Nuclear Propulsion
Plants: Managing atomic power
laboratories as well as propulsion
plant design and procurement,
in New York and Pennsylvania, for
the U.S. Department of Energy
and the U.S. Navy.
22. Dulles Corridor Metrorail
Extension: Completed construc-
tion of an extension of the
Metrorail, in Northern Virginia,
for the Metropolitan Washington
Airports Authority.
23. Las Bambas Mine:
Constructing a greenfield cop-
per concentrator project, in the
Peruvian Andes, for MMG.
24. Escondida Water Supply:
Building a first-of-a-kind water
system to desalinate and deliver
sustainable freshwater to the
mine, in the Atacama Desert, for
BHP Billiton.
25. Escondida Organic Growth
Project 1: Decommissioning
and demolishing a concentrator
in the Chilean Andes to make
way for a new one to process
high-grade copper ore, for
BHP Billiton.
26. MetrôRio Project: Providing
project management services to
deliver the new six-station,
10-mile (16-kilometer) line 4 of
the subway system in Rio de
Janeiro, for MetrôRio.
27. Sellafield Pile Fuel Cladding
Silo Retrieval Project: Designing
and building silo doors and mod-
ules for retrieval, handling, and
packaging of legacy radioactive
waste, in North West England, for
Sellafield Ltd.
1
2
3
4
4
5
6
7
8 8
9
18
19
24
26
23
10
11
12
16
17
17
13
25
15
21
20
9
22
14
6 THE BECHTEL REPORT 2015
28. Defence Equipment &
Support: Working with the UK
Ministry of Defence to imple-
ment improvements in purchas-
ing, project management, and
key equipment programs, for its
naval and air forces.
29. Crossrail & Reading
Program: Upgrading on-network
and station improvements for
Network Rail.
30. Crossrail: Managing design
and construction of twin 13-mile
(21-kilometer) tunnels and asso-
ciated underground stations
and systems on a new commuter
railway, for Crossrail Ltd.
31. Gatwick Airport: Providing
project management oversight
for a capital investment program
south of London that includes
an expansion of two terminals
and improvements to the airfield,
for Gatwick Airport Limited.
32. Gabon Infrastructure:
Executing the build-out of
national infrastructure to sup-
port sustainable economic
development, for the govern-
ment of Gabon.
33. Angola LNG: Designing
and building a natural gas
liquefaction plant for Angola
LNG Limited.
34. Kosovo Motorway:
Building Route 6, a new 37-mile
(60-kilometer) motorway
linking the capital, Pristina, to
neighboring Macedonia, for the
government of Kosovo.
35. West Nile Delta Gas
Processing Plant: Providing EPC
services for an onshore gas plant
near Alexandria, Egypt, for BP.
36. Chornobyl Shelter
Implementation Plan:
Managing an integrated interna-
tional team overseeing the
design and construction of an
enclosure for a nuclear reactor,
for the European Bank for Recon-
struction and Development.
37. Waad Al Shamaal City
Development: Providing
program management and front-
end engineering and design as
part of the King Abdullah project
for the North Promise Industrial
Mineral City, for Saudi Arabian
Mining Company (Ma’aden).
38. South Caucus Pipeline
Expansion: Performing con-
struction and commissioning
support for the project facilities,
in the country of Georgia, for BP.
39. Riyadh Metro: Designing
and building two metro lines
in Saudi Arabia’s capital of
Riyadh that will form the back-
bone of the city’s public trans-
portation network, for the High
Commission for the Develop-
ment of ArRiyadh.
40. Hamad International
Airport: Completed construc-
tion on this new airport, which
features 41 gates and two of the
world’s longest runways, capable
of handling superjumbo jets, for
the government of Qatar.
41. Muscat International
Airport: Performing engineering,
procurement, and construction
services to create a 28-gate
international airport terminal
and associated facilities, for the
Ministry of Transportation
and Communications of the
Sultanate of Oman.
42. Tengiz Expansion: Providing
engineering, procurement and
construction services to add four
crude-oil storage tanks at the
Tengizchevroil oil production
facility, in Tengiz, Kazakhstan.
41
42
43
44
45
46
31
32
33
34
35
36
37
38
39
40
27
2829
30
43. Wheatstone LNG: Building
a Bechtel-designed two-train
LNG plant and related facilities in
Western Australia, for Chevron.
44. Queensland LNG Projects:
Designing and building three
LNG facilities fed by coal-seam
gas on Curtis Island in Queens-
land, for Australia Pacific LNG,
Gladstone LNG, and Queensland
Curtis LNG.
45. Caval Ridge Mine Project:
Completed construction of a
greenfield open-cut coal mine
with the capacity to produce up
to 5.5 metric tons per year of
quality hard coking coal in
Queensland, for BHP Billiton.
46. Hay Point Coal Terminal
Expansion Stage 3 Project:
Increasing the capacity of this
terminal in Queensland from 44
to 55 metric tons per year with
the construction of a third berth,
for BHP Billiton.
7 BREAKING NEW GROUND
ANTICIPATING
INFRASTRUCTURE
MINING & METALS
NUCLEAR, SECURITY & ENVIRONMENTAL
OIL, GAS & CHEMICALS
8 THE BECHTEL REPORT 2015
TRENDS
29°44'56"N | 93°52'39" W
Sabine Pass Liquefaction Project LA, USA
The oil, gas, and chemicals industry
has shifted dramatically. The drop in oil
and gas prices, alternative energy
sources, expanding competition, eco-
nomic turmoil, and robust reserves
have steadily increased the supply of
energy. At the same time, demand is
growing at a slower pace, causing pro-
ducers and refiners to prioritize and
reduce capital expenditures.
9 BREAKING NEW GROUND
Oil, Gas &
Chemicals
Bechtel is responsible for a third of the
world’s LNG liquefaction capacity under
construction, with projects on three con-
tinents. Led by the robust LNG work, our
OG&C business unit continued its strong
performance worldwide.
On Curtis Island, in Queensland, Australia, our three
simultaneous construction projects for three separate cus-
tomers—Queensland Curtis LNG (QCLNG), Gladstone LNG,
and Australia Pacific LNG—represent the largest concentra-
tion of private capital investment in Australia’s history. We
continue to achieve unprecedented firsts in the building of
three adjacent LNG liquefaction plants, including starting
LNG production for QCLNG on schedule, delivering all
260 modules required for the three plants, and employing
and training 400 adult apprentices—the largest single
class of apprentices in Australian history.
In North America, we are working with Cheniere Energy,
Inc. to transform the Sabine Pass terminal, in Louisiana,
into the first LNG export facility in the contiguous United
States. In 2014, 6,000 workers were employed, and we
made significant progress on the project. First exports are
scheduled for late 2015. Elsewhere in the region, we were
selected for two other LNG export facilities: the design
and build of a second facility in Corpus Christi, Texas, for
Cheniere; and the design of a midscale liquefaction facility
and export terminal in Louisiana, for Parallax.
Queensland Curtis LNG Queensland
BUSINESS REVIEW
10 THE BECHTEL REPORT 2015
Construction began on a new liquefaction train at the
Tilbury LNG plant in British Columbia, Canada, for FortisBC.
The expansion includes a new 1.6-million-cubic-foot
(46,000-cubic-meter) full-containment storage tank.
Our partnership with Linde—a leading supplier of industrial,
process, and specialty gases—resulted in two new projects.
In June, we started construction of a multibillion-dollar eth-
ylene plant at ExxonMobil’s Baytown Complex, in Texas.
Shell Chemical selected Bechtel to perform front-end engi-
neering and design work for a multibillion-dollar ethylene
and polymer plant, in Pennsylvania.
Market Opportunities
?
Mexico: Oil and gas exploration is growing in part
due to legislative changes that opened up the market
to global partnerships.
?
Sub-Saharan Africa: Governments seek to tap into their
nation’s natural resources to produce energy and to
apply revenues derived from exports to fund needed
infrastructure projects.
?
LNG: There is an emerging market for midsize facilities.
These smaller solutions are less capital-intensive, can be
constructed rapidly, and are easily aligned with existing
pipelines. In 2014, dozens of companies in the United
States submitted applications to the U.S. Department of
Energy to build LNG export facilities though recent price
changes are likely to cause the shale gas industry to not
sustain its recent and rapid development.
?
Petrochemicals: Cost-competitive natural gas is helping
the U.S. petrochemical industry, which uses the gas and
its byproducts, like ethane and propane, in manufactur-
ing. We see a marked increase for fertilizer, propane
dehydrogenation, and ethane cracker facilities.
BREAKING NEW GROUND:
Putting All The Pieces Together
Modularization plays a vital role in the success of
our Australian LNG projects. We construct hundreds
of modules for these projects—many of which weigh
up to 5,000 tons—in the yards we manage in China,
Indonesia, Malaysia, the Philippines, and Thailand.
We then ship them to the project sites, where they
are connected and tested.
This approach provides our customers with cer-
tainty of cost and schedule, improves safety and
quality, and mitigates project delivery risks.
Queensland Curtis LNG Queensland
Bechtel is a global leader in the integrated design, procurement, construction, and project manage-
ment of oil, chemical, and natural gas processing facilities. Our customers rely on our expertise to
deliver liquefied natural gas capacity, refineries and petrochemical plants, pipelines, ofshore facilities,
tanks, and terminal facilities.
11 BREAKING NEW GROUND
BUSINESS REVIEW OIL, GAS & CHEMICALS
12 THE BECHTEL REPORT 2015
Select 2014 Accomplishments
?
Completed Chevron’s new lubricants manufacturing
facility in Pascagoula, Mississippi; the plant will manu-
facture 25,000 barrels per day of premium base oil, the
main ingredient in the production of top-tier motor oil
?
Awarded a contract to support the South Caucus Pipe-
line Expansion project, in the country of Georgia
?
Awarded a contract to provide engineering, procure-
ment, and construction services to build four crude-oil
storage tanks at the Tengizchevroil oil production
facility, in Tengiz, Kazakhstan
Looking Forward
We are optimistic about 2015 and beyond as we balance
and align prospects with the geopolitical and economic
climate. To better meet evolving customer needs and
fast-changing market demands, we are:
?
Diversifying our customer base and oferings in our
LNG, ofshore, onshore, petrochemicals, tanks, and
pipeline businesses
?
Expanding our presence in North America, Africa, the
Middle East, and Southeast Asia
?
Positioning the business to take advantage of the
emerging smaller-scale LNG market
?
Employing innovative processes, such as our integrated
self-perform modularization program
?
Enhancing our world-class direct-hire construction
execution capability in order to respond to our custom-
ers’ challenges to control project costs, ensure schedule
certainty, and raise financing
We continue to pursue work around the globe where the
business environment aligns with our values and the
market conditions support the development of projects.
Pascagoula Base Oil Project Mississippi, USA
Bechtel Hydrocarbon Technology
Solutions
Our standalone Center of Excellence—Bechtel Hydrocar-
bon Technology Solutions—provides our customers with
innovative solutions, using the latest technologies, built on
the foundation of our unequaled knowledge of project
delivery. In 2014, we acquired Chevron’s wastewater treat-
ment technology, which improves the eficiency of petro-
leum refineries, and we signed a license agreement with
the INA-Industrija nafte, d.d., for the process design of a
delayed coking unit, in Croatia.
13 BREAKING NEW GROUND
ALIGNING
INFRASTRUCTURE
MINING & METALS
NUCLEAR, SECURITY & ENVIRONMENTAL
OIL, GAS & CHEMICALS
THE BECHTEL REPORT 2015 14
EXPERTISE
23°39'12"S | 70°16'34"W
Escondida Organic Growth Project 1 Chile
It was a challenging year for the mining
and metals industry. Declining prices
in commodities led to a significant con-
traction in the resource market, resulting
in lower capital expenditures and project
delays. The industry is also facing the
dificult challenges of establishing
afordable access to the energy and
water needed to operate mines, and of
managing public perception.
Recognizing these pressures, we sought
new ways to help our customers stream-
line processes and reduce costs to best
achieve their goals.
15 BREAKING NEW GROUND
In Chile, our work building the world’s highest-capacity,
single-line copper concentrator, at BHP Billiton’s Organic
Growth Project 1 (OGP1), is progressing at the Escondida
mine in the Atacama Desert. We also began work on a first-
of-a-kind water system to desalinate and deliver sustain-
able freshwater to the mine, which is considered the
world’s largest producer of copper, from an ocean intake
more than 112 miles (180 kilometers) away.
In central Queensland, Australia, we worked on the final
two projects associated with the Brisbane Hub, which was
created to facilitate fast, smooth execution of projects for
industry leader BHP Billiton. The Caval Ridge Metallurgical
Coal project, which is the largest greenfield coal mine in
Australia, achieved world-class safety, environmental, and
health standards. At the nearby Hay Point Coal Terminal, we
continued to make progress on the facility’s expansion. The
first coal load took place in December, and the project is
expected to be complete in mid-2015. To reduce costs, we
Mining & Metals
Bechtel has adapted to market changes
and customer needs for 117 years. For
our mining and metals customers, we
broadened our oferings to include
industrial water supply systems, power,
supporting infrastructure, waste man-
agement, and pipelines to help them
achieve cost eficiencies and provide a
single point of accountability across
their projects.
In Peru, we continued construction on a greenfield copper
concentrator at Las Bambas, in the Peruvian Andes. This
year we applied Six Sigma techniques to improve produc-
tivity at the project, and we topped out steel on the grind-
ing structure.
BUSINESS REVIEW
Caval Ridge Metallurgical Coal Project Queensland
16 THE BECHTEL REPORT 2015
Bechtel is a global leader in the design, procurement, construction, and project management of natu-
ral resource processing facilities and infrastructure. Our expertise includes ferrous, nonferrous, pre-
cious, and light metals, as well as industrial metals. We excel at logistically challenging projects, often
in remote locations, and help our customers produce everything from aluminum to zinc.
BREAKING NEW GROUND:
From the Ocean to the Andes
In Chile, we are creating a first-of-a-kind water sys-
tem that will desalinate and deliver sustainable
freshwater to the world’s largest copper mine. The
water will travel more than 112 miles (180 kilome-
ters)—from the ocean and through the desert—to its
destination 10,500 feet (3,200 meters) above sea
level, in the Andes Mountains.
The project is groundbreaking not only in its scale
and complexity, but also in its execution. It requires
the building of one of the world’s largest desalina-
tion facilities, two massive pipelines, and four
high-pressure pumping stations.
Escondida Water Supply Chile
employed an innovative modularization approach similar to
the one used on Bechtel’s four Australian LNG projects.
We continue to make headway into the aluminum market in
the Middle East. The successful completion of a feasibility
study in early 2014 led to the award of a contract to build
the Shaheen Alumina Refinery Project, in the United Arab
Emirates (UAE). Bechtel has worked in the region for more
than 70 years and in the UAE for more than 50 years—
positioning us well for new mining and metals work needed
to support the region’s growing industrialization.
Select 2014 Accomplishments
Achieved more than 5 million hours without a lost-time
incident at the Caval Ridge Mine project, in Australia;
10 million hours on Las Bambas, in Peru; and surpassed
10 million hours on OGP1, in Chile
?
Completed the Caval Ridge Metallurgical Coal project
four months ahead of schedule and under budget
?
Garnered an Award of Merit for Global Best Projects
from Engineering News-Record for the Ras Al Khair
aluminum smelter, which we completed in 2013
Looking Forward
We will continue to support our customers and adapt to
market dynamics. Specifically, we are:
?
Working closely with existing customers and partners to
develop innovative, more cost-efective ways to best
achieve their goals
?
Expanding our portfolio to ofer customers a suite of
services that combines the expertise of Bechtel, includ-
ing industry water solutions, infrastructure, and energy
?
Broadening our customer base and geographic
footprint
?
Exploring new ways to apply technologies to address
customer needs
17 BREAKING NEW GROUND
TRANSFORMING
INFRASTRUCTURE
MINING & METALS
NUCLEAR, SECURITY & ENVIRONMENTAL
OIL, GAS & CHEMICALS
THE BECHTEL REPORT 2015 18
DELIVERY
38°15'16"N | 104°36'33"W
Chemical Agent-Destruction Pilot
Project-Pueblo CO, USA
Government customers face unprece-
dented challenges critical to national
security, including weapons demilitariza-
tion, environmental cleanup, and facili-
ties modernization. These missions often
require one- or first-of-a-kind solutions,
and they must be achieved regardless of
shifts in the regulatory, political, and
budgetary landscape.
Commercial customers in the nuclear
power industry are addressing similar
pressures. Many utilities have turned
away from building new nuclear units,
focusing instead on cutting costs and
extending the operating life of existing
facilities.
Bechtel is focusing our eforts on trans-
forming mission delivery so our cus-
tomers can achieve mission success.
19 BREAKING NEW GROUND
our expertise, we help our government and commercial
customers navigate a changing environment and achieve
mission success.
Among the notable wins in 2014 was the selection by the
UK Ministry of Defence to help transform the delivery of
military support services, and to drive improvements in
purchasing, project management, and key equipment pro-
grams that support the Royal Navy and Air Force.
In the United States, the project team at the Pueblo Chemi-
cal Agent-Destruction Pilot Plant received the American
Institute of Chemical Engineer’s 2014 Engineering and Con-
struction Award for successfully completing the design
and construction of the plant. In 2015, the United States will
Nuclear, Security
& Environmental
The Nuclear Security & Environmental
business unit had a solid year. We set a
record for new work, despite shrinking
government budgets and the near-term
uncertainty in the nuclear industry.
This year, we consolidated our nuclear, environmental, and
security businesses to better deliver across our customers’
project life cycle—from research and development to
decontamination and decommissioning.
By forming co-operative solutions with government
customers, delivering ongoing innovation, and combining
Hanford Waste Treatment and Immobilization Plant
Washington, USA
BUSINESS REVIEW
20 THE BECHTEL REPORT 2015
Bechtel delivers world-class engineering, procurement, construction, operations, and project
management services to government and commercial customers to addresses challenges that pro-
foundly afect local communities, nations, and the world. Our expertise spans activities in applications
as diverse as defense, global security, nuclear energy, and environmental stewardship.
make a significant step toward complying with a treaty to
destroy all of its chemical weapons and to begin neutraliz-
ing 2,600 tons of aging mustard agents at this facility.
Significant progress was made at the Hanford Waste Treat-
ment and Immobilization Project, a one-of-a-kind complex
that will immobilize nuclear waste. For a second time, the
Bechtel-led project earned Star status, the highest recogni-
tion in worker safety, from the U.S. Department of Energy’s
Voluntary Protection Programs.
Bechtel-led Consolidated Nuclear Security, LLC was
selected by the Department of Energy for the combined
management of the Pantex Plant, in Texas, and the Y-12
BREAKING NEW GROUND:
Accelerating the Nuclear Cleanup
at Savannah River
Five decades of nuclear materials, including pluto-
nium and tritium, produced for use in U.S. weapons,
created nearly 37 million gallons (140 million liters)
of liquid radioactive waste. That waste is stored in
underground steel tanks along the Savannah River,
which stretches for 314 miles (505 kilometers) to the
Atlantic Ocean and borders the states of Georgia
and South Carolina.
Bechtel is part of the team contracted by the U.S.
Department of Energy that is operating the Savan-
nah River Remediation liquid waste complex and
remediating radioactive and hazardous under-
ground waste tanks. To date, we have closed more
than 300 of the site’s 515 waste areas, and we are
accelerating the cleanup lifecycle by 13 years,
which will save the agency more than $450 million.
Savannah River Remediation
South Carolina, USA
National Security Complex, in Tennessee—two nuclear
security weapons facilities separated by more than 1,000
miles (1,609 kilometers). This approach will yield significant
savings during the course of the contract. Bechtel will also
design and construct the Uranium Processing Facility at
Y-12, a critical national security resource that will replace
aging Cold War-era facilities.
The Bettis and Knolls Atomic Power Laboratories, two
world-class research and development facilities operated
by Bechtel Marine Propulsion Corporation, were con-
solidated into a single organization in continued support
of the U.S. Navy’s nuclear-powered submarines and
aircraft carriers.
21 BREAKING NEW GROUND
BUSINESS REVIEW NUCLEAR, SECURITY & ENVIRONMENTAL
22 THE BECHTEL REPORT 2015
Looking Forward
We are focused on supporting our customers on existing
projects and leveraging our expertise to support new-build
programs for European owners. The best opportunity is
in the UK, where an aging nuclear and coal fleet must be
replaced by the mid-2020s. We are working with EDF
Energy to support management of the Hinkley Point proj-
ect and will make a considerable investment to develop our
UK nuclear project execution capability.
We expect to grow the business by partnering with our
customers to develop new processes and techniques to
safely and cost efectively meet mission requirements.
As part of our strategy, we are:
?
Growing our capabilities to provide services throughout
the life cycle of customers’ facilities
?
Transforming mission delivery for our government
customers by leveraging our project management
principles and commercial approaches
?
Strengthening our next generation of expertise
through knowledge-management systems and full
life-cycle support
?
Expanding our customer base and global footprint
We have also established a permanent engineering and
procurement execution center in Virginia. The facility
provides a centralized workforce that can quickly respond
to customer needs.
2014 Select Accomplishments
?
Completed the replacement of two steam generators
and the reactor coolant piping at the Davis-Besse
Nuclear Power Station, in Ohio. This pressurized water
reactor located 35 miles (56 kilometers) east of Toledo,
produces 908 megawatts of electricity, enough to
power 450,000 homes.
?
Received the prestigious James S. Cogswell Outstand-
ing Industrial Security Achievement Award from the U.S.
Department of Defense’s Defense Security Service. Less
than 1 percent of more than 13,000 cleared contractors
receive this annual award, which recognizes how we
maintain the highest standards for protection of the
nation’s classified assets.
?
Concluded open vessel and primary cold hydrostatic
testing at the Watts Bar Unit 2 Completion project, in
Tennessee. This will be the first U.S. nuclear unit built this
century. Scheduled for completion in 2015, Watts Bar
Unit 2 will generate enough carbon-free electricity to
power 650,000 homes.
?
Honored by the DOE with a Capital Project of the
Year designation for the Radiological Laboratory and
Utility Ofice Building at the Los Alamos National Labora-
tory. Also earned six 2014 R&D 100 Awards, known in
the industry as the Oscars® of Invention, for applications
in national security, energy, and health sciences at
the Lawrence Livermore and Los Alamos laboratories,
managed and operated by a partnership led by the
University of California and Bechtel.
?
Completed ahead of schedule one of the nation’s larg-
est nuclear power plant piping replacement projects, at
the Wolf Creek Generating Station, in Kansas. This is a
significant upgrade that improved the overall safety and
reliability of the plant, which provides clean, reliable, and
safe power to thousands of people.
?
Oversaw the connection of the halves of the arches for
the Chornobyl Shelter Implementation Plan.
Bechtel has performed engineer-
ing and construction services on
85 percent of the operating
nuclear plants in the United
States. We remain committed to
assisting our power customers in
every stage of their business.
Watts Bar Unit 2 Completion Project Tennessee, USA
Chornobyl Shelter Implementation Plan Ukraine
23 BREAKING NEW GROUND
BUILDING
INFRASTRUCTURE
MINING & METALS
NUCLEAR, SECURITY & ENVIRONMENTAL
OIL, GAS & CHEMICALS
THE BECHTEL REPORT 2015 24
PROGRESS
51°27'1"N | 0°58'31"W
Crossrail & Reading Program UK
The rapid increase in the worldwide pop-
ulation and the rise of urbanization are
driving demand for resilient and reliable
infrastructure. The world’s population is
projected to increase from some 7 billion
today to 9.6 billion by 2050. Meeting this
growth requires the equivalent of a new
city of 1.5 million people to be built every
week for the next 35 years.
At Bechtel, infrastructure is more than
just steel, concrete, and asphalt. It is
about developing thriving economies,
connecting communities, and building
for the future.
25 BREAKING NEW GROUND
Ivanpah Solar Electric Generating System California, USA
Macedonia. This new award comes on the heels of the suc-
cessful completion of the country’s first motorway, Route 7,
which was delivered by our team a year ahead of schedule.
Construction started on the largest new hydroelectric proj-
ect in Canada. The 695-megawatt Keeyask Generation and
Infrastructure project will provide power to Manitoba and
the northern United States. It is part of a larger plan to
develop hydroelectric power in Canada, and several power
stations are in various stages of study and development.
Hydropower ofers key benefits to the regions it serves: It’s
clean, it’s domestic, and it’s renewable. Africa also ofers
excellent potential for hydroelectric projects.
Bechtel is responding to the worldwide demand for energy
by delivering a variety of thermal, renewable energy, and
Infrastructure
Our Infrastructure business performed
well in 2014. We received an extension
on a signature master planning and
urban development program: the Gabon
National Infrastructure project, in Africa.
In Gabon, we helped the government develop a $25 billion
national infrastructure master plan and are now supporting
the delivery of hundreds of projects such as roads, water,
power, schools, hospitals, and housing. Building on our
success at Jubail, we are currently helping to define four
new economic cities in Saudi Arabia.
A Bechtel joint venture was selected to build a new 37-mile
(60-kilometer) motorway linking Kosovo’s capital, Pristina, to
BUSINESS REVIEW
26 THE BECHTEL REPORT 2015
transmission solutions that power the growth of global
infrastructure. We are taking advantage of an innovative
standard plant and execution model to build four of the
cleanest gas-fueled power plants in the United States for
Panda Power Funds. These clean gas-fueled plants can
achieve full power production within an hour, ofsetting
the efect of fluctuating electricity output from renewable
energy sources. When completed, the four plants
will collectively generate enough electricity to power
approximately 4 million homes. In Virginia, we were
awarded a contract to build a new 778-megawatt natural
gas-fueled, combine-cycle power plant that will use
reclaimed wastewater to cool the plant, conserving the
Commonwealth’s natural supply of drinking water. Further,
BREAKING NEW GROUND:
Powering Progress
The Hanna Region Transmission Development
project in Alberta, completed for ATCO Electric
this year, was extensive. About 60 percent of the
area where the project was built passed through
protected pasture, native grasses, and wetlands that
are also popular wildlife breeding grounds.
To minimize the impact on these sensitive areas, the
project team used a mobile app to ensure that the
field team had customized information about
accessing land parcels and environmental regula-
tions. Automated checklists built into the app
allowed the team to conduct environmental and
safety checks while monitoring the project for qual-
ity compliance. The team also had special handheld
devices that allowed them to see the boundaries
of the environmentally sensitive areas and make
decisions about next steps while in the field.
Hanna Region Transmission Development Alberta
the facility will be built along existing transmission lines,
eliminating the need for additional power lines.
We also completed the Ivanpah Solar Electric Generating
System, the world’s largest solar thermal facility. Located in
Southern California’s Mojave Desert, Ivanpah was named
POWER magazine’s 2014 Plant of the Year. This award is
presented to projects that lead the industry in the success-
ful deployment of advanced technology while minimizing
environmental impact.
We continue to support the deployment of wireless tech-
nology in six major metropolitan markets, providing engi-
neering, procurement, and construction services across
16,000 cellular sites.
We design and build vital infrastructure—rail systems, roads, bridges, aviation facilities, power plants,
transmission networks, hydroelectric installations, communications networks, water systems, and
ports—to improve quality of life and foster sustainable economic growth the world over.
27 BREAKING NEW GROUND
BUSINESS REVIEW INFRASTRUCTURE
28 THE BECHTEL REPORT 2015
2014 Select Accomplishments
?
Broke ground on the $10 billion landmark Riyadh Metro
project, in Saudi Arabia
?
Completed the massive expansion of Reading train sta-
tion, in London, on schedule and within budget
?
Passed the halfway mark on our work on the Crossrail
commuter line, a project that includes 26 miles (42
kilometers) of new rail tunnels under London
?
Completed the Dulles Corridor Metrorail project, one of
the largest infrastructure projects in the United States
?
Completed a full passenger opening of Hamad Interna-
tional Airport, in Qatar
?
Completed the Eastern Alberta Transmission Line, in
Canada—building more than 220 miles (354 kilometers)
of transmission line
Looking Forward
The future of infrastructure is extremely promising. We
expect exponential demand for rail, primarily in the Middle
East, where developing public transport networks to con-
nect Gulf Cooperation Countries is a regional priority. In the
UK, large-scale investments are being made to improve the
existing network to accommodate the projected increase
in passenger demand. Growth in Eastern Europe and
North America has many municipalities seeking incentive
financing for much-needed infrastructure projects: roads,
highways, and bridges. Airports worldwide require modern-
ization as facilities age, travel volume increases, and airlines
move toward high-frequency, low-cost aircraft.
Access to sustainable and reliable energy will continue to
be essential to development and a priority in developed
regions. We are taking steps to increase our presence in
core regional markets—the Middle East, the Americas, and
Europe—and pursuing opportunities in Sub-Saharan Africa
and Asia. As part of our strategic focus, we are also:
Dulles Corridor Metrorail Extension Virginia, USA
?
Using our master-planning expertise to help govern-
ments develop new economic cities and expand and
upgrade airports
?
Pursuing public-private partnerships, particularly in
North America, to meet the needs of governmental
organizations interested in attracting private investment
to fund infrastructure development
?
Adapting our tunneling, large pipeline, and heavy
civil capabilities to supply and convey large amounts
of water to our industrial, government, and utility
customers in response to increased scarcity and
higher demands
?
Designing and constructing critical infrastructure
components, such as roads, ports, and bridges, for
major LNG facilities
Waad Al Shamaal City Development Saudi Arabia
29 BREAKING NEW GROUND
?
Engaged 15,000 young people through JA programs
in 13 countries
?
Worked with more than 2,500 students through
classroom visits and hands-on learning activities
with DiscoverE
?
Supported the Nautilus expedition of Oceanic
Exploration Trust through volunteering, events,
and university partnerships
Diversity
We are proud to be recognized as a top employer for
women and minority engineers, earning the Best Diversity
Company designation by Engineering and Information
Technology magazine for four consecutive years. We also
were named a 2014 Military Friendly Employer® by the pub-
lishers of G.I. Jobs and Military Spouse. In the UK, nearly a
quarter of our colleagues are women, including 14 percent
of the engineering population—which is more than twice
the UK industry average.
Sustainability
In 2014, we strengthened our commitment to deliver sus-
tainable solutions for long-term prosperity. We helped
reduce particulate emissions by 85 percent on the Crossrail
project. The U.S. Department of Energy recognized several
of our projects with 12 sustainability awards. We spent more
than $78 million on goods and services from local suppliers
in 16 remote Peruvian towns in the Andes. In these ways
and more, we continue to seek approaches to improve
outcomes for our customers and the societies that benefit
from them.
Creating
Opportunity
Our focus extends far beyond the
project. We are committed to building
opportunity everywhere we work, by
sharing our time, talents, and resources
with local communities and partners
to improve quality of life. For us, that
means we roll up our sleeves and get
the job done.
We partner with five international nonprofit organizations—
DiscoverE, Engineers Without Borders, FIRST® Robotics,
Junior Achievement®, and Oceanic Exploration Trust—our
Signature Programs. In 2014, thousands of colleagues and
family members at more than 30 Bechtel locations on six
continents actively participated in these programs.
In 2014, we:
?
Added new Engineers Without Borders (EWB) programs
in Malaysia and Virginia, USA; new FIRST® Robotics
partnerships in Florida and Kentucky, USA; and Junior
Achievement® (JA) programs in Dubai, UAE; Kentucky,
USA; and Peru
?
Assisted more than 67,500 people (directly and indi-
rectly) from 19 Bechtel grants to EWB chapters
?
Reached nearly 25,000 students through Bechtel
funding of FIRST programs in the United States and
throughout the world
Engineers Without Borders,
Queensland
Students learn how to build water filters
out of common household materials.
30 THE BECHTEL REPORT 2015
DiscoverE, USA
During the annual family engineering day at the
National Building Museum in Washington, D.C.,
Bechtel and American Society of Civil Engineers
volunteers taught kids how to build on a budget.
Mentoring A Girl In Construction
(MAGIC), USA
Our colleagues spent the week at a
MAGIC camp in Houston, Texas.
FIRST® LEGO® League National
Tournament, Chile
Bechtel’s BechBot team received the Strategy
and Innovation Award in the Robot Design
Category at the FIRST LEGO League - Chile final.
31 BREAKING NEW GROUND
Riley Bechtel
Chairman of the Board
Bill Dudley
Chief Executive Oficer
Brendan Bechtel
President &
Chief Operating Oficer
Peter Dawson
Chief Financial Oficer
Michael Bailey
General Counsel
Mike Adams
Strategic Projects
INFRASTRUCTURE
Toby Seay
President
Chris Dering
Aviation
Walker Kimball
Civil-Global
Scott Osborne
Power
Ailie MacAdam
Rail
NUCLEAR, SECURITY &
ENVIRONMENTAL
Craig Albert
President
Brian Sheridan
Defense & Security
Michael Graham
Environmental
Ty Troutman
Nuclear Power
John Howanitz
Nuclear Security &
Operations
MINING & METALS
Shaun Kenny
President
Paige Wilson
Americas
OIL, GAS & CHEMICALS
Jack Futcher
President
Jim Ivany
Manager of Operations
Alasdair Cathcart
LNG
Joe Gebara
Ofshore
Scott Johnson
Onshore
Jamie Cochrane
Petrochemicals
Steve Hawkins
Pipeline
Ron Blum
Tanks
REGIONS
Ian Laski
President
Asia Pacific
David Welch
President
Europe, Africa,
& Middle East
Héctor García
President
Latin America
BOARD OF DIRECTORS,
BECHTEL GROUP, INC.
EXECUTIVE DIRECTORS
Mike Adams
Craig Albert
Michael Bailey
Brendan Bechtel
Peter Dawson
Bill Dudley
Jack Futcher
Andy Greig
John MacDonald
NON-EXECUTIVE
DIRECTORS
Riley Bechtel
Chairman of the Board,
Bechtel Group, Inc.
Steve Bechtel, Jr.
Senior Director
Bechtel Group, Inc.
Leigh Cliford , AO
Chairman, Qantas
Airways Limited,
and former CEO, Rio
Tinto Group
Alan Dachs
President & CEO
Fremont Group
Bob Joss
Dean Emeritus, Graduate
School of Business,
Stanford University &
CEO, Retired, Westpac
Banking Corporation
Nick Moore
Former Global Chairperson,
PricewaterhouseCoopers
David O’Reilly
Former Chairman and
CEO, Chevron
Dan Warmenhoven
Former Executive
Chairman, NetApp
EPC MANAGEMENT
Barbara Rusinko
Engineering, Procurement &
Construction Functions
Mike Lewis
Construction & Bechtel
Equipment Operations
Amos Avidan
Engineering & Technology
Jef Shoop
Environmental,
Safety & Health
David Hammerle
Procurement & Contracts
Mike Fox
Project Controls
Scott Monson
Quality & Six Sigma
Joe Diaz
Startup
OTHER MANAGEMENT
Eric Parker
Bechtel Enterprises
Anette Sparks
Controller & Business
Services
Charlene Wheeless
Corporate Afairs
Nancy Higgins
Ethics & Compliance
Larry Melton
Human Resources
Carol Zierhofer
Information Systems &
Technology
Lynne Saint
Internal Audit
Michael Wilkinson
Risk Management
Tam Nguyen
Sustainability
John Deshong
Tax
Kevin Leader
Treasury
LEADERSHIP
32 THE BECHTEL REPORT 2015
Bechtel is a premier engineering,
construction, and project management
company with projects in 40 countries.
www.bechtel.com
doc_531217215.pdf