RE: Re: All very strange...10 Jun 2025 18:00
The $2.8 billion contract represents the total value of a project, while the $400 million pass-through is the revenue Wood Group expects to recognize from the EPCm (Engineering, Procurement, and Construction Management) services included within the contract.
In simpler terms:
$2.8 billion contract:
This is the overall cost of the entire project, covering everything from design to construction.
$400 million pass-through:
This is a portion of the contract revenue that Wood Group is expected to earn by providing its EPCm services to deliver the project.
Think of it like this: Wood Group is getting paid for building the gas processing facilities (the total $2.8 billion), and within that, a portion of that payment, $400 million, will be directly generated from their services involved in the project.