The E&C Factor

There is no sign that inflationary pressures in the engineering and construction (E&C) industry will ease any time soon, as our cover story this week shows (p. 20). Equipment and raw material costs continue to soar and ongoing labor shortages have placed constraints on the sector. The impact on project costs is startling. Costs for the Saudi Kayan complex in Saudi Arabia have nearly tripled to more than $10 billion. Estimates for the Ras Tanura, Saudi Arabia refinery and petchem joint venture of Aramco and Dow Chemical are now topping the $22-billion mark...

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