Jump to content

Chicago Bridge & Iron Company

From Alfawiki
CB&I
Industry
Founded1889
FounderHorace E. Horton
HeadquartersThe Woodlands, Texas
Area served
Worldwide
Key people
Mark Butts
(President & CEO)
Michael Caldwell
(CFO)
Chris Price
(Chief Information Technology Officer)
Number of employees
>4,000 (2024)
Websitewww.cbi.com

CB&I, initially known as Chicago Bridge & Iron Company, is a worldwide EPC enterprise that focuses on storage infrastructure and industrial project solutions. Established in 1889 and based in The Woodlands, Texas, the firm transitioned from its original bridge-building roots to specialize in the fabrication of large steel tanks. CB&I’s expertise encompasses the design, manufacturing, and installation of storage tanks, pressure vessels, specialized plate structures, and comprehensive storage process facilities. Additionally, it provides integration services for process equipment, piping networks, instrumentation, and control systems related to storage operations. The company maintains a global presence with operational facilities throughout North America, the Middle East, and Asia.

History

Founded in 1889 by engineer Horace E. Horton in Chicago, CB&I began by constructing bridges to support the expanding railroad industry. By the end of the 19th century, it broadened its portfolio to include railroad roundhouses, turntables, roof trusses, and bulk liquid storage solutions coinciding with the growth of U.S. railroads and oil discoveries. The firm became well-known for its elevated water tanks and above-ground petroleum storage tanks.

CB&I pioneered several technological advancements such as the creation of the first field-assembled spherical pressure vessels—known as Hortonspheres—and John H. Wiggins’ floating roof tank design, both of which improved safety and efficiency in petroleum storage. The company embarked on international expansion during the 1920s with ventures into South America (1924), Asia (1926), and the Middle East (1939), alongside forming licensing partnerships with European companies.

During the 1930s and 1940s under George Horton’s leadership, CB&I adopted welded plate metal construction techniques that enhanced structural strength and streamlined project completion. The company also entered nuclear-related projects including building storage tanks for DuPont’s Hanford site in Washington.

In World War II, CB&I’s Seneca shipyard produced 157 Landing Ship Tanks (LSTs), crucial to Allied military efforts; this contribution placed CB&I 92nd among U.S. firms for wartime defense contracts.

Following the war, CB&I concentrated on industrial ventures including nuclear engineering achievements: manufacturing a containment vessel for nuclear submarine reactor testing at Knolls Atomic Power Laboratory; facilitating connection of a nuclear reactor to the commercial power grid in 1955; producing liquid oxygen spheres for NASA’s space missions; and constructing the world’s first large-scale LNG tank in Lake Charles in 1960.

By 1967, international subsidiaries operating across Europe, the Middle East, Africa, and Asia accounted for one-third of CB&I’s revenue. Significant projects included refinery developments in Nigeria and oil terminal installations in Hong Kong. In 1969, CB&I executed "Khazzan Dubai No. 1," an innovative offshore oil storage facility recognized for its advanced engineering techniques.

Jim Maher was appointed Director of Research in 1977 with a focus on materials science and design innovation; that same year CB&I became publicly traded on the New York Stock Exchange under ticker symbol CBI. In 1979, shareholders restructured to form CBI Industries Inc., making Chicago Bridge & Iron Company its wholly owned subsidiary.

In August 1984, CBI Industries expanded by acquiring Liquid Carbonic Corporation, a leading supplier of carbon dioxide serving food and healthcare sectors.

In 1996, Praxair purchased CB&I; Praxair retained the carbon dioxide operations while spinning off CB&I’s engineering and construction segment through an initial public offering in 1997.

2000-present

In 2001, CB&I expanded its capabilities by acquiring the engineered construction and water storage units of PDM and subsequently moved its corporate headquarters from Chicago to The Woodlands, Texas. Two years later, in 2003, the company acquired John Brown Hydrocarbons, which was later rebranded as CB&I UK Limited. The 2007 purchase of Lummus Global from ABB brought approximately 3,000 new employees into the fold and enhanced CB&I’s technological expertise and international reach within the energy and petrochemical sectors. In 2010, CB&I further strengthened its technology portfolio by acquiring Shell’s Coal Gasification Technology (CDTECH), including essential patents and licensing rights. By 2012, CB&I Technology secured a significant contract with Reliance Industries to supply paraxylene (PX) technology for an aromatic complex in India, positioning Reliance as the world’s second-largest PX producer.

Also in 2012, CB&I announced its intent to acquire The Shaw Group for roughly $3 billion, finalizing the transaction in early 2013. This move broadened CB&I’s footprint into nuclear power and various industrial markets. Nonetheless, the company encountered difficulties with delays and cost overruns on two Westinghouse AP1000 nuclear reactors at Plant Vogtle. The division known as CB&I Stone Webster—originating from Shaw’s earlier acquisition of Stone & Webster—was sold to Westinghouse Electric Co. in 2016 for $229 million.

CB&I reported revenues of $6.7 billion in 2017, reflecting a decline compared to the previous year. That same year, the company ceased operations at its Beaumont shipyard following damage caused by Hurricane Harvey and subsequently sold the property to the Port of Beaumont in 2018.

In May 2018, McDermott International completed a $6 billion acquisition of CB&I, resulting in CB&I’s removal from the New York Stock Exchange. Gary P. Luquette was appointed chairman of the merged entity. Following the acquisition, McDermott divested several former CB&I assets, including a $1 billion sale of storage tank and U.S. pipe fabrication businesses, as well as the Woodlands headquarters facility. Integration challenges contributed to McDermott filing for Chapter 11 bankruptcy protection in January 2020.

In 2024, a consortium led by Mason Capital purchased CB&I from McDermott for $475 million before taxes and transaction expenses. This deal preserved approximately 4,000 jobs across North America, the Middle East, and Asia. After this acquisition, CB&I reinstated its headquarters in The Woodlands, Texas.

Operations

CB&I conducts its business worldwide through three principal regional divisions, each responsible for its own profit and loss while offering a diverse array of products and services.

The Non-Union Operations segment caters to non-union markets within the United States and Latin America, operating out of hubs in Houston, Texas, and Plainfield, Illinois. This division concentrates on large-scale municipal water projects alongside industrial sectors such as liquefied natural gas (LNG) and petrochemicals. Supporting these efforts are fabrication plants located in Clive, Iowa, and Houston that provide region-specific solutions.

The Africa, Asia, and Australia division is headquartered in Dubai, United Arab Emirates, with additional offices strategically placed in Thailand, Seoul, Perth, and Brisbane to capitalize on regional market opportunities.

CB&I’s Union Operations division serves unionized projects across the U.S. and Canada from its base in Plainfield, Illinois, with supplementary locations in Everett (Washington), Edmonton, and Calgary. This division specializes in union labor contracts with a strong focus on nuclear industry projects requiring rigorous regulatory adherence.

As of 2025, CB&I’s product offerings encompass:

  • Water Storage: Engineering and building reservoirs, tanks, and water distribution infrastructure.
  • Low Temperature and Cryogenic Storage: Construction of tanks designed for LNG and other cryogenic fluids.
  • High Pressure Storage: Production of vessels intended for storing liquefied gases under high pressure across oil refining, petrochemical processing, and industrial gas sectors.
  • Specialty Plate Structures: Fabrication of customized industrial components such as wastewater treatment vessels, nuclear containment systems, fusion research facilities, silos, and bulk storage containers.
  • Atmospheric Storage: Ambient temperature tanks for liquids and gases utilized within petrochemical industries, water treatment plants, and food processing operations.
  • Storage Terminals and Process Facilities: Comprehensive design and construction services integrating storage tanks with process equipment for applications including oil refining, chemical manufacturing, and LNG production.

The company’s main corporate office remains situated in The Woodlands, Texas.

Major projects

Key projects encompass:

  • The largest liquid hydrogen storage tank worldwide, located at NASA’s Kennedy Space Center in Florida;
  • The pioneering full containment LNG tank situated on Das Island;
  • The biggest offshore platform in the North Sea, the Phillips 66 Maureen Oil Platform in Hunterston, Scotland;
  • Offshore storage tanks at Khazzan;
  • The inaugural LNG Peak Shaving Plant established in 1965;
  • NASA’s Gemini program’s first environmental test chamber;
  • The world’s largest environmental test chamber constructed in 1961;
  • The initial double wall LNG storage tank built in 1958;
  • The LNG liquefaction facility at Pampa Melchorita, Peru;
  • A natural gas processing and treatment complex in Cabinda Province, Angola;
  • Expansion of crude vacuum and decoking units for a refinery located in Kansas, US;
  • Golden Pass LNG import terminal near Sabine Pass, Texas, United States;
  • Extensive tankage installations at Shell Pearl GTL, Qatar;
  • Hydrotreating and sulfur removal/recovery plants serving major US refineries;
  • A $775 million LNG re-gasification terminal at Quintero Bay, Chile;
  • The Cat gas hydrotreater (CGHT) facility in El Paso, Texas, US;
  • Hydrogen production plant based in Benicia, California, US;
  • Propane dehydrogenation unit located in Houston, Texas, US;
  • Numerous storage facilities across the Middle East; and
  • Storage tanks for Oil sands operations in Alberta, Canada.
  • Supply of 150 wind turbine towers for wind farms across the western United States (2004);
  • Expansion project for Petrochemicals in Geismar, Louisiana, including licensing and basic engineering for ethylene technology (2012).


Historic structures

The company has been responsible for constructing a variety of historically important bridges and structures, many of which are listed on the US National Register of Historic Places. Significant examples include:

World War II

In the course of World War II, Chicago Bridge broadened its shipbuilding capabilities to fulfill the U.S. Navy's increased vessel requirements. At the shipyard located in Eureka, California, the company manufactured Medium Auxiliary Floating Dry Docks (AFDM), which facilitated ship repairs in remote locations and allowed for adaptable deployment across various operational theaters. Additional production facilities were situated in Seneca, Illinois; Newburgh, New York; and Morgan City, Louisiana.

Notable outputs encompassed:

  • Floating dry docks including AFDB-5 (dismantled in 1997), Los Alamos (AFDB-7, divested in 1995), and Richland (AFDM-8, dismantled in 2016).
  • A range of auxiliary floating docks from the AFDM and AFDL series, later sold or leased for private and commercial applications following the war.
  • Six floating crane barges that supported naval logistical operations.
  • Numerous Landing Ship Tanks (LSTs), spanning from LST-136 through LST-1152, which played vital roles in amphibious assaults.
  • Various barges (YFN series), floating derrick cranes (YD series), and tank barges (DPC series) designed for transporting liquids.

The company's wartime manufacturing efforts greatly enhanced its share within the naval shipbuilding sector and solidified its standing as a provider of robust maritime infrastructure essential to worldwide naval missions.

Controversy

CB&I was identified as a participant in the UK's Consulting Association, which was uncovered in 2009 for operating an unlawful construction industry blacklist. The firm was one of fourteen companies issued enforcement notices by the UK Information Commissioner's Office. In 2010, an employment tribunal revealed that a CB&I staff member had accessed this blacklist over 900 times during 2007.

External links

Retrieved from "https://www.alfawiki.org/index.php?title=Chicago_Bridge_%26_Iron_Company&oldid=11990"