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Houston’s KBR Lands $350M USGS Contract as Government Services Spinoff Nears

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Houston-based engineering and technology firm KBR has secured a major federal contract valued at up to $350 million. The agreement, awarded by the U.S. Geological Survey, will expand the company's satellite data and Earth observation support services across multiple federal programs.

The new contract positions KBR to bolster national geospatial intelligence efforts. It comes at a pivotal moment for the Houston company as it moves forward with a previously announced plan to separate its government-focused operations into a standalone public company.

Growing Federal Workload

KBR will support satellite data analysis, development of remote-sensing tools, and related scientific programs under the terms of the award. The agreement reinforces KBR’s growing footprint in federal research and environmental monitoring, key areas of long-term expansion.

The work will help federal agencies better track climate conditions, natural resource changes, and geological activity. These services are increasingly important as environmental data needs accelerate nationwide.

Why It Matters for Houston

The deal highlights Houston’s growing role in aerospace, science, and technology services. KBR is one of the city’s most influential engineering employers, and its expansion in government science contracts underscores Houston’s wider connection to national research efforts.

The upcoming spinoff will create a new publicly traded company focused on government services. KBR leadership says the transition will allow both the parent company and the new entity to pursue targeted growth strategies.

What’s Next

The government services spinoff is expected to finalize in mid-2024. Once separated, the new company will manage KBR’s federal portfolio, including work in defense, intelligence, and environmental science.

For Houston, the move represents another major restructuring among the city’s industrial leaders, highlighting the region’s evolving business profile.

This article is a summary of reporting by The Business Journals. Read the full story here.