Worley Locks in AEP Engineering Deal for 450MW Oklahoma Gas Turbine Project

By Josua Ferreira -

Worley lands AEP engineering contract for 450MW Oklahoma gas turbine project

Worley Limited (ASX: WOR) has been awarded an engineering services contract by American Electric Power (AEP) covering Stages 3-4 of the Northeastern U5/6 Simple Cycle Gas Turbine project in Oklahoma. The scope encompasses engineering, detailed design, and procurement support services for a new natural gas-fired power generation facility featuring two gas turbines with a combined capacity of approximately 450 megawatts.

The project is located at Public Service Company of Oklahoma’s Northeastern Generation Facility and will be delivered under Worley’s existing Master Services Agreement with AEP. No contract value has been disclosed.

Chris Ashton, Chief Executive Officer

“Worley is pleased to deliver this important project for AEP, building on our track record supporting customers in power generation. We’ve delivered over 400 gas turbine projects globally, with power-related projects a strategic focus as we expand into more complex critical infrastructure.”

Why the power sector is central to Worley’s growth strategy

Understanding gas turbine engineering contracts

An engineering services contract for a gas turbine project involves detailed technical design work, procurement coordination, and staged delivery support before physical construction begins. In simple terms, Worley’s team specifies how equipment should be configured, sourced, and integrated into the broader facility.

Simple cycle gas turbines are a widely used tool for utilities seeking reliable, fast-starting power generation capacity. For a utility like AEP, adding 450 megawatts of generation capacity helps maintain grid reliability as electricity demand across the U.S. continues to grow.

Worley’s power generation track record

This contract is not a first for Worley in this space. The company has delivered more than 400 gas turbine projects globally, positioning this award as further validation of an established capability rather than a new foray.

The project will be led from Worley’s Reading, Pennsylvania office, with the following delivery structure:

  • Lead office: Reading, Pennsylvania
  • Supporting: Global Integrated Delivery (GID) team
  • Additional support: Louisiana and Houston offices

This multi-office model allows Worley to draw on specialised engineering resources across its U.S. network, supporting both delivery quality and capacity.

What this contract means for Worley investors

The award reinforces Worley’s strategic positioning in critical power infrastructure at a time of rising U.S. energy demand. Importantly, the project is being delivered under an existing Master Services Agreement with AEP, a commercial framework that provides the structure for repeat and ongoing work with the same client.

The following table summarises the key project details:

Project Detail Specification Delivery Lead Strategic Context
Capacity ~450 megawatts combined Reading, Pennsylvania Significant grid-scale power addition
Turbine count Two gas turbines Reading, Pennsylvania Simple cycle configuration for grid reliability
Location Oklahoma, United States Reading, Pennsylvania U.S. energy infrastructure growth market
Delivery model Multi-office with GID team support Reading, Pennsylvania (lead); Louisiana; Houston Integrated delivery capability across U.S. offices
Client relationship type Master Services Agreement with AEP Reading, Pennsylvania Framework supporting repeat and ongoing work

With the CEO explicitly naming “more complex critical infrastructure” as a strategic growth area, this contract signals continued pipeline potential in the power sector for Worley. The depth of the AEP relationship, underpinned by a formal Master Services Agreement, suggests the commercial groundwork is in place to support further project awards over time.

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Frequently Asked Questions

What is the Worley AEP gas turbine contract in Oklahoma?

Worley Limited has been awarded an engineering services contract by American Electric Power covering Stages 3-4 of the Northeastern U5/6 Simple Cycle Gas Turbine project in Oklahoma, involving engineering, detailed design, and procurement support for a facility featuring two gas turbines with a combined capacity of approximately 450 megawatts.

What is a simple cycle gas turbine and why does it matter for grid reliability?

A simple cycle gas turbine is a fast-starting, reliable power generation technology widely used by utilities to maintain grid stability. For AEP, adding 450 megawatts of simple cycle capacity helps meet growing U.S. electricity demand and ensures grid reliability.

What is a Master Services Agreement and how does it benefit Worley?

A Master Services Agreement is a pre-established commercial framework between two parties that sets the terms for ongoing and repeat work, removing the need to renegotiate contracts from scratch each time. Worley's existing MSA with AEP creates a structural pathway for further project awards from the same client.

How many gas turbine projects has Worley completed globally?

Worley has delivered more than 400 gas turbine projects globally, establishing it as an experienced provider in power generation engineering rather than a new entrant to the sector.

Which Worley offices are delivering the AEP Oklahoma gas turbine project?

The project is being led from Worley's Reading, Pennsylvania office, with additional support from its Global Integrated Delivery team and offices in Louisiana and Houston.

Josua Ferreira
By Josua Ferreira
Partnership Director
Josua Ferreira holds a Bachelor of Commerce in Marketing and Advertising and brings a background in publication, business development, and ASX market storytelling. He has worked with listed companies across the resource sector and broader market, combining sharp commercial instincts with a genuine commitment to keeping investors informed.
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