KBR, Partners Execute FEED Contract for NLNGSevenPlus

KBR, along with joint venture partners, JGC, Technip and Snamprogetti, recently executed a contract with Nigeria LNG Limited (NLNG) for the preparation of project specifications and front end engineering and design (FEED) for a two 8.5 million metric tons per annum LNG plant expansion by Nigeria LNG termed the "NLNGSevenPlus" Project.

The Project is to be constructed at Bonny Island, Nigeria. NLNG Limited is a Company registered in Nigeria whose shareholders are the Nigerian National Petroleum Corporation (NNPC), Shell, Total and ENI.

The award of the FEED is part of a dual-FEED preparation activity being done in parallel by KBR and its partners along with another consortium. NLNG plans to take a Final Investment Decision by the end of 2007.

The project specifications and FEED packages for the NLNGSevenPlus Project include the design of two 8.5 million metric tons per annum LNG trains and related site utilities. The shareholders are to execute only one train in the current plan, with a decision on the second train deferred for a future date. Upon completion, the NLNG Train Seven will be the largest LNG train in the world.

The joint venture of KBR, JGC, Technip and Snamprogetti was chosen to design and build the first six trains for NLNG, beginning with the award of Trains One and Two in 1995. Trains One through Five are complete and Train Six is under construction and expected to be completed by the end of 2007. The joint venture has been successfully executing the Nigeria LNG Projects since its inception, and the award of the FEED contract follows on this success. KBR and its joint venture partners are performing the FEED work from their offices in the UK and in the National Engineering & Technical Company's (NETCO) office in Nigeria.

"KBR and its joint venture partners are pleased to be part of this process. Our history of work in Nigeria spans more than 20 years. We look forward to our continued work with NLNG and we are excited about this opportunity," said John Rose, Executive Vice President, KBR.

KBR, alone or with its joint venture partners, has designed and constructed more than half of the world's operating LNG production capacity and more than half of the LNG terminals in operation outside of Japan.

KBR is a global engineering, construction and services company supporting the energy, petrochemicals, government services and civil infrastructure sectors. KBR offers a wide range of services through its Energy and Chemicals (E&C) and Government and Infrastructure (G&I) business segments.

JGC is an international engineering and construction company based in Yokohama, Japan with multiple operating centers to execute large scale projects around the world. JGC is currently performing projects in Nigeria, Saudi Arabia, Yemen, Bahrain Qatar, Indonesia, Vietnam, China, and other countries. Established in 1928, JGC has a strong background in lump-sum turnkey operations of both hydrocarbon and non-hydrocarbon related projects with annual sales turnover in excess of $4.5 billion.

With a workforce of 22,000 people, Technip ranks among the top five corporations in the field of oil, gas and petrochemical engineering, construction and services. Headquartered in Paris, the Technip Group is listed on the New York and Paris Stock Exchanges. The Technip Group's main operations, engineering centers and business units are located in France, Italy, Germany, UK, Norway, Finland, the Netherlands, United States, Brazil, Abu-Dhabi, China, India, Malaysia and Australia.

In support of its activities, the Technip Group manufactures flexible pipes and umbilicals, and builds offshore platforms in its manufacturing plants and fabrication yards in France, Brazil, the UK, the USA, Finland and Angola, and has a fleet of specialized vessels for pipeline installation and subsea construction.

Snamprogetti is a Saipem company. Saipem, which is 43% owned by ENI, is a leader in the provision of engineering, procurement, project management and construction services for the oil and gas industry with unique capabilities in designing and executing large scale offshore and onshore projects. Saipem has a strong expertise in operating in deepwater and remote areas. It has significant technological competence in gas monetization and heavy oil exploitation.

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