CB&I Wins Bonny Island LNG Expansion Contract

Chicago Bridge & Iron Company in consortium with Bilfinger Berger AG of Germany have been awarded a contract in excess of US $100 million by the TSKJ group of companies to provide civil and mechanical erection services for Nigeria LNG Ltd.'s (NLNG) Plus Project at its liquefied natural gas (LNG) complex at Finima on Bonny Island in Rivers State, Nigeria.

CB&I will be the mechanical erection contractor for the construction of a fourth LNG production train with a design capacity of 4.0 million tons per year, one of the largest capacity units in the world. CB&I's excellent worldwide safety record, well proven QA/QC Management Systems, its ISO 9001 Quality Management Program and Environmental Procedures, which are established in accordance with ISO 14001 guidelines, were instrumental in receiving the award. CB&I's scope includes structural, piping and mechanical erection of Train 4 and the new area Offsite Works. Bilfinger Berger AG will perform the civil work for Train 4. CB&I will mobilize on site in early 2003 and expects to complete the project in the spring of 2005.

This latest contract is a follow-on award for CB&I, which is currently nearing completion of a major project for TSKJ on Bonny Island involving the engineering and construction of three liquefied gas storage tanks, two smaller tanks and associated foundations and civil works. This work, awarded in December 1999, is an integral portion of NLNG's Expansion Project, consisting of a third LNG train, liquefied petroleum gas (LPG) facilities, storage and a jetty.

Gerald M. Glenn, CB&I's Chairman, President and CEO, stated, "We are pleased to have been selected once again by TSKJ for the further expansion of Nigeria's LNG production capacity. This award demonstrates TSKJ's continuing confidence in our ability to execute complex technical projects, and further solidifies CB&I's position as one of the world's leading providers of LNG liquefaction and storage facilities."

TSKJ is the EPC contractor for the NLNG Expansion and Plus Projects and is a joint venture of engineering and construction companies Technip-Coflexip, Snamprogetti, KBR and JGC Corporation. Nigeria LNG Ltd. is a joint venture whose shareholders include Nigerian National Petroleum Corporation, Shell Gas B.V., TotalFinaElf LNG Nigeria Limited and Agip International.


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