Halliburton Awarded Contract for Chinese LNG Terminal

Halliburton KBR and JGC have been awarded a contract to provide Front-End Engineering Design for the terminal portion of Guangdong LNG's Terminal and Trunkline Project's proposed Chinese Liquefied Natural Gas project in the Guangdong Province in southern China. The overall project, estimated at approximately U.S. $600 million, comprises both an LNG receiving terminal with an initial capacity of 3 Mtpa (million tons per annum) and a 300km natural gas distribution pipeline system.

The contract will be executed in two phases. During the conceptual phase, the LNG terminal design will be optimized within the context of the overall project, and during the front-end engineering phase, the design for the terminal will be developed. Conceptual work will be undertaken in the London offices of M.W. Kellogg Limited while execution of the FEED phase will occur in JGC's offices in Yokohama, Japan. The FEED is scheduled for completion by first quarter 2002.

This project represents the first of its kind in China and reinforces KBR and JGC's position as the world's leading provider of LNG terminal design services.

"We are extremely pleased that the GDLNG Joint venture has selected the KBR / JGC Gas Alliance to work with them on this exciting project," M.W. Kellogg Limited Director Ken Oguri said. "We look forward to utilizing our extensive LNG experience on such an important and exciting development."