October 14, 2008

Foster Wheeler Receives FEED Contract for ISG Development in Algeria

Foster Wheeler has announced that its subsidiary Foster Wheeler Energy has been awarded a front-end engineering design contract by BP Exploration on behalf of the In Salah Gas Joint Venture for the Southern Fields Development Project in Algeria.

The contact value for the project was not disclosed, and will be included in the Foster Wheeler's fourth quarter 2008 bookings.

The objective of the In Salah Southern Gas Fields Development Project, the second phase of the In Salah Gas (ISG) development, is to maintain gas production at plateau levels when production from the three northern fields goes into decline.

The project involves the development of the Garet el Befinat, Hassi Moumene, In Salah and Gour Mahmoud fields located around the town of In Salah to the south of the current development.

Foster Wheeler will update the basis of design, develop the technical data, specifications and requisitions and provide a detailed cost estimate in order to define the engineering, procurement and construction (EPC) scope of work.

Michael Beaumont, chairman and CEO of Foster Wheeler Energy, said: "The Foster Wheeler team will bring together its specialist expertise in gas field development, pipelines, and the execution of major projects to deliver a high quality front-end engineering design (FEED) which meets schedule and plant availability objectives, while also taking full account of the environmental and social sensitivities of development in proximity to the local In Salah community."