Foster Wheeler Awarded Basic Design Package Contract for Hydrogen Production Facility in Russia

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July 13, 2005

Foster Wheeler Ltd. (Nasdaq: FWLT) announced today that its UK subsidiary Foster Wheeler Energy Limited has been awarded a contract by OJSC "Oil Company Alliance" (Alliance) to prepare a basic design package for a hydrogen production facility at its Khabarovsk refinery in Russia. The new plant will produce 27 million standard cubic feet per day (SCFD) of hydrogen, with a minimum hydrogen purity of 99.9% by volume.

The Foster Wheeler contract value was not disclosed and the project was included in the company's first-quarter 2005 bookings.

"This award offers us the opportunity to develop further our relationship with Alliance, following completion of other work associated with their current upgrading project," said Steve Davies, chairman and chief executive officer of Foster Wheeler Energy Limited. "The new plant will use our proprietary TERRACE-WALL(TM) steam methane reforming technology for the production of hydrogen. This latest win, one of a number of recent hydrogen wins, builds upon our extensive hydrogen and syngas experience: over 100 Foster Wheeler-designed hydrogen plants, with a total installed capacity exceeding three billion SCFD, are in operation around the world."

"We are pleased to work with Foster Wheeler, utilizing its internationally recognized hydrogen technology and engineering expertise to ensure successful delivery of this project," commented Arsen Idrisov, president of OJSC "Oil Company Alliance."

The new unit will use mixed feedstocks, including hydrogen-rich gas, liquefied petroleum gases and naphtha from other units within the Khabarovsk refinery. The unit will supply hydrogen to a number of facilities within the refinery for the production of various fuels and will also export medium pressure steam to the refinery steam system. The hydrogen production unit includes the TERRACE-WALL steam methane reformer, pre-reformer, high temperature shift reactor, pressure swing adsorption unit and integral steam raising facilities. The basic engineering package will be completed in July 2005.

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