Foster Wheeler To Supply Circulating Fluidized-Bed Steam Generators To SINOCHEM In The People's Republic Of China

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Jan 10, 2008

Foster Wheeler Ltd. (Nasdaq: FWLT) announced today that subsidiaries of its Global Power Group have been awarded a contract for two circulating fluidized-bed (CFB) steam generators by SINOCHEM Quanzhou Petrochemical Co. Ltd, a subsidiary of Sinochem Corporation (SINOCHEM), located in southeast Fujian Province in the People's Republic of China. This CFB project is part of a major residue processing project by SINOCHEM Quanzhou Petrochemical Co. Ltd.

Foster Wheeler has received a full notice to proceed on the engineering and supply of two 75 MWe class (gross megawatt electric) CFB steam generators. The terms of the award were not disclosed, and the contract will be included in the company's bookings for the fourth-quarter of 2007.

"Foster Wheeler's ability to provide reliable efficient combustion of petcoke in our CFB technology was key in the selection of our technology by SINOCHEM," said Byron Roth, chief executive officer of Foster Wheeler Power Group Asia. "We are looking forward to a long term, mutually beneficial relationship between Foster Wheeler and SINOCHEM."

"We are fully confident in Foster Wheeler's high quality CFB product and the outstanding service they will bring to our refinery," said Mr. Wang Zhongshang, president of SINOCHEM Quanzhou Petrochemical Co. Ltd. "Foster Wheeler's previous work on projects in the petrochemical industry demonstrated the company's expertise and professionalism in completing complex jobs - and was a major factor in our selection of the company to provide the boilers for Quanzhou."

The coke-fired CFBs will be designed by Foster Wheeler International Engineering & Consulting (Shanghai) Company Limited. Foster Wheeler Power Machinery Company Limited, which owns a state-of-the-art manufacturing facility in Xinhui, China, will be responsible for the manufacturing. Commercial operation of the new boilers is scheduled for the fourth quarter of 2009.

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