KBR Awarded FCC and Hydroprocessing Technology Contract for Sonangol, E.P. Refinery

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August 19, 2009

KBR (NYSE:KBR) announced today that it has been awarded a contract by Sonangol, E.P. to provide license and engineering services for grassroots FCC and Hydroprocessing technologies for the Sonaref Refinery to be located in Lobito, Angola.

KBR will provide licensing services for the state of the art Orthoflow FCC technology and a Moderate Pressure Hydrocracking Unit (MPHC). This integrated solution will provide Sonangol the flexibility to control the gasoline to diesel ratio and to take advantage of seasonal demands. The company will also deliver Diesel Hydrotreating (DHT) and Kerosene Hydrotreating (KHT) technologies, for the production of premium distillate products. This contract award for four technology units follows the Front-End Engineering and Design (FEED) contract awarded in November 2008.

The four technology units are delivered in partnership with ExxonMobil Research and Engineering Company, (EMRE), Fairfax, Va., under joint marketing alliances for FCC and Hydroprocessing technologies between the two companies.

"KBR is pleased to continue our long-standing work related to the Lobito Refinery," said Tim Challand, President, Technology for KBR. "This award builds on our strong, long-term relationship with Sonangol and our commitment to helping our customer achieve their objective of building a state-of-the-art refinery that will enable them to compete on a global scale."

The 200,000 bpd grass roots refinery is being built to reduce the country's dependence on imported products. The refinery will allow Sonangol to take advantage of heavy crudes produced domestically as well as enable them to export products internationally. When operations commence, the refinery will process crude into: premium gasoline, diesel, jet fuel, kerosene and liquefied petroleum gas (LPG).


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