KBR Subsidiary M.W. Kellogg Awarded StatoilHydro Coker Revamp Contract

KBR (NYSE:KBR) today announced its 55% owned subsidiary M.W. Kellogg Ltd. (MWKL) has been awarded a contract to provide detailed engineering and procurement services for a coker revamp project at StatoilHydros Mongstad Refinery, near Bergen, Norway.

The project will improve the working environment and safety of the operators on the coker unit by automating processes to improve safety, performance and reliability. MWKL was awarded pre-engineering work in July 2007 to assess the necessary changes to the coker.

We are delighted to be involved in this project which will streamline and automate the operation of the coker unit and produce enhanced safety conditions whilst in operation, said Stewart Watson, Managing Director, MWKL. MWKL has been involved with the Mongstad Refinery for more than 20 years and has executed over 30 projects including provision of technology, conceptual studies, pre-engineering and detailed engineering during this period.

The project will be implemented during a coker unit shutdown in 2009 and a scheduled refinery turnaround period in April 2010, with completion scheduled for the middle of 2010. Project work will be performed at MWKLs main office in Greenford, West London, along with collocated StatoilHydro representatives.

MWKL, a subsidiary of KBR Inc. and the JGC Corporation of Yokohama, Japan, is a full-service contractor serving the energy and petrochemicals industries. MWKL, headquartered in London, executes world-scale international projects from conceptual feasibility studies through fixed-price turnkey mega-projects. For more information, visit www.mwkl.co.uk.

KBR is a global engineering, construction and services company supporting the energy, petrochemicals, government services and civil infrastructure sectors. The company offers a wide range of services through its Downstream, Government and Infrastructure, Services, Technology, Upstream and Ventures business segments. For more information, visit www.kbr.com.

Contacts:

KBR
Director, Communications
Heather Browne, 713-753-3775
heather.browne@kbr.com
or
Director, Investor Relations
Rob Kukla, Jr., 713-753-5082
investors@kbr.com

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