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Foster Wheeler Awarded Contracts for BP Exploration's Forties Pipeline System in Scotland

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Foster Wheeler AG announced today that its Global Engineering and Construction Group has been awarded two contracts by BP Exploration Operating Company Limited for its Forties Pipeline System (FPS) at its Kinneil Terminal in Scotland. The first contract is for the front-end engineering design (FEED) for the Enhanced Gas Separation Project (EGSP). The second contract is for the pre-FEED for the Refrigerated Liquefied Petroleum Gas (RLPG) Chiller Upgrade Project.

The Foster Wheeler contract value for the two projects was not disclosed and was included in the company's second-quarter 2010 bookings.

The EGSP project, for which Foster Wheeler has already successfully completed the pre-feed, relates to the debottlenecking of the FPS crude degasification facilities at the Kinneil Terminal to allow it to handle high gas-to-oil ratio unstabilized crude oil. The debottlenecking will include the installation of crude coolers, a cooling water system and improved heater and control systems performance.

The RLPG Chiller Upgrade Project involves the modification or replacement of the existing refrigeration system to meet European Commission regulation 2037/2000 in relation to the phasing out of ozone-depleting substances.

"These projects are important awards for Foster Wheeler and we now aim to apply our upstream expertise and project execution experience to develop optimized engineered solutions to assist BP in making investment decisions on both projects," said Umberto della Sala, president and chief operating officer, Foster Wheeler AG.

Foster Wheeler AG (Nasdaq: FWLT) is a global engineering and construction contractor and power equipment supplier delivering technically advanced, reliable facilities and equipment. The company employs approximately 13,000 talented professionals with specialised expertise dedicated to serving its clients through one of its two primary business groups. The company's Global Engineering and Construction Group designs and constructs leading-edge processing facilities for the upstream oil and gas, LNG and gas-to-liquids, refining, chemicals and petrochemicals, power, environmental, pharmaceuticals, biotechnology and healthcare industries. The company's Global Power Group is a world leader in combustion and steam generation technology that designs, manufactures and erects steam generating and auxiliary equipment for power stations and industrial facilities and also provides a wide range of aftermarket services. The company is based in Zug, Switzerland.

Published 29/09/2010

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