Foster Wheeler Awarded PMC Contract for Linear Alkyl Benzene Plant Expansion by Gulf Farabi in Saudi Arabia

Published on Wednesday, 08 September 2010 08:28 Written by TradersHuddle Staff

ZUG, Switzerland-( Business Wire )-

Foster Wheeler AG (Nasdaq: FWLT) announced today that its Global Engineering and Construction Group has been awarded a contract by Gulf Farabi Petrochemical Company for the provision of project management consultancy (PMC) services for Gulf Farabi’s Linear Alkyl Benzene (LAB) plant expansion at Al-Jubail, Saudi Arabia.

The Foster Wheeler contract value for this project was not disclosed and was included in the company’s first-quarter 2010 results.

The new plant will have a production capacity of 100,000 tonnes per annum of LAB which is a basic ingredient in the formulation of synthetic detergents.

The first phase of the project covers the preparation and issue of an invitation to bid (ITB) for the engineering, procurement and construction management (EPCm), EPCm bid evaluations, preparation of the EPCm contract and support to Gulf Farabi during the engineering and procurement phase of the project. For the second phase, Foster Wheeler will provide support to Gulf Farabi during the construction phase, with key personnel based at site in 2010 through to 2011 when the project is scheduled for completion.

“Following on from our successful PMC role during the EPC phase of Gulf Farabi’s US$350 million grass roots n-paraffin and LAB project which came on-stream in 2006, we are very pleased to receive this latest contract which constitutes a strong vote of confidence in our project management skills,” said Umberto della Sala, president and chief operating officer, Foster Wheeler AG.

“Foster Wheeler’s contribution to our previous project is commendable and we are going ahead with this winning combination for our expansion project,” commented Mohammed Al-Bibi, president, Gulf Farabi Petrochemical Company Limited.

Foster Wheeler AG 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 specialized 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, and its operational headquarters office is in Geneva, Switzerland. For more information about Foster Wheeler, please visit our Web site at www.fwc.com.

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Foster Wheeler AG news releases may contain forward-looking statements that are based on management’s assumptions, expectations and projections about the Company and the various industries within which the Company operates. These include statements regarding the Company’s expectations about revenues (including as expressed by its backlog), its liquidity, the outcome of litigation and legal proceedings and recoveries from customers for claims and the costs of current and future asbestos claims and the amount and timing of related insurance recoveries. Such forward-looking statements by their nature involve a degree of risk and uncertainty. The Company cautions that a variety of factors, including but not limited to the factors described in the Company’s most recent Annual Report on Form 10-K, which was filed with the U.S. Securities and Exchange Commission and the following, could cause the Company’s business conditions and results to differ materially from what is contained in forward-looking statements: benefits, effects or results of the Company’s redomestication or the relocation of our principal executive offices to Geneva, Switzerland; further deterioration in the economic conditions in the United States and other major international economies, changes in investment by the oil and gas, oil refining, chemical/petrochemical and power generation industries, changes in the financial condition of its customers, changes in regulatory environments, changes in project design or schedules, contract cancellations, changes in estimates made by the Company of costs to complete projects, changes in trade, monetary and fiscal policies worldwide, compliance with laws and regulations relating to its global operations, currency fluctuations, war and/or terrorist attacks on facilities either owned by the Company or where equipment or services are or may be provided by the Company, interruptions to shipping lanes or other methods of transit, outcomes of pending and future litigation, including litigation regarding the Company’s liability for damages and insurance coverage for asbestos exposure, protection and validity of its patents and other intellectual property rights, increasing competition by non-U.S. and U.S. companies, compliance with its debt covenants, recoverability of claims against its customers and others by the Company and claims by third parties against the Company, and changes in estimates used in its critical accounting policies. Other factors and assumptions not identified above were also involved in the formation of these forward-looking statements and the failure of such other assumptions to be realized, as well as other factors, may also cause actual results to differ materially from those projected. Most of these factors are difficult to predict accurately and are generally beyond the Company’s control. You should consider the areas of risk described above in connection with any forward-looking statements that may be made by the Company. The Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise. You are advised, however, to consult any additional disclosures the Company makes in proxy statements, quarterly reports on Form 10-Q, annual reports on Form 10-K and current reports on Form 8-K filed with the Securities and Exchange Commission.

Foster Wheeler AGMedia:United StatesJulie Stanisz, 908-730-4047julie_stanisz@fwc.comorUnited KingdomAnne Chong, +44 (0) 118 913 This e-mail address is being protected from spambots. You need JavaScript enabled to view it. .comorInvestor Relations:Scott Lamb, 908-730-4155scott_lamb@fwc.comorOther Inquiries: This e-mail address is being protected from spambots. You need JavaScript enabled to view it.