FWLT (MM)

Foster Wheeler Ltd. (Nasdaq: FWLT) announced today that one of its subsidiaries has been awarded a contract by Abu Dhabi Gas Industries Ltd. (GASCO) to provide management services for the engineering, procurement and construction (EPC) phase of GASCO's Habshan Gas Complex Expansion (HGCE) Project at Habshan, Abu Dhabi, UAE. GASCO, a subsidiary of Abu Dhabi National Oil Company, is one of the largest gas processing companies in the world. The management services will be undertaken by Foster Wheeler Energy Limited in the UK, previously awarded the contract to provide management services for the front-end engineering design and EPC contractor selection phases of this project. The Foster Wheeler contract value was not disclosed and the project will be included in the company's fourth-quarter 2005 bookings. The HGCE Project is a $1 billion expansion of the existing Habshan Gas Complex, one of the world's largest gas processing plants. This expansion project will allow the processing of incremental associated gas resulting from ADNOC's expansion of its crude oil production from 1.2 to 1.4 million barrels per day. Associated gas is found in association with crude oil, as distinct from non-associated gas, which is produced from reservoirs that do not contain significant quantities of crude oil. "We are very pleased that GASCO has demonstrated its continued confidence by selecting Foster Wheeler to manage the EPC phase of this significant expansion at Habshan," said Steve Davies, chairman and chief executive officer of Foster Wheeler Energy Limited. "This award builds on our well-established and very successful relationship with GASCO and follows on our success in providing similar services for GASCO's Onshore Gas Development III and Ruwais 3rd Train projects, which are both world-scale developments." "The HGCE Project is a strategic investment which will be instrumental in delivering GASCO's vision: continuously to generate value through world-class management of our gas plant and distribution network within the hydrocarbon value chain," said Khaled Ghanem, senior project manager, GASCO. "We have established an excellent working relationship with Foster Wheeler and we perform as one integrated project management team, committed to satisfying GASCO's expectations for the successful implementation of the project, meeting our company's ambitious health, safety and environmental quality requirements and achieving a smooth, 'right first time' start-up." The HGCE project is planned for completion in mid 2008 and includes the following: -- Two new 800 tonnes per day SUPERCLAUS(R) sulfur recovery units; -- A new acid gas enrichment unit; -- New low pressure, high pressure and feed gas compressors plus associated pipelines; -- Associated offsites and utilities; and -- Upgrade of existing distributed control systems. Notes to Editors: 1. Foster Wheeler Ltd. is a global company offering, through its subsidiaries, a broad range of engineering, procurement, construction, manufacturing, project development and management, research and plant operation services. Foster Wheeler serves the refining, upstream oil and gas, LNG and gas-to-liquids, petrochemical, chemicals, power, pharmaceuticals, biotechnology and healthcare industries. The corporation is based in Hamilton, Bermuda, and its operational headquarters are in Clinton, New Jersey, USA. For more information about Foster Wheeler, visit our Web site at www.fwc.com. 2. Safe Harbor Statement This news release contains 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 our expectations regarding revenues (including as expressed by our backlog), 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 under the heading "Business--Risk Factors of the Business" in the Company's most recent annual report on Form 10-K/A and the following, could cause the Company's business conditions and results to differ materially from what is contained in forward-looking statements: changes in the rate of economic growth in the United States and other major international economies, changes in investment by the power, oil and gas, pharmaceutical, chemical/petrochemical and environmental industries, changes in the financial condition of customers, changes in regulatory environment, 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, currency fluctuations, war and/or terrorist attacks on facilities either owned or where equipment or services are or may be provided, outcomes of pending and future litigation, including litigation regarding our liability for damages and insurance coverage for asbestos exposure, protection and validity of patents and other intellectual property rights, increasing competition by foreign and domestic companies, compliance with debt covenants, recoverability of claims against customers and others, changes in estimates used in critical accounting policies. 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