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KBR WINS AUSTRALIAN PIPELINE DEVELOPMENT CONTRACT
ADELAIDE, Australia - Kellogg Brown & Root (KBR), the Engineering and Construction segment of Halliburton (NYSE: HAL), has been selected to supply Phase 1 engineering, procurement and construction services for a new underground gas pipeline from the Port Campbell area in Victoria to Adelaide, South Australia.
The proponent is SEA Gas Pty Ltd, a new a 50/50 joint venture recently incorporated by Australian National Power and Origin Energy.
KBR's role includes Phase 1 engineering, pipeline flow simulation, development of specifications and tendering for the procurement and construction of the 660 km pipeline plus its associated compressors and meter stations. It also involves preparing a project cost estimate, and managing the work of sub-consultants engaged for regulatory and environmental approval processes, land acquisition and surveying.
At present, almost all of South Australia's gas is supplied by the Cooper Basin in Central Australia via the Moomba to Adelaide pipeline. When completed in early 2004, the $A250 million SEA Gas pipeline will bring gas to South Australia from the Otway Basin, considerably strengthening the state's energy infrastructure and providing security of supply for both existing and potential industrial expansion.
KBR Project Director John Prowse said that KBR's international track record in major onshore pipeline projects helped to clinch the contract.
"SEA Gas had heard about the conceptual engineering we are currently carrying out for a multi-billion dollar, 2,800 km extension of the Alaska pipeline from Edmonton to Chicago," he said.
SEA Gas aims to achieve financial close by March 2002. A preferred corridor for the pipeline has been assessed and construction should commence in May 2002. The project's web site address is www.seagas.com.au.
Kellogg Brown & Root is an international Kellogg Brown & Root is an international, technology-based engineering and construction company, which provides a full spectrum of industry-leading services for public infrastructure and to the hydrocarbon, chemical, energy, and forest products industries.
Halliburton Company, founded in 1919, is the world's largest provider of products and services to the petroleum and energy industries. The company serves its customers with a broad range of products and services through its Energy Services Group and Engineering and Construction business segments. The company's World Wide Web can be accessed at www.halliburton.com.
Australian National Power is part of an international power generation company and owns and operates the Pelican Point, Dry Creek, Snuggery, Mintaro and Port Lincoln power stations in South Australia, and the Hazelwood Power Station in Victoria (92%).
Origin Energy is one of Australia's leading providers of dual fuel energy options, meeting the needs of 1.8 million homes and businesses throughout Australia, New Zealand and the near Pacific. It has significant interests across the energy supply chain including gas production and exploration; natural gas-fired power generation and cogeneration; energy retailing and trading; and investment in and management of infrastructure assets.
Contact
Karen Disney
KBR- Parkside, Au
(p) 61.8.8301.1315
Zelma Branch/Wendy Hall
Halliburton - Houston
(p) 713.676.4371
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