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2004 Press Releases
FOR IMMEDIATE RELEASE: January 12, 2004

KBR APPOINTED AS CONSULTANT FOR BEATRICE OFFSHORE WIND FARM FRONT END ENGINEERING

LONDON - Kellogg Brown & Root (KBR) has been appointed by Talisman Energy (UK) Limited as the consultant for the front-end engineering design (FEED) study into the use of two prototype turbines for a deep-water offshore wind farm to be located on Talisman Energy's Beatrice oilfield acreage in the North Sea. KBR is the engineering, construction and services subsidiary of Halliburton (NYSE:HAL).

The FEED study for two wind turbine generator units is the first phase of the offshore wind farm Demonstrator project being undertaken prior to committing to the full-scale development. If successful, it may lead to the development of a 200 turbine, 1,000MW wind farm using the existing Beatrice field oil infrastructure as a hub.

John Evans, COO for KBR's Infrastructure business in Europe & Africa said: 'This award capitalises on our wide range of experience in both offshore wind farms and offshore oil and gas production facilities. We are delighted to be working with Talisman on this important study which has the potential for opening up the deep and difficult waters of the North Sea for power generation.'

The aim of the FEED study is to prove and demonstrate the viability of technologies and processes. The Demonstrator project will involve the construction and installation of two turbines, tie back to the Beatrice AP platform and connection to the UK grid.

The wind farm will be located south-east of Talisman Energy's Beatrice AP production platform in the Moray Firth off the Caithness coast in Scotland. The water depth at the field location is 45m.

The scope of the FEED study includes structures, subsea, topsides, turbines, fabrication and installation. The subsea installation studies will be carried out by Subsea 7, a joint venture company incorporated by Halliburton and DSND.

Talisman Energy has joined with Scottish and Southern Energy to progress the Demonstrator project. The FEED study will be complete in March 2004 and is being part funded by the Scottish Executive and the DTI.

KBR is a global engineering, procurement and services company. Whether designing a chemical plant, serving as a defence industry contractor, or providing capital construction, KBR delivers world class service and performance.

Founded in 1919, Halliburton is one of the world's largest providers 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.

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