News Details

Fluor Corporation (NYSE: FLR) and AMEC (London: AMEC) today announced that their Fluor Daniel/AMEC alliance (AFD) has been named by Hyundai Heavy Industries of South Korea as its subcontractor to design and manage a major portion of what will be the world's largest deep- water crude oil production facility for Esso Exploration Angola Limited, a subsidiary of ExxonMobil Corporation (NYSE: XOM).

AFD will provide engineering and procurement assistance for the topsides and project management services for the floating production, storage and offloading (FPSO) facility located off the coast of the West African nation of Angola. The FPSO will have a processing target of 250,000 barrels per day and a storage capacity of more than 2.2 million barrels.

With production expected in 2004, the $3 billion world-class Kizomba A Development project in Angola's Block 15 has recoverable resources of approximately 1 billion barrels of oil. Kizomba A will develop discoveries in water depths of 3,300 - 4,200 feet.

"Our three companies -- Fluor, AMEC and Hyundai -- have joined forces to contribute our individual strengths of project management, topsides engineering, shipbuilding and fabrication needed to successfully build and deliver what will be the largest FPSO ever undertaken," said Fluor's Kirk Grimes, group executive, Energy & Chemicals.

AFD will carry out the design work and provide overall program management services from Fluor's Houston, Texas facility. Fabrication and integration of the hull and topsides will be executed by Hyundai at its facility in Ulsan, South Korea, and then transported to the site for installation. At its peak, AFD said it expects to deploy approximately 350 workers to the project, which will represent some 600,000 effort hours overall.

Fluor Corporation provides services on a global basis in the fields of engineering, procurement, construction, operations, maintenance, project management and business services. Headquartered in Aliso Viejo, California, Fluor is a Fortune 500 company with revenues of $10 billion in fiscal year 2000. Fluor is a publicly held corporation that trades under the symbol FLR on the New York Stock Exchange. Complete information about Fluor is available through the company's Internet site at www.fluor.com.

AMEC is a leading international provider of services and engineering solutions to the world's infrastructure, manufacturing and process industries. The company creates value for clients through the application of its knowledge, innovative alliances, partnerships and technologies. AMEC owns 46 per cent of SPIE S.A., the international electrical engineering, infrastructure and construction services company based in France, and has an option to buy the balance of SPIE in 2002. Together, AMEC and SPIE employ 50,000 people in more than 40 countries and have annualized revenue of approximately US$ 7 billion. AMEC plc (London: AMEC) is headquartered in the United Kingdom.

NOTE REGARDING FORWARD-LOOKING STATEMENTS:

The foregoing release contains forward-looking statements regarding the outlook for new business, projected earnings and profit margin levels, new awards and backlog levels and the effect of strategic initiatives. Such forward-looking statements reflect current analysis of existing information.

Caution must be exercised in relying on forward-looking statements. Due to known and unknown risks, the Company's actual results may differ materially from its expectations or projections. Factors potentially contributing to such differences include, among others:

• Changes in global business, economic, political and social conditions;
• The Company's failure to receive anticipated new contract awards;
• Customer cancellations of, or scope adjustments to, existing contracts;
• Difficulties or delays incurred in the execution of construction contracts resulting in cost overruns or liabilities;
• Customer delays or defaults in making payments;
• Difficulties and delays incurred in the implementation of strategic initiatives; and
• Competition in the global engineering and construction industry.

While most risks affect only future costs or revenues anticipated by the Company, some risks may relate to accruals that have already been reflected in earnings. The Company's failure to receive payments of accrued amounts could result in a charge against future earnings.

Additional information concerning these and other factors can be found in press releases as well as Fluor's public periodic filings with the Securities and Exchange Commission, including the discussion under the heading "Item 1. Business -- Other Matters -- Company Business Risks" in the Company's Form 10-K filed January 29, 2001. These filings are available either publicly or upon request from Fluor's Investor Relations Department: (949) 349-3909. Fluor disclaims any intent or obligation to update its forward-looking statements.

For further information, please contact: media relations, Keith Karpe, +1-949-349-7661, or Lori Serrato, +1-949-349-7420, both of Fluor Corporation.