Chiyoda: Award of Gas Processing Plant in Qatar

Chiyoda Corporation (TSE:6366) (ISIN:JP3528600004) has
signed a contract for the engineering, procurement and construction
(EPC) of Al Khaleej Gas Phase 2 Project (AKG-2) with RasGas Company
Limited, which is acting on behalf of and as agent for ExxonMobil
Middle East Gas Marketing Limited. This contract for the gas
processing train, with capacity to support gas sales of 1,250 MSCFD of
natural gas, was awarded on an exclusive negotiation basis and will be
executed by a joint venture led by Chiyoda Corporation with Technip
France (CTJV). The Front End Engineering and Design (FEED) work for
the AKG-2 Project was also performed by Chiyoda.
After its completion in 2009, AKG-2 Project will produce sales gas
to satisfy the increasing domestic gas demand in Qatar and eventually
contribute to the further development of the infrastructure for Qatari
industry. The AKG-2 train will also have the capability for ethane
recovery. The value of the contract exceeds US $1.6 billion.
Chiyoda has extensive experience and expertise in processing acid
gas coming from the North Field, Qatar, the world's largest
non-associated gas reserve. In 2005, Chiyoda successfully completed
the Al Khaleej Gas Phase 1 Project (AKG-1) with a gas sales capacity
of 750 MSCFD which supplies feed gas to Qatar's first GTL project
executed by Technip. CTJV is currently executing the world's 6 largest
LNG trains, each with capacity of 7.8 MMTPA per train, in Ras Laffan,
Qatar. The lessons learned from the AKG-1 Project and the ongoing LNG
projects in the region will contribute to the success of the AKG-2
Project, thus realizing the earliest monetization of the gas reserve
by fast-track project execution and the synergy effect afforded by
simultaneous execution, in particular, with RasGas (3) LNG Trains 6
and 7. In addition, AKG-2 Project will enjoy the maximum benefit
generated by CTJV's innovative execution approach of employing its
Reliability Program.
Chiyoda Corporation, headquartered in Yokohama, Japan, provides
services in the field of engineering, procurement and construction for
gas processing, refineries and other hydrocarbon and industrial plant
projects, particularly in Gas Value Chain areas, on a global basis
including the Middle East, Russia, Africa and South East Asian
regions. For more than 50 years, Chiyoda has constantly leveraged its
extensive experience and far-reaching global network to give it an
unrivaled advantage. The company will continue its EPC business, while
innovating an expanded business model that includes Reliability
Program and plant lifecycle engineering (PLE). This will enable
Chiyoda to become a one-stop provider of everything its customers need
in the way of plant development and operations.