Yokohama, Japan - A joint venture of JGC Corporation, Technip of France and KBR of USA has been awarded a contract to provide engineering, procurement, construction, commissioning, and assistance for start-up of the plant, by Yemen LNG Company Ltd. (YLNG Company) for the country's first LNG Plant. The contract value is more than US$ 2 billion.

The project scope includes the construction of a two-train LNG processing plant and associated support facilities. The trains will have a total capacity of 6.7 million tonnes per annum. The target for Train 1 start-up is end of 2008, with Train 2 coming on line approximately five months later. The new plant will be located at Balhaf on the southern coast of Yemen, 450 km south-east of Sana’a, the capital of the country.

The project directorate office will be located at the Technip office in Paris, with the project execution performed by the respective engineering centers of Technip (Paris) and M.W. Kellogg Ltd. (a KBR- JGC subsidiary in London).

JGC has an extensive track record in executing front-end engineering design (FEED) and EPC contracts of LNG liquefaction plants around the world. In particular, JGC and KBR provide state-of-the-art technologies and cost-effective EPC solutions to the natural gas industry within the framework of the JGC/KBR Natural Gas Alliance. JGC, KBR and Technip have extensive accumulated experience in collaborating in joint ventures for LNG projects.

The shareholders of the YLNG Company are Yemen Gas Company (23.1%), Total (42.9%), Hunt Oil Company (18%), and South Korea’s SK Corporation (10%) and Hyundai Corporation (6%).

Based in Yokohama, Japan, JGC is one of the most active international engineering and construction companies, having multiple operating centers and executing large scale projects worldwide. JGC is currently executing projects in Nigeria, Algeria, Saudi Arabia, Oman, U.A.E, Qatar, Bahrain, China, Indonesia, Vietnam and other countries. Established in 1928, JGC has a strong background in lump-sum turnkey operations of both hydrocarbon and non-hydrocarbon related projects, with annual sales turnover in excess of US$ 3 billion.