Houston, Texas — February 9, 2012 — KBR (NYSE: KBR) today announced that it has completed the registration and licensing of a new entity to carry out general engineering and project management services under the Saudi Arabian Oil Company (Saudi Aramco) GES+ initiative.

As part of completing the GES+ initiative, KBR acquired the business of Abdulhadi and Al-Moaibed Consulting Engineering Co. (AMCDE), a Saudi owned professional engineering company, and officially formed KBR-AMCDE. KBR will hold a 67% interest in this new entity. This new entity will provide front-end engineering and design (FEED), detailed design, procurement and project management services for Saudi Aramco. Initial staffing of the KBR-AMCDE enterprise is approximately 400 people.

KBR-AMCDE will perform the GES+ work under a five-year contract in support of Saudi Aramco’s Capital Program. This work will be performed from the KBR-AMCDE offices in Al-Khobar, Saudi Arabia. KBR also expects, over time, to use the KBR-AMCDE enterprise to perform engineering work outside the hydrocarbons sector in Saudi Arabia.