Shaw Awarded Contract To Supply Proprietary Technology And Engineering Services For Ethylene Revamp Project In Korea

Baton Rouge, LA - The Shaw Group Inc. recently announced that its Energy & Chemicals Group has been awarded a contract to supply engineering services and proprietary equipment for the quench system at the Lotte Daesan Petrochemical Corporation's Naptha Cracking Center (NCC) Revamping Project in Daesan, Republic of Korea. The value of Shaw's contract, already included in the company's previously announced backlog, was undisclosed.

The project, which is planned to increase ethylene production by nearly 50 percent to 1,000 kilotons per annum, is expected to be completed in the summer of 2008. The revamp will include Shaw's proprietary Ripple Tray , Vapor Flute and Heavy Fuel Oil Separation technologies.

In a separate agreement signed during 2006, Shaw is supplying two proprietary Ultra Selective Conversion furnaces to Lotte Daesan at the same site.

"We are pleased to provide our innovative technologies and integrated engineering solutions for Lotte Daesan's significant revamp project," said J. M. Bernhard Jr., chairman, president and chief executive officer of Shaw. "With nearly 40 percent of the world's incremental ethylene production during the past decade based on our technology, Shaw-designed ethylene plants have established a global reputation for exceptionally high operational reliability, rapid startup and superior performance."

Lotte Daesan Petrochemical Corporation is a business unit of Honam Petrochemical Corporation. The Lotte Daesan NCC plant is part of the large integrated complex at Daesan, which was previously owned by Hyundai Petrochemical and is now operated by several companies. From two NCC plants and 24 satellite facilities, the entire complex produces over one million tons of ethylene products and 3.3 million tons of affiliated products, the largest amount for a single complex in the world.

The Shaw Group Inc. is a leading global provider of technology, engineering, procurement, construction, maintenance, fabrication, manufacturing, consulting, remediation and facilities management services for government and private sector clients in the energy, chemical, environmental, infrastructure and emergency response markets. A Fortune 500 company with nearly $5B in annual revenues, Shaw is headquartered in Baton Rouge, Louisiana, and employs approximately 25,000 people at its offices and operations in North America, South America, Europe, the Middle East and the Asia-Pacific region. For further information, please visit Shaw's Web site at www.shawgrp.com.

SOURCE: The Shaw Group Inc.