Technip and BP Extend their Successful Purified Terephthalic Acid Alliance

  Technip and BP Extend their Successful Purified Terephthalic Acid Alliance

Business Wire

PARIS -- December 12, 2013

Regulatory News:

Technip (Paris:TEC) (ISIN:FR0000131708) (ADR:TKPPY) announces the extension of
its long-standing agreement with BP in the purified terephthalic acid
(PTA)^(1) domain. Technip will now also become the exclusive provider of the
ISBL (Inside Battery Limit) FEED (front-end engineering and design) to BP for
third-party licensing. This announcement follows BP’s decision last year to
make its leading, proprietary PTA technology available for licensing to third
parties (not affiliated with BP).

This builds upon the agreement signed in 2000, whereby Technip and BP entered
into an exclusive alliance for FEED services for BP’s PTA projects. BP is one
of the largest PTA producers in the world and its PTA technology has
significantly lower capital and operating costs, compared with conventional
PTA plants. Besides, it is more energy efficient, uses less water and produces
less solid waste than its competitors.

Over the years, the alliance has developed and adapted itself to respond to
the ever more demanding investment cycle. The alliance aims to deliver
advantaged capital productivity, applying the highest standards of HSSE,
operability, innovation and reduced project cycle times. Since the creation of
the alliance, approximately 5 million tons per year of PTA capacity has been
engineered by Technip. The recently designed Number 3 PTA plant for BP Zhuhai
Chemical Company Ltd.^(2) will deliver a step change in environmental
performance; compared to conventional technologies, the new plant will achieve
75% lower water discharge, 65% lower greenhouse gas emissions and 95% lower
solid waste generation.

As an illustration, BP and JBF Petrochemicals (a wholly-owned subsidiary of
JBF Industries Ltd.) previously announced an agreement to license BP’s latest
PTA technology. Subsequently, Technip was awarded a major contract with JBF,
for the 1.25 million tons per year PTA unit, currently under construction in
Mangalore, India. The contract covers the basic engineering, front-end
engineering design, detailed engineering and procurement services for the ISBL
and the OSBL (Outside Battery Limit). The scope of work also includes supply
of materials and construction management services for the ISBL.

Technip’s operating center in Rome, Italy, will oversee the extended alliance.

Marco Villa, Senior Vice President of Technip’s Region B^(3), declared: “The
relationship between Technip and BP has been a unique model for almost 15
years, creating mutual benefit for both parties. We are proud to become BP’s
engineering contractor of choice for third-party PTA licensing, thereby
reinforcing our long-term relationship with BP and our distinct capabilities
as one of the world’s leading engineering contractors.”

                                     ____

^(1) Purified Terephthalic Acid (PTA), in the form of a white and crystalline
powder, is the raw material for the production of polyester fibers and plastic
materials.
^(2) BP Zhuhai Chemical Company Ltd. is a BP joint venture located in Zhuhai,
Guangdong Province, People’s Republic of China.
^(3) Technip Region B is composed of Italy, Greece, Eastern Europe/Russia/CIS
and South America.

Technip is a world leader in project management, engineering and construction
for the energy industry.
From the deepest Subsea oil & gas developments to the largest and most complex
Offshore and Onshore infrastructures, our 38,000 people are constantly
offering the best solutions and most innovative technologies to meet the
world’s energy challenges.
Present in 48 countries, Technip has state-of-the-art industrial assets on all
continents and operates a fleet of specialized vessels for pipeline
installation and subsea construction.
Technip shares are listed on the NYSE Euronext Paris exchange and traded in
the USA on the OTCQX marketplace (OTCQX: TKPPY).

Contact:

Technip
Public Relations
Christophe Bélorgeot, Tel. +33 (0) 1 47 78 39 92
E-mail: press@technip.com
or
Investor and Analyst Relations
Kimberly Stewart, Tel.+33 (0) 1 47 7866 74
E-mail: kstewart@technip.com
David Tadbir, Tel. +33 (0)1 40 90 19 04
E-mail: dtadbir@technip.com
or
Website http://www.technip.com
 
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