BOC Acquires Foster Wheeler's Remaining Stake In South American Hydrogen Projects

BOC to Assume Full Ownership of Chilean and Venezuelan Assets



Apr 25, 2001, 01:00 ET from The BOC Group

    MURRAY HILL, N.J., April 25 /PRNewswire/ -- BOC plans to assume full
 ownership of two South American hydrogen projects from Foster Wheeler Power
 Systems, Inc., a wholly-owned subsidiary of Foster Wheeler Corporation
 (NYSE:   FWC) the company announced today.
     The two projects, in Chile and Venezuela, provide some 60 million cubic
 feet per day of hydrogen to two oil refineries.  BOC and Foster Wheeler's
 original investments in the projects totaled approximately $70 million.
     Dick Grant, chief executive of BOC's Process Gas Solutions, says this
 acquisition "fits well with BOC's growth strategy.  It enables us to
 strengthen our relationship with two important customers in Latin America,
 with both of these plants already operating efficiently.  It also represents
 an opportunity to expand further our global position in the high-growth
 hydrogen industry."
     "This transaction is in accord with Foster Wheeler's strategy of divesting
 its generating assets to reduce long-term debt and concentrating on its core
 businesses," said Gilles A. Renaud, Foster Wheeler's senior vice president and
 CFO. "Foster Wheeler and BOC have teamed on several successful projects in the
 past, and expect to continue our excellent relationship. We are pleased to be
 able to transfer our interests in these valuable plants to BOC."
     In Venezuela, the hydrogen plant supplies one of the world's largest
 refineries in Amuay, on the Paraguana Peninsula, known as the Centro de
 Refinacion de Paraguana (formerly Lagoven).  The refining complex, with a
 630,000 barrel-a-day crude oil capacity, is a wholly-owned subsidiary of the
 state-owned Petroleos de Venezuela, S.A., or PDVSA. The plant started
 operating in 1997.
     The Chilean hydrogen plant provides the feedstock for a hydrocracker at
 the Petrox refinery in Talcahuano.  Hydrocracking produces higher-quality
 fuels from heavier gasoil and residual fuel.  Petrox S.A. is a wholly-owned
 subsidiary of Empresa Nacional de Petroleo, or the Chilean national oil
 company, ENAP.  The plant began operation in 1996.
     BOC Process Gas Solutions is one of three lines of business within The BOC
 Group (NYSE:   BOX; LSE:   BOC).  Process Gas Solutions provides a variety of
 products and services to companies in a range of industries, from oil refining
 to food preparation and production.  As a strategic supplier to the oil
 industry, PGS delivers high-quality hydrogen, nitrogen and oxygen for upstream
 and downstream needs, along with a variety of technologies to reduce costs
 while improving efficiency and environmental performance.
 
     The BOC Group, which serves two million customers in more than
 50 countries, is one of the largest and most global of the world's leading
 gases companies.  It employs nearly 43,000 people and had annual sales of
 nearly $5.8 billion in 2000. Further information about The BOC Group may be
 obtained on the Internet at http://www.boc.com
 
     Foster Wheeler Corporation is a global company offering, through its
 subsidiaries, a broad range of design, engineering, construction,
 manufacturing, project development and management, research, plant operations
 and environmental services.  The Corporation's headquarters are at Clinton,
 N.J.  For more information about Foster Wheeler, visit http://www.fwc.com.
 
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SOURCE The BOC Group
    MURRAY HILL, N.J., April 25 /PRNewswire/ -- BOC plans to assume full
 ownership of two South American hydrogen projects from Foster Wheeler Power
 Systems, Inc., a wholly-owned subsidiary of Foster Wheeler Corporation
 (NYSE:   FWC) the company announced today.
     The two projects, in Chile and Venezuela, provide some 60 million cubic
 feet per day of hydrogen to two oil refineries.  BOC and Foster Wheeler's
 original investments in the projects totaled approximately $70 million.
     Dick Grant, chief executive of BOC's Process Gas Solutions, says this
 acquisition "fits well with BOC's growth strategy.  It enables us to
 strengthen our relationship with two important customers in Latin America,
 with both of these plants already operating efficiently.  It also represents
 an opportunity to expand further our global position in the high-growth
 hydrogen industry."
     "This transaction is in accord with Foster Wheeler's strategy of divesting
 its generating assets to reduce long-term debt and concentrating on its core
 businesses," said Gilles A. Renaud, Foster Wheeler's senior vice president and
 CFO. "Foster Wheeler and BOC have teamed on several successful projects in the
 past, and expect to continue our excellent relationship. We are pleased to be
 able to transfer our interests in these valuable plants to BOC."
     In Venezuela, the hydrogen plant supplies one of the world's largest
 refineries in Amuay, on the Paraguana Peninsula, known as the Centro de
 Refinacion de Paraguana (formerly Lagoven).  The refining complex, with a
 630,000 barrel-a-day crude oil capacity, is a wholly-owned subsidiary of the
 state-owned Petroleos de Venezuela, S.A., or PDVSA. The plant started
 operating in 1997.
     The Chilean hydrogen plant provides the feedstock for a hydrocracker at
 the Petrox refinery in Talcahuano.  Hydrocracking produces higher-quality
 fuels from heavier gasoil and residual fuel.  Petrox S.A. is a wholly-owned
 subsidiary of Empresa Nacional de Petroleo, or the Chilean national oil
 company, ENAP.  The plant began operation in 1996.
     BOC Process Gas Solutions is one of three lines of business within The BOC
 Group (NYSE:   BOX; LSE:   BOC).  Process Gas Solutions provides a variety of
 products and services to companies in a range of industries, from oil refining
 to food preparation and production.  As a strategic supplier to the oil
 industry, PGS delivers high-quality hydrogen, nitrogen and oxygen for upstream
 and downstream needs, along with a variety of technologies to reduce costs
 while improving efficiency and environmental performance.
 
     The BOC Group, which serves two million customers in more than
 50 countries, is one of the largest and most global of the world's leading
 gases companies.  It employs nearly 43,000 people and had annual sales of
 nearly $5.8 billion in 2000. Further information about The BOC Group may be
 obtained on the Internet at http://www.boc.com
 
     Foster Wheeler Corporation is a global company offering, through its
 subsidiaries, a broad range of design, engineering, construction,
 manufacturing, project development and management, research, plant operations
 and environmental services.  The Corporation's headquarters are at Clinton,
 N.J.  For more information about Foster Wheeler, visit http://www.fwc.com.
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X46427182
 
 SOURCE  The BOC Group