Fluor Daniel Signs Agreement to Build Caustic Soda, Chlorine Plants Using ICI Chlor Chemicals' New Technology

February 17, 2000

Fluor Daniel, the engineering, construction and procurement subsidiary of Fluor Corp. (NYSE:FLR), Thursday reported that it has entered into an agreement with United Kingdom-based ICI Chlor Chemicals to become an approved contractor for chlor-alkali technologies.

Under terms of the agreement, the Aliso Viejo-based company will have the license to build large-scale chlor-alkali plants for the production of caustic soda and chlorine incorporating ICI's new bipolar technology known as "BiChlor."

Caustic soda is a basic component used in the manufacture of consumer products such as soaps, detergents, paper and aluminum. Industrial applications include oil and gas production, food processing and the manufacture of cotton and Rayon.

Chlorine is a basic chemical used to manufacture polycarbonate for such items as compact discs and automobile parts; urethanes for coatings and foam insulation; and vinyl for a variety of consumer and construction applications.

"BiChlor moves technology forward by making a vast number of important improvements compared to existing types of bipolar electrolysers currently on the market," said Adrian Tattersall, business manager for ICI's Electrochemical Technology Business unit.

"We listened to the needs and wants of our customers in the development of BiChlor and, as a result, re-engineered familiar bipolar principles to create a process that is more effective and efficient."

In addition to establishing a new industry benchmark, ICI technical experts also noted that the re-engineered BiChlor technology has lowered power consumption and extended component lifespans. As a result, the new technology also will reduce costs, improve quality and enhance safety during production.

"Our long and successful history in the chlor-alkali engineering and construction markets, coupled with ICI's technology base, allows customers the opportunity to utilize the only such combination of skills and services in the market today," said Fluor's Mag Fouad, vice president of process technology.

"Among the biggest benefits to customers is that the BiChlor technology promises life-cycle cost savings for the new, large-capacity plants planned by our customers."

Fouad added that he expects the new technologies developed by ICI also can be installed to replace existing facilities that are near the end of their service lives, are not in compliance with proposed environmental legislation, or that produce lower-quality caustic soda.

ICI's chlor-alkali technology has been used in more than 45 plants throughout the world. The company's new bipolar technology was developed and tested at ICI's facilities in England.

Fluor Daniel has designed, procured and/or constructed many small and large tonnage chlor-alkali plants worldwide over the past 40 years, including more than 15 chlor-alkali facilities in the 1990s.

With 1999 revenues of $12.4 billion, Fluor Corp. provides services on a global basis in the fields of engineering, procurement, construction maintenance and operations, equipment leasing, consulting and coal production.

More information is available online at www.fdglobal.com/newsici.

Fluor Corp. releases are available on Fluor's Corporate News on the Net site at http://www.businesswire.com/cnn/flr.htm.

Fluor Corp., Aliso ViejoKeith Karpe, 949/349-7661Lori Serrato, 949/349-7420