CEO.CA Chairman's Briefing

HOUSTON, TX--(Marketwired - December 19, 2016) - KBR (NYSE: KBR) today announced that it has been awarded two global agreements by BP International Limited; one for the provision of conceptual engineering services and another for the provision of pre-front end engineering design (FEED) and FEED engineering services. Each agreement has a contractual duration of three years with an option on each to extend for two additional years.

The global agreements are for reimbursable global engineering services provided by KBR and KBR subsidiaries Granherne, GVA Consultants and Energo. The scope of services identified within both global agreements covers onshore, offshore, subsea, drilling, greenfield and brownfield upstream engineering services in Alaska, Angola, Azerbaijan, Gulf of Mexico, Indonesia, Oman, Trinidad and the United Kingdom.

"We are delighted to continue our fifty-year successful working relationship with BP while continuing to further our track record of safely and effectively delivering quality projects in the upstream sector," said Stuart Bradie, President and CEO KBR, Inc.

"These global agreements with BP will lead to substantial work for multiple project teams working together from offices in Houston and London to leverage KBR's proven ability to create and deliver complex projects anywhere in the world. Our ability to manage these types of projects is the cornerstone of our success in the global engineering and project management sector," Bradie continued.

KBR has recently played a key role in numerous BP projects, including most recently Mad Dog Phase II, Gulf of Mexico; Glen Lyon FPSO, UK; and the Shah Deniz Phase II projects, Azerbaijan.

About KBR, Inc.

KBR is a global provider of differentiated professional services and technologies across the asset and program life cycle within the Hydrocarbons and Government Services Sectors. KBR employs over 31,000 people worldwide, with customers in more than 80 countries, and operations in 40 countries, across three synergistic global businesses:

• Government Services, serving government customers globally, including capabilities that cover the full life-cycle of defense, space, aviation and other government programs and missions from research and development, through systems engineering, test and evaluation, program management, to operations, maintenance, and field logistics
• Technology & Consulting, including proprietary technology focused on the monetization of hydrocarbons (especially natural gas and natural gas liquids) in ethylene and petrochemicals; ammonia, nitric acid and fertilizers; oil refining; gasification; oil and gas consulting; integrity management; naval architecture and proprietary hulls; and downstream consulting
• Engineering & Construction, including onshore oil and gas; LNG (liquefaction and regasification)/GTL; oil refining; petrochemicals; chemicals; fertilizers; differentiated EPC; maintenance services (Brown & Root Industrial Services); offshore oil and gas (shallow-water, deep-water, subsea); floating solutions (FPU, FPSO, FLNG & FSRU) and program management

KBR is proud to work with its customers across the globe to provide technology, value-added services, integrated EPC delivery and long term operations and maintenance services to ensure consistent delivery with predictable results. At KBR, We Deliver.

Visit www.kbr.com

Forward Looking Statement

The statements in this press release that are not historical statements, including statements regarding future financial performance, are forward-looking statements within the meaning of the federal securities laws. These statements are subject to numerous risks and uncertainties, many of which are beyond the company's control that could cause actual results to differ materially from the results expressed or implied by the statements. These risks and uncertainties include, but are not limited to: the outcome of and the publicity surrounding audits and investigations by domestic and foreign government agencies and legislative bodies; potential adverse proceedings by such agencies and potential adverse results and consequences from such proceedings; the scope and enforceability of the company's indemnities from its former parent; changes in capital spending by the company's customers; the company's ability to obtain contracts from existing and new customers and perform under those contracts; structural changes in the industries in which the company operates; escalating costs associated with and the performance of fixed-fee projects and the company's ability to control its cost under its contracts; claims negotiations and contract disputes with the company's customers; changes in the demand for or price of oil and/or natural gas; protection of intellectual property rights; compliance with environmental laws; changes in government regulations and regulatory requirements; compliance with laws related to income taxes; unsettled political conditions, war and the effects of terrorism; foreign operations and foreign exchange rates and controls; the development and installation of financial systems; increased competition for employees; the ability to successfully complete and integrate acquisitions; and operations of joint ventures, including joint ventures that are not controlled by the company.

KBR's most recently filed Annual Report on Form 10-K, any subsequent Form 10-Qs and 8-Ks, and other Securities and Exchange Commission filings discuss some of the important risk factors that KBR has identified that may affect the business, results of operations and financial condition. Except as required by law, KBR undertakes no obligation to revise or update publicly any forward-looking statements for any reason.