Press Release

Houston, Texas

- October 23, 2014 -

KBR Inc. (NYSE: KBR) announced today it has been awarded a three-year master services agreement (MSA) with Statoil Petroleum AS (Statoil) to provide engineering and procurement services for Statoil on a global scale.

This agreement builds upon a long-term relationship between KBR and Statoil and provides Statoil access to KBR's engineering expertise and capacity for their upcoming international field developments.

We are very excited as this is a great opportunity to provide value-added support services to Statoil's projects globally," said Stuart Bradie, KBR President and CEO. "This award highlights Statoil's confidence in KBR's capabilities to deliver in multiple engineering discipline areas across a variety of projects."
Additionally, the MSA will allow KBR to competitively bid on global services relating to concept studies, front end engineering design (FEED), detailed engineering and procurement services and general management assistance (EPCM) in connection with Statoil projects, both onshore and offshore. The MSA has an option to renew every three years for a total of 12 years.

Revenue will be booked to the Hydrocarbons business segment as work orders are awarded against the MSA.About KBR
KBR is a global engineering, construction and services company supporting the energy, hydrocarbons, power, industrial, civil infrastructure, minerals, government services and commercial markets. For more information, visit www.kbr.com

The statements in this press release that are not historical statements, including statements regarding future financial performance and backlog information, 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/A, 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.

CONTACT:
Zac Nagle
Vice President,
Investor Relations and Communications
713-753-5082
[email protected]
or
Rick Goins
Director, Corporate Communications
713-753-3800
[email protected]