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Press Release

Technip joint venture awarded contract for first LNG plant in Yemen

September 06, 2005

Paris, September 6, 2005

YEMGAS, a joint venture shared equally between Technip, JGC (Japan) and KBR (USA) – has signed a major lump sum turnkey contract with Yemen LNG Company Ltd (YLNG) for the country’s first LNG (Liquefied Natural Gas) plant. The value of the contract is over USD 2 billion.

This new plant will be located at Balhaf on the southern coast of Yemen, approximately 140 km west of the port city of Al Mukalla and 380 km east of Aden.
It will consist of two LNG trains using the APCI C3/MCR process and will be capable of delivering a total of 6.7 million tons per annum of LNG. The target for Train 1 start-up is end of 2008, with Train 2 coming on line approximately 5 months later.

Under the leadership of Technip, the joint venture team will undertake execution of the contract which includes engineering, procurement, construction, commissioning and start-up of the plant.

The project directorate will be located in Paris at Technip’s offices, and the engineering centers of Technip (Paris) and M.W. Kellogg Ltd. (KBR-JGC subsidiary in London) will execute the project.

Technip has extensive experience in executing EPC projects in the Middle East and has ongoing activities with local oil companies in Yemen supported by its regional engineering center in Abu Dhabi. The Group is currently executing major LNG turnkey projects in the Middle East, West Africa and the United States.

Technip, JGC and KBR have previously worked together in joint venture for LNG projects.

The shareholders of the YLNG Company are Total (42.90%), Yemen Gas Company (23.10%), Hunt Oil Company (18%) and two Korean companies, SK Corporation (10%) and Hyundai Corporation (6%).


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With a workforce of about 20,000 people, Technip ranks among the top five corporations in the field of oil, gas and petrochemical engineering, construction and services. Headquartered in Paris, the Group is listed in New York and Paris. The Group’s main engineering and business centers are located in France, Italy, Germany, the UK, Norway, Finland, the Netherlands, the USA, Brazil, Abu-Dhabi, China, India, Malaysia and Australia. In support of its activities, the Group manufactures flexible pipes and umbilicals, and builds offshore platforms in its manufacturing plants and fabrication yards in France, Brazil, the UK, the USA, Finland and Angola, and has a fleet of specialized vessels for pipeline installation and subsea construction.