Foster Wheeler Awarded Contract by Saras for New Refinery Units in Italy.

HAMILTON, Bermuda -- Foster Wheeler Ltd. (Nasdaq: FWLT) announced today that Milan-based Foster Wheeler Italiana S.p.A., part of its Global Engineering and Construction Group, has been awarded an engineering and procurement contract by Saras S.p.A. for new process units at the Sarroch refinery in Sardinia, Italy. The contract also includes an option, which Saras may elect to exercise at a later date, for the provision of construction supervision services by Foster Wheeler. Saras is one of the leading industrial companies in Italy and its Sarroch refinery is one of Europe's largest and most advanced refining complexes.

The terms of the contract award, which were included in Foster Wheeler's first-quarter 2006 bookings, were not disclosed.

Foster Wheeler's scope includes a new hydrodesulfurization unit with 180 cubic meters per hour throughput, designed to reduce the sulfur content of a gasoline blending component to seven parts per million weight, while minimizing octane loss. In addition, two new independent tail gas treatment units will be installed, each of approximately 36 metric tonnes per hour capacity. The tail gas treatment units will be designed to achieve a minimum overall sulfur recovery of 99.9 percent from the tail gases, in line with new emissions legislation. Tail gases are "leftover" gases from the sulfur recovery unit.

"We are very pleased to be awarded this project by Saras," said Umberto della Sala, chief executive officer of Foster Wheeler's Global Engineering and Construction Group. "The importance of this award goes far beyond the contract itself and represents a significant first step in the development of a long-term alliance relationship with Saras."

"This project is very important for the future development of our refinery at Sarroch," said Paolo Alfani, executive vice president, Saras S.p.A. "We are confident that Foster Wheeler has the right experience, expertise and professionalism to meet our objectives for this challenging project and also to establish a successful partnership relationship with Saras."

Notes to Editors:

1. Foster Wheeler Ltd. is a global company offering, through its subsidiaries, a broad range of engineering, procurement, construction, manufacturing, project development and management, research and plant operation services. Foster Wheeler serves the refining, upstream oil and gas, LNG and gas-to-liquids, petrochemical, chemicals, power, pharmaceuticals, biotechnology and healthcare industries. The corporation is based in Hamilton, Bermuda, and its operational headquarters are in Clinton, New Jersey, USA. For more information about Foster Wheeler, visit our Web site at www.fwc.com.

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