Jacobs Awarded Canadian Tar Sands Upgrader for BA Energy.

PASADENA, Calif. -- Jacobs Engineering Group Inc. (NYSE:JEC) announced today that a subsidiary company in Canada has executed a contract for front-end and detail engineering, procurement, and construction management services for phase one of BA Energy Inc.'s Heartland Upgrader Project in Fort Saskatchewan, Alberta, Canada. To be built in three phases, the Upgrader will be capable of ultimately processing 226,000 barrels per day of bitumen blends from the Athabasca oil sands. Subject to regulatory approval, the first phase of the project is scheduled to be operating in 2007.

Officials did not disclose the contract value.

This grassroots facility will process bitumen produced by oil sands mining and in situ operations, using proprietary new technologies developed by BA Energy's parent company, Value Creation Inc. Designed to significantly reduce capital and operating costs compared to conventional upgraders, the Heartland Upgrader will produce a range of light to medium, semi-sour crude oil blends suitable for the majority of existing refineries in North America. It is the first in a series of projects planned by BA Energy and other members of the Value Creation Group to help accelerate the development of Western Canada's oil sands and heavy oil resources. Economic upgrading is considered a key hurdle for sustained development of Alberta's oil sands resources, estimated to contain 1.6 trillion barrels of crude bitumen in place.

In making the announcement, CEO Noel Watson stated, "We are enthusiastic about building this commercial plant using BA Energy's new technology. We plan to add value by applying our proven work process and execution experience and by collaborating with our partners, Larson & Toubro and Emerson."

Jacobs, with over 35,000 employees and revenues approaching $5.0 billion, provides technical, professional, and construction services globally.

Any statements made in this release that are not based on historical fact are forward-looking statements. Any forward-looking statements made in this release represent management's best judgement as to what may occur in the future. However, Jacobs' actual outcome and results are not guaranteed and are subject to certain risks, uncertainties and assumptions ("Future Factors"), and may differ materially from what is expressed. For a description of Future Factors that could cause actual results to differ materially from such forward-looking statements, see the discussion under the section "Forward-Looking Statements" included in Item 7 - Management's Discussion and Analysis of Financial Condition and Results of Operations contained in the Company's 2004 Annual Report on Form 10-K.