SOURCE: CH2M HILL

CH2M HILL

September 29, 2009 10:40 ET

CH2M HILL Awarded CO2 Pipeline Project

Project Will Reduce Carbon Emissions and Increase Domestic Energy Supplies

DENVER, CO--(Marketwire - September 29, 2009) - CH2M HILL, a global full-service engineering, procurement, construction, and operations firm, has been awarded an Engineering, Procurement, and Construction Management contract from Encore Acquisition Company (NYSE: EAC) (Encore) for its recently announced Greencore Project -- a new 230-mile, high pressure CO2 pipeline.

The project will reduce greenhouse gas emissions by capturing CO2 emissions from the Lost Cabin Gas Plant in Fremont County, Wyoming. Captured CO2 will be injected into oil wells in Encore's Bell Creek Field in southeastern Montana and will help increase domestic oil production from that field. By capturing CO2 that would otherwise be released into the atmosphere, this project will reduce CO2 emissions by approximately 1 million metric tons each year. It is estimated that the CO2 injection project will increase oil production from existing wells from 1,200 barrels per day to a peak response of 7,000 barrels per day.

"The Greencore CO2 Pipeline Project is an exciting opportunity that aligns with Encore's and CH2M HILL's commitment to building and supporting projects which protect the environment and provide energy supply solutions," says John Blakney, CH2M HILL Vice President. "We look forward to working closely with all project stakeholders to complete this project safely, on time, and within budget."

CH2M HILL will design and construct a 230-mile, combination 8-inch and 10-inch diameter pipeline to transfer the compressed CO2 from the Lost Cabin Plant in Wyoming to wells throughout the 21,000-acre Bell Creek Field in southeastern Montana. Services provided under the CH2M HILL contract include pipeline routing, permitting support, rights-of-way acquisition, surveying, engineering, design, procurement, and construction inspection services for the project.

Initiated in August 2009, the Greencore CO2 Pipeline project is expected to be in place and operational in 2011.

Encore Acquisition Company is engaged in the acquisition and development of oil and natural gas reserves from onshore fields in the United States. Since 1998, Encore has acquired producing properties with proven reserves and leasehold acreage and grown the production and proven reserves by drilling, exploring, reengineering or expanding existing waterflood projects, and applying tertiary recovery techniques. For additional information, please visit www.encoreacq.com.

Headquartered near Denver, Colo., employee-owned CH2M HILL is a global leader in engineering, procurement, construction, management and operations for government, civil, industrial and energy clients. With $6.4 billion in revenue and more than 25,000 employees, CH2M HILL is an industry-leading program management, construction management and design firm, as ranked by Engineering News-Record (2009). The firm's work is concentrated in the areas of energy, water, transportation, environmental, nuclear and industrial facilities. The firm has long been recognized as a most-admired company and leading employer, including being named by FORTUNE as one of the 100 Best Companies to Work For (2009). Visit www.ch2mhill.com.

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