KBR Awarded Contract by CARBO Ceramics Inc. to Build Proppant Facility

Houston, Texas - January 5, 2009 - KBR (NYSE:KBR) announced today that a division of its Services business unit, BE&K, has been awarded a contract by CARBO Ceramics Inc. (CARBO) to provide engineering and construction management services for the expansion of its proppant manufacturing facility in Toomsboro, Ga.

BE&K will install a new, additional light weight proppant facility which will produce an estimated 250 million pounds-per-year of 20/40 and 30/50 mesh product.

"This award allows BE&K to continue to build on its relationship with CARBO Ceramics," said David Zimmerman, President of KBR Services. "We look forward to providing our engineering and construction expertise to assist CARBO in the successful completion this expansion."

BE&K, a division of KBR, Inc., offers a full spectrum of construction, engineering, and maintenance services to clients in capital-intensive industries worldwide.

KBR is a global engineering, construction and services company supporting the energy, petrochemicals, government services and civil infrastructure sectors. The company offers a wide range of services through its Downstream, Government and Infrastructure, Services, Technology, Upstream and Ventures business segments. For more information, visit www.kbr.com.

CONTACT:
KBR, Houston
Director, Communications
Heather Browne, 713-753-3775
heather.browne@kbr.com
or
Director, Investor Relations
Rob Kukla, Jr., 713-753-5082
investors@kbr.com