Press Release

HOUSTON--(BUSINESS WIRE)--Jan. 30, 2003--Halliburton Energy Services' Completion Products and Services and Sperry-Sun product service lines have been chosen by Norsk Hydro and the Grane development partners to provide completion products and services, well intervention services, and multilateral well technology for the Grane Field, located in the Norwegian sector of the North Sea. Grane Field is the largest undeveloped oil field on the Norwegian shelf, with recoverable reserves of 700 million barrels. Halliburton Energy Services is a business unit of Halliburton (NYSE:HAL).

Halliburton's contract, valued in excess of $50 million, is a five-year contract with four one-year options. Halliburton's onshore engineers have started to prepare for the first installations on Grane, scheduled to commence during the latter part of 2003.

"The Grane Field requires extensive accuracy and precision to achieve optimum recovery," said Svein Hatlem, Grane Field manager, Norsk Hydro. "We regard this award as a continuation of the cooperation we already have with Halliburton regarding the utilization of multilateral well technology used on the Troll Field. This experience will be extremely valuable and can to a large extent be transferred to the Grane Field."

The continued success of Halliburton's multilateral technology, with the completion of 20 TAML (Technology Advancement for Multilaterals) level 5 ITBS(TM) isolated tie-back system installations, has been an important factor for increasing recovery oil reserves in Norsk Hydro's Troll Olje Field. As part of the Grane contract, Halliburton's multilateral technology is being considered for 16 of the 35 wells planned for the development to increase the reservoir exposure and to isolate the junction from sand production in the Grane Field. The ITBS system is designed for use in new subsea and platform wells and offers the primary benefit of not requiring cementing operations to achieve hydraulic integrity at the junction. The ITBS system is considered to be a minimal-trip system with a low operational risk.

"We are proud to see that Hydro has chosen our technology for development of the Grane Field. The decision should provide maximum reservoir deliverability through improved reservoir drainage, helping Norsk Hydro optimize the recovery rate," says Jorunn Saetre, country vice president of Halliburton AS, Norway.

Halliburton will be the primary completion company and will provide key technologies that will play a major role in the efficient development of Grane Field. The completions will include the highly reliable SP(TM) subsurface and AV3 annular safety valves, the HP1 extreme service production packer with Anvil(R) disappearing plug system, and a new, innovative screen hanger system, in addition to numerous intervention products and services for well maintenance over the life of the field.

John Horgan, division vice president, Completion Products and Services, Halliburton Energy Services, said, "Halliburton's differentiating technology and operational performance will be key enablers for success at Grane, and we are extremely pleased to have been selected by Norsk Hydro for delivering these technologies. It will be a pleasure to continue and enhance our relationship with Norsk Hydro during this long-term development project."

Halliburton AS is part of the Halliburton Energy Services Group. Halliburton has been present in Norway since the first exploration well was drilled in the Norwegian sector and is the leading service company in the Norwegian market.

Halliburton, founded in 1919, is one of the world's largest providers of products and services to the petroleum and energy industries. The company serves its customers with a broad range of products and services through its Energy Services Group and Engineering and Construction Group business segments. The company's World Wide Web site can be accessed at www.halliburton.com.