U.S.-Saudi Business Opportunities ForumU.S.-Saudi Business Opportunities Forum

April 29, 2010 • Chicago, Illinois, USA

Peter OosterveerFluor Group PresidentEnergy & Chemicals

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A leading Engineering, Procurement, Construction, and Maintenance firm 36,000 employees operating in 66 countries Revenues of $22 billion in 2009

Fluor’s Diversified IndustriesFluor’s Diversified Industries

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Fluor’s Energy & Chemicals GroupThree Business LinesFluor’s Energy & Chemicals GroupThree Business Lines

Oil & Gas Upstream, Downstream, and Chemicals Markets 2009 Revenues of $11.9 billion 11,500 Home Office employees in 25 offices

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Fluor Activities in the Middle EastDuring the Last 5 YearsFluor Activities in the Middle EastDuring the Last 5 Years

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Fluor Arabia Overview and HistoryFluor Arabia Overview and History

Fluor has worked in Saudi Arabia since 1947 and now operates as Fluor Arabia Limited, a 50/50 partnership between Fluor and E.A. Juffali & Brothers.

Fluor’s head office is our wholly-owned building in Al-Khobar built in 1978.

Fluor provides project/program management, front-end engineering and detailed engineering services.

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OpportunitiesOpportunities

Massive capital spending will create demand for every type of goods and service

Saudi Aramco Capital Program over next 5 years: US$50 billion

Petrochemicals: SABIC alone will double current production to 100 million tpy by 2020. Additional growth by Tasnee and Sipchem.

Power: Additional 12,000MW through 2015

Many large infrastructure programs (new cities, universities, rail/road networks)

Mining/Aluminium: large investments by Maaden

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Why Saudi Arabia? Why Saudi Arabia?

Saudi Arabia is ranked 13th out of 181 for ease of doing business (IFC/World Bank)

Government Incentives for investment (PIF/ SIDF)

Large and growing domestic market

World-class infrastructure: Power, Highways, Ports, Airports, IT

Very low-cost energy and labor Strong banking sector Low corporate and no personal

taxes

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Business EnvironmentBusiness Environment

Private sector companies in Saudi Arabia (including government companies like Saudi Aramco) highly professional – similar to working with most US or European companies

Structure of Government entities, like anywhere, are more complicated

5 year business visa makes visiting Saudi Arabia easy and Saudi clients can obtain a 5 year business visa to the United States

Family friendly environment: US Embassy/companies again allowing families; good schools available

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Recommendations for American Companies Entering the Saudi MarketRecommendations for American Companies Entering the Saudi Market

SAGIA offers a one stop-shop for new entrants to the Saudi market

US Commercial Service at the Embassy

Although not required, a local partner can be helpful in understanding the market and culture

Increased need for hiring Saudis – training and understanding of local labor laws are key

Consider investing in industries that are part of the Clusters Program

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ConclusionConclusion

If you haven’t been to Saudi Arabia – GO!

Saudi Arabia is a dynamic and growing country with unlimited opportunities

Don’t miss it