BOC Enters New Helium Agreement with the Polish Oil and Gas Company.

Business Editors

MURRAY HILL, N.J.--(BUSINESS WIRE)--Aug. 20, 2003

BOC and KRIO, a division of the Polish Oil and Gas Company, have entered into a new, multi-year helium supply agreement. The value of the agreement over the contract life could approach US$40 million.

Under the agreement, BOC will purchase all of KRIO's helium production except for the helium KRIO will continue to sell domestically. BOC will export all of the helium purchased under the new agreement for resale in European markets.

KRIO produces liquid helium as a by-product of natural gas processing at a facility located in Odolanow, Poland. The facility also produces high purity methane, liquefied natural gas, natural gas liquids and nitrogen for Polish markets. The Odolanow Plant is one of only twelve liquid helium plants in the world and one of only two located in Europe. BOC has been KRIO's only customer for bulk liquid helium since the original agreement was signed in 1972.

"KRIO is a key component of BOC's helium supply portfolio," said Bob Lein, BOC's director, helium sourcing and supply, "and we are very pleased that we were able to extend our relationship with them despite the strong competition that exists for current supply."

Jan Rudnicki, KRIO's managing director, added that "KRIO has enjoyed an excellent long term partnership with BOC and we look forward to continuing it in the future."

BOC supplies helium through a global distribution network that includes 47 transfill facilities and is one of the world's leading suppliers of helium to diverse markets including magnetic resonance imaging (MRI), optical fiber production, welding and semiconductor manufacturing. BOC has also developed industry-leading helium recycling capability.

The Warsaw based Polish Oil and Gas Company (POGC), the Polish national gas company, has been a stock company owned by the State Treasury since 1996. POGC deals with both upstream activity - consisting of the exploration for and development of natural gas and crude oil fields, and downstream activity, including the production, processing, transmission and distribution of gas fuels to consumers, as well as providing for natural gas imports. POGC holds 100 percent of the shares in six distribution companies and upstream subsidiaries.

BOC's Polish affiliate, BOC Gazy, was established in 1993. Since then, BOC has invested $250 million in Poland. With 800 employees and turnover of more than $90 million, BOC Gazy has become the largest industrial and medical gases company in the Poland, serving over 20,000 customers in all type of industries.

The BOC Group (NYSE:BOX), the worldwide industrial gases, vacuum technologies and distribution services company, serves two million customers in more than 50 countries. It employs 46,000 people and had annual sales of some $6 billion in 2002. Further information about The BOC Group may be obtained on the Internet at http://www.boc.com.