McDermott Awarded EPCI and Commissioning of PEMEX Production Platform
HOUSTON -- January 14, 2013
McDermott International, Inc. (NYSE: MDR) (“McDermott” or the “Company”)
announced today that one of its subsidiaries has received a letter of award
for a turnkey contract for the PB-Litoral-A production platform for PEMEX
Exploracion y Produccion in the Litoral Tabasco Tsimin-Xux fields. The value
is approximately US$230 million and will be included in McDermott's fourth
quarter 2012 backlog.
“This project reaffirms our Altamira, Mexico fabrication facility as a key
player for both domestic and international offshore construction projects,”
said Steven W. Roll, Vice President and General Manager, Atlantic region. “Our
investments in Altamira are beginning to show dividends as we continue to grow
the facility and supporting resources in this strategic location.”
McDermott’s global resources support turnkey engineering, procurement,
construction and installation (“EPCI”) solutions and offer PEMEX the most
competitive solution for the PB-Litoral-A production platform. Coupled with
the Company’s broad experience designing and fabricating crude oil
conditioning facilities, McDermott’s advanced float-over technology for heavy
topsides is a reliable and cost-effective method for topside installation and
the Company’s proven track-record speaks for its consistency to deliver.
The PB-Litoral-A project scope includes front end engineering design, detailed
engineering, procurement, fabrication, load-out, sea fastening, transport,
installation, hook-up, commissioning and start-up of an eight-legged
1,800-tonne jacket, 4,500-tonne topsides and 2,000 tons of tripods, bridges
and piles. The total weight of the facility is approximately 8,300 tonnes.
McDermott will also provide training to PEMEX personnel for operation and
maintenance of the facility once commissioned.
Engineering work is expected to begin in early 2013 by McDermott’s Houston and
Chennai engineering offices, with fabrication at Altamira, Mexico, where at
peak, more than 550 craft personnel are expected to be engaged on the project.
McDermott will carry out installation of the topsides by the float-over method
using its Intermac 600 float-over barge, and the recently upgraded and
improved McDermott Derrick Barge 50 will install key platform components and
provide additional support.
In addition to the PB-Litoral-A scope, McDermott will undertake bridge and
piping tie in, as well brownfield work on the CA-Litoral-A HP compression
Full project completion is expected during the second quarter of 2015.
McDermott is a leading engineering, procurement, construction and installation
group of companies focused on executing complex offshore oil and gas projects
worldwide. Providing fully integrated EPCI services for upstream field
developments, the Company delivers fixed and floating production facilities,
pipelines and subsea systems from concept to commissioning. McDermott’s
customers include national and major energy companies. Operating in more than
20 countries across the Atlantic, Middle East and Asia Pacific,our integrated
resources include approximately 13,500 employees and a diversified fleet of
marine vessels, fabrication facilities and engineering offices. McDermott has
served the energy industry since 1923.
To learn more, please visit McDermott’s website on the internet at
FORWARD LOOKING STATEMENTS
In accordance with the Safe Harbor provisions of the Private Securities
Litigation Reform Act of 1995, McDermott International, Inc. cautions that
statements in this press release which are forward-looking and provide other
than historical information involve risks and uncertainties that may impact
McDermott's actual results of operations. The forward-looking statements in
this press release include, among other things, the expected scope, execution
and timing associated with this project, and the continued growth of
McDermott’s Altamira facility and supporting resources. Although McDermott's
management believes that the expectations reflected in those forward-looking
statements are reasonable, McDermott can give no assurance that those
expectations will prove to have been correct. Those statements are made based
on various underlying assumptions and are subject to numerous uncertainties
and risks, including without limitation, changes in project design or
schedules, contract cancellations, change orders and other modifications, and
difficulties executing on the project. If one or more of these risks
materialize, or if underlying assumptions prove incorrect, actual results may
vary materially from those expected. For a more complete discussion of these
and other risk factors, please see McDermott's annual report on Form 10-K for
the year ended December 31, 2011 and subsequent quarterly reports on Form
10-Q. This news release reflects management's views as of the date hereof.
Except to the extent required by applicable law, McDermott undertakes no
obligation to update or revise any forward-looking statement.
McDermott International, Inc.
Investors, Analysts and Financial Media
Steve Oldham, (1) 281.870.5147
Trade & General Media
Louise Denly, (1) 281.870.5025
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