June 20, 2016 - 10:34 AM EDT
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McDermott Awarded 2017 Campaign under Multi-Year Offshore Installation Contract with Brunei Shell Petroleum

  • Confirmation of client confidence and strong performance in prior years
  • Secures additional work in Asia for key marine asset
  • Award scope contributes to Customer and Country production goals

HOUSTON, June 20, 2016 (GLOBE NEWSWIRE) -- McDermott International, Inc. (NYSE:MDR) announced today it has been awarded further pipeline work for 2017 under a multi-year offshore installation contract with Brunei Shell Petroleum Company Sdn. Bhd. (BSP). The work includes transportation and installation (T&I) of pipelines and umbilicals in the Fairley and Ampa Fields offshore Brunei.

The full scope of work for the 2017 campaign is expected to include T&I for 20 miles of pipelines, with the associated beach and pipeline crossings, tie-ins, riser installation and pre-commissioning of the completed system. The 2017 campaign is part of a three-year work installation contract signed in 2014 and will be included in McDermott’s second quarter 2016 backlog as a Sizeable project.

“Brunei has significant long-term plans to increase investment and production in its energy sector and the successful installation of these new pipelines in the Ampa and Fairley fields is expected to help ensure production continuity of the mature reserves,” said Hugh Cuthbertson, Vice President, Asia. “McDermott’s demonstrated performance during the 2015 campaign built customer confidence critical to winning this award.  Our contribution in developing these facilities plays a vital role in helping Brunei Shell Petroleum meet its production targets and Brunei meet its energy goals.”

The 2017 campaign will see McDermott’s Derrick Barge 30 (DB 30) continue to be deployed for the execution of pipeline work in Brunei. Both the DB 30 and Emerald Sea diving support vessel were deployed for the successful 2015 campaign, which was one of the largest shallow water pipeline campaigns undertaken by McDermott Asia in recent years.

About McDermott
McDermott is a leading provider of integrated engineering, procurement, construction and installation (EPCI) services for upstream field developments worldwide. The Company delivers fixed and floating production facilities, pipelines and subsea systems from concept to commissioning for complex Offshore and Subsea oil and gas projects to help oil companies safely produce and transport hydrocarbons. Our customers include national and major energy companies. Operating in more than 20 countries across the world, our locally focused and globally integrated resources include approximately 11,200 employees, a diversified fleet of specialty marine construction vessels, fabrication facilities and engineering offices. We are renowned for our extensive knowledge and experience, technological advancements, performance records, superior safety and commitment to deliver. McDermott has served the energy industry since 1923.  As used in this press release, McDermott includes McDermott International, Inc. and its subsidiaries and affiliates. To learn more, visit our website at www.mcdermott.com.

Forward-Looking Statement
In accordance with the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995, McDermott cautions that statements in this press release which are forward looking, and provide other than historical information, involve risks, contingencies and uncertainties that may impact McDermott's actual results of operations. These forward-looking statements include, among other things, statements about backlog, to the extent backlog may be viewed as an indicator of future revenues, and the expected scope, execution and timing associated with this project. Although we believe that the expectations reflected in those forward-looking statements are reasonable, we can give no assurance that those expectations will prove to have been correct. Those statements are made by using various underlying assumptions and are subject to numerous risks, contingencies and uncertainties, including, among others: our inability to successfully execute on contracts in backlog, changes in project design or schedules, the availability of qualified personnel, changes in the terms, scope or timing of contracts, contract cancellations, change orders and other modifications and actions by our customers and business partners, difficulties executing on the project and changes in industry norms. 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 and quarterly filings with the Securities and Exchange Commission, including its annual report on Form 10-K for the year ended December 31, 2015. This press 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.
Investor Relations                                                                           
Kathy Murray
Vice President, Treasurer and Investor Relations
+1 281.870.5147
[email protected]

Media Relations
Adam Morgan
Director, Global Communications
+1 281.253.9005
[email protected]

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Source: GlobeNewswire (June 20, 2016 - 10:34 AM EDT)

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