J. Ray McDermott Wins Pipeline Contract

J. Ray McDermott has been awarded a contract by Vietsovpetro to install a 298 kilometer, 18" gas pipeline. J. Ray will perform the project in alliance with Petroleum Technical Services Company ("PTSC"). Contracts of this type are typically valued at over US$60 million, which is part of the overall Ca Mau development project by PetroVietnam.

The PM3-Ca Mau gas pipeline will originate from the Bunga Raya 'B' platform, located on block PM3 in the Commercial Arrangement Area of the Gulf of Thailand, to the landfall station in the Ca Mau province of Vietnam.

"The project represents one of the largest pipeline installation jobs undertaken in Asia Pacific in recent years, and provides us a great opportunity to leverage the strengths of our offshore capabilities," said Bob Deason, President and Chief Operating Officer of J. Ray. "J. Ray has worked with Vietsovpetro on several projects in the past and our successful track record of joint operations with PTSC will definitely be an advantage in ensuring this project is a success."

The contract is part of the Gas Power Fertilizer Coordination Project operated by PetroVietnam. As part of the project, J. Ray will perform construction engineering, partial procurement, and pipeline installation, including installation of a riser using its Asia Pacific based marine vessels.

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