Russian Pipeline Contract Goes to J. Ray

McDermott International, Inc. announced that a subsidiary of J. Ray McDermott, S.A. ("J. Ray") was recently awarded a sub-sea pipeline installation project by Lukoil-Nizhnevolzhskneft, LLC (Lukoil), a subsidiary of OJSC LUKOIL Oil Company, for the Yuri Korchagin field. The field is located 180 kilometers outside Astrakhan city in the Russian sector of the Caspian Sea.

"For more than 20 years J. Ray has undertaken a number of projects in the Caspian Sea and in Russian waters," said Bob Deason, President and Chief Operating Officer of J. Ray. "The volume of construction work in Russia's oil and gas sector is gathering pace and we are proud to be working with Lukoil on this world-class project."

J. Ray will install a 58 kilometer 12" oil pipeline that will connect the ice-resistant fixed platform No.1 (LSP-1) to a single point mooring south of the Yuri Korchagin field. Under the contract J. Ray will also provide design engineering, procurement, installation and testing of the sub-sea pipeline, with project support from J. Ray's facilities in Azerbaijan and the United Arab Emirates.

McDermott International, Inc. is a leading worldwide energy services company. McDermott subsidiaries provide engineering, construction, installation, procurement, research, manufacturing, environmental systems, project management and facility management services to a variety of customers in the power and energy industries, including the U.S. Department of Energy.

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