Global Industries Wins Pemex Pipeline Contract

Global Industries' subsidiary, Global Offshore Mexico S. de R.L. de C.V., has received a letter of intent from PEMEX Exploration & Production to install approximately 53 kilometers (32 miles)of 36-inch diameter pipeline in the Bay of Campeche's Cantarell Field from Pol-A to Ixtal and then to PR-1. The approximate value of this contract is $100 million and the oil pipeline will be installed using the Hercules' automatic welding system.

William J. Dore, Chairman and CEO, stated, "Global has been committed to establishing its credibility with PEMEX since entering the Mexico market in 1997. It is gratifying to our operation and its regional staff to once again receive a vote of confidence from the PEMEX organization. The award of the 36" pipeline assures us continued work in the area as it follows the project previously awarded and currently underway."

PEMEX has contracted Global Industries to install 29 kilometers of 24-inch pipeline from Enlace to Uech A in the Gulf of Mexico's Bay of Campeche. Specifically, the project calls for the installation of the 29-kilometer 24-inch pipeline, three risers, three expansion loops, and the subsea tie-in. Global will also perform trenching, five crossings, as well as hydrotesting of the pipeline and topside work. The Titan 2, Shawnee, Ingeniero I, and Ingeniero II will execute the project. Global will then install a 12.5-kilometer 8-inch pipeline later this spring. These two projects represent a mere 7% of the 600 kilometers of pipelines PEMEX has scheduled for bid or construction in 2004 and 2005.