HOUSTON--(BUSINESS WIRE)--McDermott International, Inc. announced today that its joint venture Qingdao McDermott Wuchuan (QMW) has been awarded a module fabrication contract for Yamal LNG, a liquefied natural gas (LNG) plant being built northeast of the Yamal Peninsula in Russia.
The large contract is being performed in the QMW fabrication facility in Qingdao, China and commenced in the second quarter of 2015.
The full scope of work includes fabrication, engineering, procurement, construction including mechanical completion, pre-commissioning, weighing, and load-out. The scope of work also includes the sea-fastening of six units of onshore LNG fractionation pre-assembled unit modules of approximately 13,200 tons. Two of the modules weigh in at approximately 4,630 tons each.
“Our fabrication facility is able to deliver certainty with its unique design, in particular the mega module assembly shop which accommodates fabrication of all the modules indoors, eliminating weather disruptions,” said Leong Eng Chow, General Manager, Qingdao McDermott Wuchuan.
“LNG Process modules involve multiple disciplines including a significant amount of fireproofing, various types of insulation and architectural work. As we continue to develop our client base, the award of this important project demonstrates the confidence that our clients place in our ability to perform large, complex multi-discipline and schedule-critical fabrication projects in our Qingdao fabrication facility,” said Hugh Cuthbertson, Vice Chairman and Director, Qingdao McDermott Wuchuan.
Notes to Editors
ABOUT QINGDAO McDERMOTT WUCHUAN
QMW is a joint venture between a McDermott and state-owned CSIC and offers integrated Engineering, Procurement and Commissioning solutions for the Floating Production Storage and Offloading (“FPSO”) market and fabrication capabilities through an 111-acre fabrication yard located in the Huangdao District in Qingdao (Shandong Province), China. Adjacent to two large shipbuilding and repair yards operated by CSIC, QMW focuses on high quality, cost-competitive FPSO topsides construction and integration, module fabrication and large integrated deck fabrication.
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 clients include national and major energy companies. Operating in more than 20 countries across the world, our locally focused and globally integrated resources include approximately 11,700 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 and is listed on the New York Stock Exchange. As used in this press release, McDermott includes McDermott International, Inc. and its subsidiaries and affiliates. To learn more, please visit our website at www.mcdermott.com
FORWARD-LOOKING STATEMENTS
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 statements about the expected scope and value 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 scope or timing of contracts, contract cancellations, change orders and other modifications, difficulties executing on the project and changes in contracting terms and 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, 2014 and subsequent quarterly reports on Form 10-Q. 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.
