Horizon Offshore Reports Barge Incident

Horizon Offshore said today that one of its vessels, the lay barge Lone Star Horizon, suffered moderate damage due to a fire while at anchor off Ciudad Del Carmen, Mexico. The vessel crew was evacuated and no injuries requiring medical treatment were reported. The Lone Star Horizon had recently completed the KIX pipeline project for PEMEX, and was preparing for demobilization to the U.S. Gulf of Mexico. The fire, which was limited to the generator control room, occurred at about 3:00 p.m. on September 20, 2002, and was extinguished by about 6:00 p.m. Horizon does not anticipate any interruption in its current work program, as it will be able to utilize other vessels in its fleet to substitute for the Lone Star in the short term, with the Lone Star returning to service as soon as repairs are completed.