J. Ray McDermott Awarded Peregrino FPSO Project

Monday, March 31, 2008

J. Ray McDermott, S. A. (J. Ray) announced that its subsidiary J. Ray McDermott Far East Inc., has received a Letter of Award for engineering, procurement and construction of 6,500 tonnes of topside modules for the Peregrino FPSO (floating, production, storage and offloading) by A.P. Moller – Maersk A/S (Maersk Contractors). Projects of this nature are typically valued in excess of US$250 million.


 Engineering and procurement activity have commenced while the fabrication scope is expected to begin in the third quarter 2008. Construction of the 6,500 tonnes of topside modules will commence in the third quarter 2008 at J. Ray’s facility in .  Up to 1,200 Indonesian craftsmen are expected to be employed on this project at J. Ray’s Batam fabrication facility. The Peregrino FPSO project is expected to be complete by the fourth quarter 2009. 

The FPSO will ultimately operate in the Peregrino field, located in the approximately 85 kilometers offshore . Under the development plan, the field is to be designed with the FPSO and two drilling platforms.

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