McDermott International Inc’s J Ray McDermott SA unit received a contract to provide engineering, procurement construction and installation services for ExxonMobil Middle East Gas Marketing Ltd.
The Houston energy services company said construction will begin by May 2007 at J Ray’s Jebel Ali yard, with installation of the two wellhead platforms scheduled for completion in 2009. Contracts of this type are typically valued at more than $300 million, the company said.
Under the contract, J Ray will provide services for two remote unmanned wellhead platforms and pipelines as part of the Al Khaleej Gas development phase II offshore expansion project in Qatar, the company said.
McDermott said it will also perform the same services for two intra-field pipelines that will connect the platforms with two 38-inch, wet-gas export trunk lines.
The remote wellheads will be connected to the existing RasGas Alpha Complex by two separate composite power and fibre optic subsea communication cables, the company said.
McDermott had 2005 revenue of $1.86 billion.
McDermott International also announced that a subsidiary of J Ray McDermott was recently awarded a contract by Shell Qatar GTL Limited to engineer, construct, transport, install hook-up and pre-commission two wellhead platforms in Qatar’s North Field, for the Pearl gas-to-liquids project.
Bob Deason, president and chief operating officer of J Ray, said, “‘Pearl GTL is a world class project of strategic importance to both Shell and to Qatar.
“We are pleased to continue our involvement in the country’s offshore field development programme and in particular with the prestigious Pearl project.”
FEED verification and detailed design engineering on the topsides has already begun at J Ray’s Jebel Ali engineering office.
Each platform, Pearl 1 and Pearl 2, weighs an average of 3,600 tonnes.
“J Ray has a long history working offshore Qatar, and our project team will bring significant experience to bear on this field development, to the benefit of the Pearl GTL project,”added Deason.
McDermott International 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 US Department of Energy.
J Ray McDermott has also been awarded two new contracts to provide installation services as part of field development activities of India’s Oil and Natural Gas Corporation Limited (ONGC).
The first contract, awarded by Samsung Heavy Industries Company Limited (SHI), is for the installation of an eight-leg 3,516MT jacket, with 16 skirt piles, four 72” diameter main piles, pipeline spools, two bridges, six decks and modules weighing around 1,100MT each.
This project is part of ONGC’s Vasai East Development expansion of the Bassein East oil field situated east of the existing South Bassein gas field, 80km north-west of Mumbai.
Projects of this type are typically valued at over $35 million. Installation will be carried out in the last quarter of 2007, by one of J Ray’s derrick barges.
The second contract, awarded by Larsen & Toubro Limited involves installation of four wellhead platforms, three connecting bridges, and two subsea pipelines in the Mumbai High and Bassein fields for ONGC’s MH-B and S-4 Wellhead Platform project. Contracts of this type are typically valued at over $45 million.
“J Ray has performed several major projects for ONGC in the Mumbai High field and these awards are a testament to our customers’ confidence in our capabilities,” said Ed Gedeon, general manager Middle East and India projects.
The four wellhead platforms will be installed in an average water depth of 60m. Three of these platforms, NEA, NHA and N2A, will be installed in the Mumbai High field, and the fourth platform, BF, will be located in the Bassein field. All jackets consist of 64” and 66” diameter main piles.
J Ray will also install three bridges to connect the existing platforms to the new well heads. Structural installation will begin before the end of the year, and J Ray’s in-house engineering department will handle the construction engineering.
Two pipelines of 6” and 16” (CRA clad pipeline) diameter totaling over 8km in length will also be installed.
The entire project is due for completion by the end of the first quarter of 2007.

