MDR McDermott International Inc

McDermott International, Inc. (NYSE:MDR) (�McDermott�) announced today that its subsidiary, J. Ray McDermott, S.A. (�J. Ray�), has been awarded an engineering, procurement, construction, and installation (�EPCI�) contract by BG Trinidad & Tobago for the Poinsettia project located off the northern coast of Trinidad in 530 feet of water. The award is to a consortium between J. Ray and Fluor Daniel South America Limited, a subsidiary of Fluor Corporation (NYSE:FLR). J. Ray will procure, design and fabricate a 9,100 short ton jacket and 4,600 short tons of piles. Design work will be completed at J. Ray�s engineering office in Houston, with construction at J. Ray�s fabrication facility in Morgan City, Louisiana. Fluor Daniel will lead the consortium and perform overall project management, as well as the design and fabrication of 4,000 short ton topsides using Trinidad based fabrication services of TOFCO, a joint venture of Louisiana-based Chet Morrison Contractors and Trinidad-based Weldfab Limited. J. Ray will be responsible for the transportation and installation of all the platform components including the jacket, piles and topsides. Fluor / TOFCO will perform the final platform commissioning through to mechanical completion. �Our extensive experience with EPCI projects and ability to align our resources with BG Trinidad and Tobago, Fluor and TOFCO to deliver this fast track project, are the main reasons we were successful in winning the contract,� said Bob Deason, Chief Executive Officer of J. Ray. �Each company played a key role in contributing to an effective model to deliver this project in 24 months and Poinsettia is a welcome addition to our growing backlog in Louisiana.� Construction has already begun at J. Ray�s Morgan City fabrication facility, with transportation and installation scheduled for the second quarter of 2008 and a targeted completion date to follow in the fourth quarter of next year. A portion of this project was recorded in J. Ray�s first quarter 2007 backlog, with the majority of the Poinsettia award to be recognized in J. Ray�s backlog during the second quarter 2007. Fluor (NYSE:FLR) provides services on a global basis in the fields of engineering, procurement, construction, operations, maintenance and project management. Headquartered in Dallas, Texas, Fluor is a FORTUNE 500 company with revenues of nearly $14 billion in 2006. As part of its global execution network, the company has an active full-service office in Trinidad. For more information, visit www.fluor.com. McDermott is an engineering and construction company, with specialty manufacturing and service capabilities, focused on energy infrastructure. McDermott�s customers are predominantly utilities and other power generators, major and national oil companies, and the United States Government. With its global operations, McDermott operates in over 20 countries with more than 20,000 employees, and can be found on the internet at www.mcdermott.com. In accordance with the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995, McDermott International, Inc. cautions that statements in this press release which are forward-looking and provide other than historical information, involve risks and uncertainties that may impact McDermott�s actual results of operations. The forward-looking statements in this press release include, among other things, the work scope and timing of the Poinsettia project. Although McDermott�s management believes that the expectations reflected in those forward-looking statements are reasonable, McDermott 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 uncertainties and risks. 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 risk factors, please see McDermott�s annual report on Form 10-K for the year ended December 31, 2006 filed with the Securities and Exchange Commission.