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McDermott Caspian Contractors, Inc. announces results of compliance audit

Oil&Gas Materials 30 May 2006 15:52 (UTC +04:00)

McDermott Caspian Contractors, Inc. (McDermott), a subsidiary of J. Ray McDermott, S. A., announced results of the recent compliance audit of the company marine construction activities for the Shah Deniz gas and condensate development project. The quarterly audit was conducted by independent environmental consultancy URS Corporation Ltd. and was commissioned by BP, the operator of the project on behalf of the Shah Deniz partnership.

According to the audits results, McDermott as a project contractor is now fully compliant with the highest environmental standards reflected in Contractors Control and Implementation Plans that outline a comprehensive scope of World Bank environmental management requirements. The company has achieved a remarkable 100% compliance score in all areas including Pipeline Installation; Waste Management; Spill Preparedness and Response; Transport Management; Recruitment, Employment and Training; Procurement and Supply Chain Management; and Communicable Disease Prevention.

The companys environmental achievements were also acknowledged during a Cross-Project Audit conducted by Briggs Marine for the Azerbaijan International Operating Company (AIOC) operated by BP. In December 2005, McDermotts marine base was recognized as the best practice site amongst all AIOCs contractors for the Azeri-Chirag-Gunashli (ACG) project in terms of chemical management and spill preparedness.

McDermott Caspian Contractors, Inc. (McDermott) is the Caspian operating entity, and wholly owned subsidiary, of J. Ray McDermott, S.A. The company provides products, services and creative solutions to the offshore oil and gas industry. These services include, but are not limited to, engineering, procurement, fabrication, construction and project management, offshore pipelay and marine construction.

In Azerbaijan, McDermott performs topsides fabrication and subsea pipelines installation projects for Azerbaijan International Operating Company (AIOC), a consortium formed in 1994 and currently operated by BP. Under contracts to AIOC, the company is fabricating integrated decks and installing subsea pipelines for Phase 1, Phase 2 and Phase 3 development of AIOCs Azeri, Chirag and deepwater portion of the Gunashli fields (ACG) in the Azerbaijan sector of the Caspian Sea. Under pipeline installation contracts to AIOC for the ACG development, McDermott also significantly upgraded and modernized the pipelay barge Israfil Huseynov (PLBG) and the diving support vessel Tofik Ismaylov (DSV) free-issued to McDermott by AIOC through their Charter Party Agreement with State Oil Company of the Azerbaijan Republic (SOCAR).

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