McDermott closes deal for new construction contracts in Malaysia

McDermott International, Inc, a US engineering and construction firm announces its two new contracts with the Pan Malaysia field development off the shore of Sarawak, Malaysia. The firm will transport and install offshore structures and pipelines for Sarawak Shell Berhad (SSB) and Sapura Exploration and Production (SEP).

Read: McDermott sees Malaysia as a strategic hub; eyes US$5 billion in bids

Ian Prescott, McDermott’s Senior Vice President for Asia Pacific said that the contracts would strengthen the firm’s relationship with Sarawak Shell Berhad and build a new one with Sapura Exploration and Production.

. “They also provide an excellent opportunity for McDermott to execute offshore projects in Malaysia using many of the company’s assets, from our highly-skilled and talented workforce to our marine assets and our global fabrication expertise,” Prescott said.

McDermott will transport jackets, topsides and pipelines using the Malaysian-registered Derrick Barge 30 for the Gorek gas field of SSB and the Larak and Bakong gas fields of SEP. Its installation will be under the project management team based in Kuala Lumpur. On the other hand, the firm will also fabricate risers and spools from its execution center in Batam, Indonesia for both Malaysian companies.

Since the relocation of the regional headquarters of the firm to Kuala Lumpur, the contracts mark the first projects of McDermott in Malaysia. It boosts the workforce from 90 to almost 700 local employees.

Prescott commented that the firm grows significantly in a short time. “Our Kuala Lumpur office is one of the company’s centers of excellence supporting our global projects. This gives our local employees excellent development and growth opportunities. We are extremely pleased to secure the Pan Malaysia field development work which enables us to support the growth of the Malaysian oil and gas sector and the country,” he said.