HOUSTON, Oct. 22, 2019 /PRNewswire/ -- McDermott International, Inc. (NYSE: MDR) announced it has been awarded a large* contract by Saudi Aramco and Total Raffinage Chimie (Total) to provide licenses, basic engineering package, extended basic engineering, training, technical services and supply of proprietary equipment for what will be one of the world's largest mixed feed crackers.
As part of the contract, McDermott's Lummus Technology will provide licensing and engineering services for its olefins technology, low pressure recovery (refinery off-gas recovery and treating), pygas hydrotreating, CDMtbe® Methyl Tertiary Butyl Ether (MTBE) (production technology using catalytic distillation), CDIB® (back cracking of MTBE to produce high purity isobutylene and methanol) and the BASF NMP (N-methylpyrrolidone-based butadiene extraction process). In addition, Lummus will provide its proprietary Short Residence Time (SRT®) heaters.
"Lummus has a reputation for innovation and reliability in the market and this award strengthens our industry-leading ethylene position by taking on the role of master licensor for multiple licensed units," said Leon de Bruyn, Senior Vice President, Technology. "The award is also a testament of our long-standing relationship with Aramco and Total and our commitment to the Kingdom of Saudi Arabia."
Linh Austin, Senior Vice President, Middle East and North Africa, added that the award further demonstrates McDermott's ability to support the Kingdom's stated objective of increasing petrochemical production.
"This award sets the foundation for Saudi Aramco and Total to deliver a world-scale integrated refinery and petrochemicals complex," Austin said.
McDermott's Lummus Technology is a leading licensor of proprietary petrochemicals, refining, gasification and gas processing technologies, and a supplier of proprietary catalysts and related engineering. With a heritage spanning more than 100 years, encompassing approximately 3,400 patents and patent applications, Lummus Technology provides one of the industry's most diversified technology portfolios to the hydrocarbon processing sector.
The award will be reflected in McDermott's third quarter 2019 backlog.
* McDermott defines a large contract as between USD $50 million and USD $250 million.
About McDermottMcDermott is a premier, fully integrated provider of technology, engineering and construction solutions to the energy industry. For more than a century, customers have trusted McDermott to design and build end-to-end infrastructure and technology solutions to transport and transform oil and gas into the products the world needs today. Our proprietary technologies, integrated expertise and comprehensive solutions deliver certainty, innovation and added value to energy projects around the world. Customers rely on McDermott to deliver certainty to the most complex projects, from concept to commissioning. It is called the "One McDermott Way." Operating in over 54 countries, McDermott's locally focused and globally-integrated resources include approximately 32,000 employees, a diversified fleet of specialty marine construction vessels and fabrication facilities around the world. To learn more, visit www.mcdermott.com.
Forward-Looking StatementsIn accordance with the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995, McDermott cautions that statements in this press release which are forward-looking, and provide other than historical information, involve risks, contingencies and uncertainties that may impact McDermott's actual results of operations. These forward-looking statements include, among other things, statements about backlog, to the extent backlog may be viewed as an indicator of future revenues or profitability, and about the expected value and scope of the award discussed in this press release. Although we believe that the expectations reflected in those forward-looking statements are reasonable, we 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 risks, contingencies and uncertainties, including, among others: adverse changes in the markets in which we operate or credit markets, our inability to successfully execute on contracts in backlog, changes in project design or schedules, the availability of qualified personnel, changes in the terms, scope or timing of contracts, contract cancellations, change orders and other modifications and actions by our customers and other business counterparties, changes in industry norms and adverse outcomes in legal or other dispute resolution proceedings. 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 and other risk factors, please see McDermott's annual and quarterly filings with the Securities and Exchange Commission, including its annual report on Form 10-K for the year ended December 31, 2018 and subsequent quarterly reports on Form 10-Q. This press release reflects management's views as of the date hereof. Except to the extent required by applicable law, McDermott undertakes no obligation to update or revise any forward-looking statement.
Investor Relations Scott Lamb Vice President, Investor Relations +1 832 513 1068 Scott.Lamb@McDermott.com
Global Media RelationsGentry BrannSenior Vice President, Communications, Marketing and Administration+1 281 870 5269 Gentry.Brann@McDermott.com
Lummus Technology Media RelationsChris HukManager, Marketing & Communications, Lummus Technology+ 1 281 588 5675chuk@McDermott.com
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SOURCE McDermott International, Inc.