Shell Awards Brutus Project to J. Ray McDermott

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June 15, 1999

J. Ray McDermott (NYSE: MDR) has been awarded a contract by Shell Deepwater Development Inc. for the fabrication of the topsides for the Shell Brutus development. The Brutus development, which encompasses two OCS leases in the Green Canyon area, will be installed in a water depth of 2,985 feet at Green Canyon Block 158, 165 miles southwest of New Orleans.

Brutus marks the fifth tension leg platform (TLP) deck that JRM will fabricate for Shell.

Under the contract, JRM will fabricate the five modules which form the deck: process, drilling, power, quarters, and wellbay. The deck modules will be of an open truss frame design with a total structural steel weight of approximately 7,650 tons. The total topside weight is approximately 22,000 tons which includes all process equipment and the drilling rig.

The contract will utilize an estimated 550 of the skilled craftsmen currently employed by JRM's fabrication operations near Morgan City, Louisiana. Work will begin later this month and is scheduled for completion in early 2001.


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