McDermott is said to hire restructuring firm for turnaround advice

McDermott International hired restructuring firm AlixPartners for strategic and operational advice. World’s largest catalytic dehydrogenation unit, located at Hengli Petrochemical (Dalian) Refinery Co., Ltd.’s site in Liaoning Province, China. It includes fabrication engineering, procurement, construction and pre-commissioning scope for three modules. The company seeks to shore up its balance sheet, according to a person with knowledge of the matter. FEED scope includes development of a PDH plant to be constructed in U.S. Gulf Coast.

McDermott to provide EPCI of Wellhead Production Deck module. The awards follow the completion of a front-end engineering and design (FEED) competition. The award includes technology license, basic engineering, proprietary equipment, training and technical services. The Houston-based company’s stock plunged as much as 76% Wednesday. McDermott President and CEO speaks on positive impact Bedfont Lakes relocation will have for company, clients. The award represents the single largest EPCI offshore contract awarded by Saudi Aramco.

McDermott’s Senior Vice President Asia Pacific, Ian Prescott says “This award recognizes QMW’s experience and excellent performance in the Arctic on an earlier Yamal LNG project”.

The trading was halted for volatility at least five times while its bonds dropped more than 30 cents to 37 cents on the dollar. Company announced the recent successful startup of the world’s largest catalytic dehydrogenation plant. McDermott International, Inc announced that its joint venture Qingdao McDermott Wuchuan Offshore Engineering Co. Ltd. The company said in a statement it “routinely hires external advisors to evaluate opportunities”. The award will be reflected in McDermott’s third quarter 2019 backlog.

Subsea production systems (SPS) solutions for an expansion of the existing subsea facilities. Unit will use INDMAX Technology for FCC, licensed by Lummus Technology for refinery/petrochemicals integration. A company spokeswoman didn’t return messages seeking comment. Heat Generating Material (HGM) are Lummus Technology’s catalyst partner. The Wall Street Journal previously reported the hiring of AlixPartners. Project includes EPCI of a gas-oil separation platform, compression and accommodation facilities.

McDermott has struggled since the 2014-2016 oil-market collapse saw new orders dry up and a squeeze on cash flow. McDermott leads consortium with China Offshore Oil Engineering Company. Its challenges grew with the 2018 acquisition of Chicago Bridge & Iron Co. Development of the facility will support future growth of propylene in the U.S. Debt burden that’s ballooned to about $4.3 billion, 14 times McDermott’s market value. Offshore installation of the URF and SPS equipment will commence in 2020 and be completed in 2023.

McDermott International, Inc announced that it has been awarded a sizeable* technology contract. Expanded Subsea Center of Excellence office opened following BP’s award of the Greater Tortue Ahmeyim Natural Gas Project. Even after the worst of the crude-market collapse receded, the recovery has been too tepid to rejuvenate companies that design. The FCC unit is part of a refinery expansion project for IOCL to grow into petrochemicals at the complex in Panipat. It build and provide crews for oil installations and LNG projects.

The scope includes the fabrication of three Pre-Assembled Unit Complex Process Modules. McDermott selected due to its strength in engineering and extensive knowledge in executing fluid catalytic cracking (FCC) projects. The award is confirmation that the McDermott execution model call the One McDermott Way gives clients confidence. Company announced that the companies were awarded contracts to provide a joint URF. The INDMAX Technology combines the proprietary and innovative INDMAX catalyst. McDermott’s malaise has been particularly acute because it absorbed a slate of Chicago Bridge projects.

Engineering of the project will be performed in Saudi Arabia and fabrication will take place at McDermott’s Jebel Ali yard. The award includes a joint URF and SPS EPCI solution, comprising a new subsea well gathering system (GS4). IOCL has been an important partner for many years and company look forward to the continued relationship. It have been stung by costly labor shortages, construction delays and writedowns. Company relocated 260 employees to a new office that strengthens McDermott’s subsea offering.

The worst crude crash in a generation has taken a toll on the hired hands of the global energy industry. IOCL currently operates INDMAX units at their Paradip and Guwahati refineries. McDermott President and CEO speaks on positive impact Bedfont Lakes relocation will have for company, clients. COOEC in an integrated execution model utilizing McDermott’s extensive global assets. Weatherford was among the biggest to file for bankruptcy protection when it did so in July. McDermott defines a large contract as between USD $50 million and USD $250 million.

Tareq Kawash, McDermott’s Senior Vice President says “The relocation of our subsea office positions us well for the successful execution”.

Oilfield contractors in North America especially have been hurt by subdued spending by their exploration customers. McDermott is a premier, fully integrated provider of technology, engineering and construction solutions. McDermott has experienced substantial cost overages on LNG and power projects they inherited through the acquisition. McDermott’s Lummus Technology is a leading licensor of proprietary petrochemicals, refining, gasification. McDermott has seen highs and lows during oil-market bust. The award represents the single largest EPCI offshore contract awarded by Aramco. The company has also brought Evercore Inc. on board to help evaluate strategic options.

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