MDR McDermott International Inc

McDermott International, Inc. (NYSE:MDR) announced today that its subsidiary, Babcock & Wilcox Power Generation Group, Inc. (�B&W�), has been awarded a contract valued at more than $150 million to design and supply four wet flue gas desulfurization (�WFGD�) units for three Maryland coal-fired power plants owned and operated by Mirant Mid Atlantic LLC. The value of this award is included in McDermott�s backlog at December 31, 2007. The contract was awarded by The Shaw Group Inc. (NYSE:SGR), which Mirant contracted with to retrofit emissions control equipment at the three Mirant plants. B&W will provide the WFGD absorbers � more commonly called scrubbers � as well as absorber auxiliaries including agitators, absorber recirculation pumps and valves, oxidation air blowers and limestone preparation systems for the two units at Mirant�s 1,400-megawatt (�MW�) Morgantown Generating Station, a 683 MW unit at its Chalk Point Generating Station and a 546 MW unit at the Dickerson Generating Station. These Mirant stations supply power to the greater metropolitan Washington, D.C. area. Material shipment is scheduled to begin in the spring 2008, with commissioning planned to start toward the end of 2009. �This award demonstrates B&W�s continued leadership role in the environmental systems market,� said Brandon Bethards, President and Chief Operating Officer of B&W Power Generation Group. �We appreciate our customer�s confidence in our project management and engineering capabilities and in our ability to meet tight deadlines while providing an outstanding product.� �We are pleased to have an industry leader like B&W working beside us on this important air-quality project,� said Monty Glover, president of the Fossil division in Shaw�s Power Group. �Coal-fired generation represents a significant part of our nation�s energy portfolio, and clean-air projects like this will enable coal to continue to meet the growing need for electricity.� The Shaw Group, headquartered in Baton Rouge, La., is a global provider of technology, engineering, procurement, construction, maintenance, fabrication, manufacturing, consulting, remediation, and facilities management services for government and private sector clients in the energy, chemical, environmental, infrastructure and emergency response markets. Mirant is a competitive energy company that produces and sells electricity in the United States. The company owns or leases approximately 10,300 MW of electric generating capacity and operates an asset management and energy marketing organization from its headquarters in Atlanta. McDermott is an engineering and construction company, with specialty manufacturing and service capabilities, focused on energy infrastructure. McDermott�s customers are predominantly utilities and other power generators, major and national oil companies, and the United States Government. With its global operations, McDermott operates in over 20 countries with more than 20,000 employees, and can be found on the internet at www.mcdermott.com. In accordance with the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995, McDermott International, Inc. cautions that statements in this press release which are forward-looking and provide other than historical information involve risks and uncertainties that may impact McDermott�s actual results of operations. The forward-looking statements in this press release include, among other things, the value, work scope and timing associated with the Mirant contract. Although McDermott�s management believes that the expectations reflected in those forward-looking statements are reasonable, McDermott can give no assurance that those expectations will prove to have been correct. Those statements are made based on various underlying assumptions and are subject to numerous uncertainties and risks, including without limitation currency exchange rates, potential change orders and other modifications to contracts. 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 risk factors, please see McDermott�s annual report on Form 10-K for the year ended December 31, 2006 filed with the Securities and Exchange Commission.