Global Industries, Ltd. (Nasdaq: GLBL) announced today that its wholly owned subsidiary Global Industries Asia Pacific Pte. Ltd. has signed a contract with Japan Vietnam Petroleum Limited (JVPC), to install pipelines for The Rang Dong and Phoung Dong Field Development Projects, located approximately 135 km (84 miles) southeast of Vung Tao, Socialist Republic of Vietnam.
The Rang Dong and Phoung Dong Field Development Projects, valued at approximately US$17 million, includes project planning, transportation and installation of four pipelines, 6" to 12" diameter with total length of 37.8 km (23.5 miles). The offshore installation is scheduled for the second quarter of 2008.
In addition, GIL Mauritius Holdings Ltd. will be providing Saipem underwater saturation diving services to support the repair of PTTEP's 42" gas transmission trunk line in the Gulf of Thailand. The project which starts shortly is valued at approximately $10 million.
B.K. Chin, Global's Chairman and Chief Executive Officer, stated: "We value the confidence that Japan Vietnam Petroleum Limited has shown in Global by awarding us this important installation project. In addition, the repair of PTTEP's 42" pipeline is a significant step towards our strategy to grow our underwater and diving services to third parties. As this area of the world increases its oil and gas production, the need for quality solutions for moving the end product to shore continues to grow. With more than 70% of Global's revenues coming from outside the US market, we are increasing our presence in this very important market, and these partnerships are an important milestone toward that end."