McDermott Awarded FEED Contract from Hydrostor

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Oct 25, 2022, 07:00 ET

HOUSTON, Oct. 25, 2022 /PRNewswire/ -- McDermott International has been awarded a front-end engineering design (FEED) contract from Hydrostor Incorporated for the Silver City Energy Storage project located in Broken Hill, New South Wales, Australia.

Under the contract scope, McDermott will provide the full suite of FEED services for a 200MW advanced compressed air energy storage (A-CAES) facility that can provide up to eight hours of energy discharge at a time.

The award follows the successful completion of pre-FEED services by io consulting, a McDermott joint venture, who will continue to contribute during the FEED phase. McDermott will also leverage its storage business, CB&I, to determine the best thermal liquid storage solution. This approach aligns with Hydrostor's strategy to harness renewable energy and storage technology.

"Our joint offering with io and CB&I establishes a unique position to develop a modularized solution that provides a reliable, clean and long-term energy solution for Broken Hill," said Tareq Kawash, Senior Vice President, Onshore of McDermott. "We look forward to working with Hydrostor to accelerate the transition to renewable energy in support of Australia's goal of decarbonization."

Silver City is being developed using Hydrostor's unique A-CAES technology for energy storage that provides equivalent reliability, scale, duration and operating life as pumped hydro storage. It also offers greater flexibility and reduces water use by up to ten times and land use by twenty times.

Work on the project will be executed by McDermott's teams in The Hague, the Netherlands; Brno, Czech Republic; and Perth, Australia.

About McDermott
McDermott is a premier, fully-integrated provider of engineering and construction solutions to the energy industry. Our customers trust our technology-driven approach engineered to responsibly harness and transform global energy resources into the products the world needs. From concept to commissioning, McDermott's innovative expertise and capabilities advance the next generation of global energy infrastructure—empowering a brighter, more sustainable future for us all. Operating in over 54 countries, McDermott's locally-focused and globally-integrated resources include more than 30,000 employees, a diversified fleet of specialty marine construction vessels and fabrication facilities around the world. To learn more, visit www.mcdermott.com.

Forward-Looking Statements
McDermott cautions that statements in this communication which are forward-looking, and provide other than historical information, involve risks, contingencies and uncertainties. These forward-looking statements include, among other things, statements about the expected scope and execution of the project 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 or capital 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; actions by lenders, other creditors, customers and other business counterparties of McDermott 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. You should not place undue reliance on forward-looking statements. This communication reflects the views of McDermott's management 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.

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SOURCE McDermott International, Ltd