Marubeni Sumitomo Consortium Awards Bredero Shaw $50 Million Coating Services Contract for South Stream Offshore Pipeline

ShawCor Ltd. today announced its pipe coating division, Bredero Shaw, has received a contract with a value of approximately US$50 million from Marubeni Sumitomo Consortium for coating services for Line 2 of the South Stream Offshore Pipeline.

The South Stream Offshore Pipeline system is comprised of 4 pipelines that will cross the Black Sea and transport gas from Russia to Bulgaria and on to Central and Southern Europe. The contract will be executed at a pipe coating facility in Bredero Shaw's EMAR region.

This contract involves coating approximately 342km of 32" pipe with 3-Layer Polypropylene and internal flow coating. Coating is expected to commence in the third quarter of 2014 and be completed in 2015.

ShawCor Ltd is an energy services company specializing in products and services for the pipeline and pipe services and the petrochemical and industrial segments of the oil and gas industry. The Company operates through eight divisions with over seventy-five manufacturing and service facilities located around the world.

Bredero Shaw, ShawCor's largest division, is the global leader in pipe coating solutions and employs over 4,000 permanent and contract personnel located at offices and facilities in fifteen countries. The division provides specialized coating systems and related services for corrosion protection, insulation and weight coating applications on land and marine pipelines including highly engineered corrosion and insulation systems for deepwater applications.

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