By OGJ editors
HOUSTON, Jan. 27 -- US Sec. of Energy Spencer Abraham announced that the current contractor for the Strategic Petroleum Reserve (SPR), DynMcDermott Petroleum Operations Co. of New Orleans, will be granted a new 5-year contract, effective Apr. 1.
DynMcDermott will receive $120 million/year to maintain the readiness of the SPR's four crude oil storage facilities in Louisiana and Texas. The new contract includes a provision for a 5-year extension.
The contractor was responsible for increasing the SPR to 599 million bbl, a record level, Abraham said. DynMcDermott became the operating contractor in 1993.
DynMcDermott is owned by DynCorp, Reston, Va.; Jacobs Engineering, Pasadena, Calif., and McDermott International Inc. and International-Matex Tank Terminals, both of New Orleans.
