Oceaneering To Provide Offshore Unit

Oceaneering International has been awarded a contract to provide a mobile offshore production unit (MOPU) for development of the Legendre North and South oil fields in WA-1-P on the Northwest Shelf of Western Australia. Participating companies in Legendre fields are Woodside Energy, Apache Northwest and Santos Limited, with Oceaneering converting its jackup Marine 7 to serve as the Legendre MOPU. The contract is a dayrate services agreement with a primary term of three years. With production predicted to commence by mid-2001, Oceaneering expects to accumulate incremental earnings of $.30 per share annually during this primary contract term. The company plans to fund the estimated capital cost of $80 million through cash flow from operations and its existing revolving credit facility.