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    In Aberdeen, Wood Group has openeda new custom-built apprentice school at its Rolls

    Wood Group (RWG*) facility that will provide

    young people with a four-year training programme

    involving on-the-job training, plus mentoring and

    day release courses.

    Nine apprentices have already started

    work at the new premises established by RWG,which is a 50/50 joint venture between Rolls-

    Royce PLC and Wood Group. The company has

    invested in four dedicated fulltime trainers who

    will also be responsible for the new starts plus

    the 13 apprentices already undergoing a four-year

    apprenticeship. By increasing apprenticeship

    opportunities and offering specialised training,

    RWG is focusing on meeting growing industry

    demands for resources.

    *RWG provides maintenance, repair and overhaul serv-

    ices for Rolls-Royce gas turbines used in the global

    power generation, oil & gas, industrial and

    marine markets

    WOODNEWS

    MARCH 2008

    The International Magazine for Wood Group People

    Training capabilities enhanced

    by new apprentice school

    Martyn Morrice mentorsSimon Chalmersat Rolls Wood Group,Aberdeen

    Stuart Birse (left) with Simon Chalmers

    ontents

    einvestingcommunities.

    age 5

    COMMUNITY 5

    HS&E 8

    FEATURE 6

    hildren in Colombiaarn about protectinge environment.age 8

    heck out theebsite makeover.age 6

    or further news and group

    information visit:

    www.woodgroup.com

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    Engineering &ProductionFacilitiesEngineering design, construction

    management and commissioning,

    to brownfield engineering,

    through production enhancement,

    operations management, mainte-

    nance management and

    decommissioning services.

    Well Support

    Well Support offers services,

    products and solutions designed to

    maintain and enhance production

    rates from oil fields and gas

    reservoirs and to control pressure

    at the well.

    Gas TurbineServices

    We are a leading independent

    provider of operations, mainte-

    nance and repair services for

    gas turbines, steam turbines,

    generators, and other high-speed

    rotating equipment, including

    pumps and compressors. We also

    repair gas turbine accessories and

    components and provide fast

    track power plant packages.

    Through our three businesses: Engineering & Production Facilities, Well Support andGas Turbine Services - we provide a range of engineering, production support, maintenancemanagement and industrial gas turbine overhaul and repair services to the oil & gas andpower industries worldwide.

    OODNEWS MARCH 2008

    Welcome to the latest issueWood News. As our interim

    sults in September indicated, we

    e continuing to achieve significant

    siness growth. This success,

    hich is due to the invaluable

    ntribution of our employees,

    eans that we have the opportunity

    support a range of community

    ogrammes. Some examples of

    r latest initiatives can be seen on

    e community page where we

    ghlight what is being done to

    nvest in the future of communi-

    s where we believe we can

    hieve a positive impact.

    Our reinvestment in people can

    so take the form of sharing our

    ills and expertise. On p.4 we

    port on the ways in which we are

    pporting the development of the

    ext generation. We also take the

    pportunity to recognise the skillsour talented engineers, some

    whom are achieving international

    cognition for the quality of their

    novation and for their commitment

    enhancing the development of

    gineering to meet the demands

    today and tomorrow.

    All of these articles are also

    ailable on the website, which has

    cently been upgraded to include

    wider range of information about

    ood Group. Details can be found

    p.6. This is part of a continuous

    provement programme and

    ope that you will also take the op-

    ortunity to give our communication

    ams your feedback by using the

    ood News survey which is

    eing distributed with this issue.

    ister Langlands,

    hief Executive

    DIVISION NEWS

    As the interim results announced in

    September revealed, business progress inthe first six months of this year has been

    robust across our global operations.

    Commenting on the positivenews, Sir Ian Wood and Allister Lang-

    lands said: In the continuing strong oil

    & gas market, we are extending our

    range of products and services, and

    successfully extending our international

    presence. We are growing our market

    position in the improving power industry

    and are increasingly confident we willcontinue our performance improvement

    in this sector. Overall, we expect the

    strong growth to continue.

    Strong resultsdemonstraterobustgrowth...

    Growth is robust across the Group, particularly in Engineering & ProductionFacilities and Gas Turbine Services, and management is confidentof improing results given the strongmacro backdrop for Wood Groups

    services.

    With staff utilisation alreadyhigh, recruitment is key to theGroups continued growth.

    e outlook for Wood Group appears to bestrong. All its businesses are performing aheadof expectations.

    Sir Ian Wood (left) with Allister Langlands

    In the markets - Reviewing the results, financial analysts commented on

    Wood Group and indicated their belief in our positive market positioning

    and outlook:

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    3

    FACTBOX

    New work forShell in theGulf of Mexico

    Shell Offshore Inc. (Shell) has selectedWood Group to commission its Perdido RegionalHost facility. The platform will be installed in the

    Alaminos Canyon area of deepwater Gulf of

    Mexico.

    DSI, part of our Engineering & Production

    Facilities division, is working with construction

    teams in Texas and Finland providing precommis-

    sioning and commissioning activities before

    the integration of the topsides and hull

    offshore. DSI will conduct final functional and

    dynamic testing prior to start-up and first oil.

    This latest project follows other Shell

    contracts including Brutus TLP, Ursa-Crosby

    subsea tieback, Na Kika Semi submersible, MarsWater flood, Bonga FPSO and currently the Ursa-

    Princess Water flood project.

    Sister company contributesto Perdido design

    Alliance Engineering, one

    of Wood Groups engineering

    companies in Houston, was topsides engineering

    contractor responsible for conceptual engineering

    through detailed design, procurement assistance

    and fabrication support for the Perdido platform.

    J P Kenny winscontract for Balearicpipeline project

    Enagas S.A. has appointed J PKenny (JPK) to carry out constructionsupervision services for its Balearicsubmarine pipeline project. This isthe latest stage of JPKs involvementin the gas pipeline project, as it previ-ously carried out a pre-feasibilitystudy plus basic and detailed designengineering for the project, which isstrategically important to the BalearicIslands.

    The project is intended to reducethe current reliance on bottled gas

    and diesel. It comprises the construc-tion of a 20 gas trunkline from theeast coast of Spain to a dual landfallon Ibiza and then on to Mallorca tosupply natural gas to the islands fordomestic and industrial use.

    New Orleans facilitysupports fast trackcapability

    Wood Groups gas turbine servicesbusiness is to supply two SolarSaturn centrifugal compressorpackages to Williams Field Services(Williams) on a fast-track contract

    using its streamlined New Orleanspackaging capabilities. The tworefurbished gas compressionpackages will boost Williams USGulf Coast transmission capacity.

    Supplying wellheadsfor emerging UKCoalbed Methaneindustry

    Our Peterhead-based Well Supportcompany, Wood Group PressureControl Ltd, (WGPC) is supplyingwellhead equipment to several com-panies working in the UK to produceCBM*, including Composite Energy

    which has been undertaking anappraisal and developmentprogramme in Scotland utilising itsown drilling rigs and horizontal drillingexpertise. WGPC has also suppliedwellhead equipment to Nexens DoeGreen project, an onshore coal bednear Liverpool.

    Perdido is a deepwater regional drilling

    and production hub located in the Gulf

    of Mexico. When installed it will be the

    world's deepest spar platform.

    Commissioning proves the integrity of

    operating and safety systems, reducing

    start up risks and preventing cost and

    schedule overruns.

    Customer base expands in

    In Mexico, our Gas Turbine Services (WG GTS) division has won two contracts with

    Vitro, one of the worlds largest producers and distributors of glass products based in

    Monterrey. The contracts, worth approximately $1.2 million combined, were awarded

    to Wood Group Turbine Control Services, Inc who will supply, install and commissionnew control systems for two Rolls-Royce gas turbine-driven generators.

    MEXICO FACTBOX*Coalbed Methane (CBM), the production

    of natural gas from coal, is an emerging

    technology worldwide but in its infancy

    in the UK. With reserves of North Sea

    oil & gas diminishing, methane trapped

    in deep coal seams could potentiallyprovide a long-term source of indige-

    nous UK natural gas.

    a contract for project managing and engineering its Entrada field development, located in water

    depths of approximately 4,600 feet in the Gulf of Mexico. JPK will provide a range of services for

    the field,which will initially be produced as a two-well tie-back

    to the Magnolia platform. JPK is fast-tracking the project to

    meet Callons first quarter 2009 schedule for first oil.

    Subsea work for US Entrada project

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    Mustangs Young Guns programme, now five years old, provides

    entry-level engineers with training and mentoring support to integrate

    them into the Mustang Engineering organisation. It helps new recruits

    accelerate their productivity by providing early opportunities to work on

    projects in the field.

    WOODNEWS MARCH 2008

    The programme prepares Young Gunparticipants for eventual industry leadershippositions. It has grown dramatically, thanks to

    the support and participation of Mustangs senior

    management and discipline leaders. Here are

    some examples of the current projects:

    BP Atlantis, Gulf of MexicoRoss Hancock (left) says, Ive been working on

    this project for four years. It has been an awe-

    some opportunity to work on a project from the

    time it was just on paper to see the platform built

    and almost completed.

    I was also Mustangs eyes and ears while

    on board, reporting back to the structural groupin Houston. As they worked on structural design

    issues, I provided them with information that is

    only available from the field,such as location of

    obstructions etc. I found that everything offshore

    is bigger than I could have imagined - this new

    perspective on size will certainly help me to

    become a better engineer.

    Phoenix Park Gas Processors, TrinidadChrista Joosten (left), instrumentation engineer-

    ing says, I was in Trinidad for around six weeks

    to undertake construction support. We per-

    formed instrument installation inspections, loop

    checks and wiring verifications. Being in the field

    was a great experience; you learn so much over

    a short period of time.

    Western Refining, El Paso, Texas

    Anne Stewart applied her electrical engineeringskills to the Western Refining Facility in El Paso,

    Texas. She explains, My primary role is to

    assist Westerns electrical engineer in the design

    of a new distribution system for the main substa-

    tion. This includes all the engineering for the

    smaller substations required for their new amine,

    hydrogen, ultra-low sulphur diesel and sour acid

    recovery units.

    BP Bruce, North SeaRuss Gray is in Scotland part of the Wood Group

    Engineering Exchange programme. Working on

    the Snow Hood Project for the BP Bruce plat-form, he says, The office is close to the fabrica-

    tion shop so I see the project take shape and can

    discuss various aspects of construction with the

    fabricator.

    Western Refining, El Paso, TexasAllison Miller describes life on an operating

    plant as hectic and fast paced. She has been

    working a the Western Refining Facility in El

    Paso, Texas and commented, Plant activities

    are generally based around projects and modifi-

    cations that were truly needed yesterday!

    This has been an amazing opportunity forme. Ive worked on projects as a process engi-

    neer plus I have also been responsible for carry-

    ing them to completion as a project engineer.

    Jason Janda at the BP Thunderhorsesite.

    Young GunsTRAINING

    Ross Hancock (right), mechanicalengineering, at the BP Atlantis site.

    BP Atlantis site.

    Christa Joosten (left), instrumentationengineering - (right) Russ Gray,structural engineering, next to a proto-ype Snow Hood at the fabrication

    workshop in Aberdeen.

    Forming Mustangs Future

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    5

    Latest update fromthe Wood GroupEngineering Exchangeprogramme.

    Currently Mustanger, ThomasGarriott, (above), is also partici-pating in the Wood Group Engi-neering Exchange programmein Aberdeen and two youngengineers from the Aberdeenoffice, Matthew Nesbitt andKenny Hay (below), are in Hous-ton working on Mustang projects.

    Talisman, North Sea

    Manager, Chris Nichols, usedis structural engineering skillswhile working in Aberdeen onthe Wood Group EngineeringExchange programme. Amember of the team providingconstruction and operationssupport to Talisman, Chris says,I spent a good amount of timeoffshore on the North Sea plat-forms. It helped me understandthe construction and installationprocesses and exposed me to a

    new culture and the opportunityto create many new friendshipsand business relationships.

    I work on design but am also involved in procuring

    items, interfacing with all disciplines to ensure com-

    pleteness of design, coordinating construction efforts

    and completing final inspections. Every day there is

    something new to learn.

    Lyondell Plant, TexasDavid Wicker worked on a automation upgrade

    at the Lyondell plant in Texas where he spent several

    months during turnaround (shutdown) and start up.He explains, I was involved in the configuration,

    testing and support activities during start-up and

    supported (off-site) anything related to the plant

    safety system-- you get to learn all the details you

    cant get in the office.

    ExxonMobil Zafiro Producer, Equatorial Guinea,West AfricaBrian Hollowell, mechanical engineering, said, What I got most out of this assignment was seeing

    how the entire project comes together in the field, and how critical my decision as a facilities engineer

    are to the safety and success of so many people that I will never meet.

    BP Atlantis, Gulf of MexicoJason Reinwald, process engineering, comments, I also learned that every member of the team

    needs to be solution-oriented when problems arise and ready to think how we can take whats out

    there and make it work.

    BP ThunderhorsePete Sculley, structural engineering, BP Thunderhorse, Occasionally I have to step up and stop the

    job when I see something I dont agree with. Anybody has the ability to stop the job, but you still have

    to be willing to have the least experience of those around you, but your training tells you that you

    should.

    BP ThunderhorseJason Janda (above), mechanical engineering, spent Thanksgiving, Christmas and New Year off-

    shore to increase his knowledge of the industry. He is working on BP Thunderhorse where he ison location offhshore in the Gulf of Mexico. Jason says Were providing engineering support for

    the topsides systems which Mustang designed and we are also recommissioning many systems

    damaged during the listing incident.

    As a structural engineer, it was my responsibility

    to work with the liing contractor to develop

    simple, safe liing procedures for each piece of

    equipment. Jason Hrncir

    Thomas Garriott

    Kenny Hay and Matthew Nesbitt

    Allison Miller iwth kent Williamson,head Opertor at the Western Refiningfacility, El Paso, TExas.

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    Wood Group companies in Colombia celebrated

    International Childrens Day* earlier this year with

    a range of activities designed to promote environ-

    mental awareness and raise the profile of safety

    in the home and at work. Our companies Ener-

    getics, Wood Group Colombia and Equipo chose

    to participate in this event to involve the children

    of our employees, said Carolina Afanador, Com-

    munications Manager for Wood Group Colombia.

    More than 300 children participated in celebra-

    tions that included

    an outdoor magical

    circus in Bogot, an

    ecological walk fol-

    lowed by a cascade

    swim in Yopal plus

    puppet and story

    telling workshops in

    Cartagena and

    Barranquilla.

    OODNEWS MARCH 2008

    HSE NEWSChildrens Day in Colombia promotes

    environmental awareness

    ACTBOX

    elebrated in a number of different

    untries, International Childrens Day

    knowledges the rights, survival,

    velopment and protection of children

    over the world.

    Emerald award

    The Colombian Safety Council hasresented an Emerald Award to Equipo deervicios Petroleros Ltda for its excellentcore of over 97% in the Councils annualudit. QHSE Manager, Gabriel Vasquez,aid, QHSE staff at Wood Group Colom-a/Equipo also support our clients as well

    ther Wood Group businesses in Mexico,cuador, Trinidad & Tobago & Brazil.

    Charity donation followssafety milestone

    Our BP Contract in the UK, recentlyonated 1,000 to the Juvenile Diabetesesearch Foundation after working 1,000ccident free days. The milestone haseen achieved by over 700 staff on six off-hore and three onshore assets plus threengineering offices in Aberdeen, Glasgownd Dorset.

    Brazil team hopes tomake EnvironmentWeek an annual event

    o mark I Semana de Meio Ambiente orEnvironment Week our Engineering &

    roduction Facilities team in Brazilocused on highlighting to employeesheir socio-environmental responsibility.hroughout the week, presentationsere given by Macas Environmentalecretary's Office, Macas Estcio de Sollege and AM Consulting, which pro-des services and recycling to Woodroup. For the children of employees,

    he team also organised an art competi-on on the theme of Water Planet.

    Gold award

    P Kenny Pty (JPK), has once againarned the IFAP* Gold Safe Way Achieverward following a benchmarking exercisearried out by the organisation against in-

    ernational best practise. Based in Perth,s achievement owes much to the inputf SHEQ Manager Dave Holland and his

    eam who have striven for excellence inaining, continuous improvement ofrocedures and actual achievement ofafety objectives.

    FACTBOX

    AP* is the Industrial Foundation for

    ccident Prevention, an Australian

    ganisation, which focuses on improving

    ealth and safety performance

    N BRIEF

    In the UK our teams working at gas plant facilities at St Fergus,

    Mossmorran and Braefoot Bay plus the Goldeneye offshore

    platform for Shell Exploration & Production in Europe (Shell)

    have marked an outstanding safety performance recording 14

    years without a lost time

    incident.

    Working on three onshore sites plus one offshore

    platform, the Wood Group Engineering (North Sea) team has

    attributed its successful safety record to a highly visible man-

    agement commitment to an extensive gas plant services HSE

    plan. Jointly developed with Shell, the plan is reviewed atmonthly management meetings and the team has also intro-

    duced a two-day safety pre-conditioning workshop for all new

    starts. In addition, Wood Group is fully committed to the Shell

    hazard observation system which operates on all gas plants.

    Our gas plant services teams working

    on this contract have developed excellent levels of communica-

    tion between workforce, safety representatives and manage-

    ment, said Gary Walker, HSE manager at St Fergus, To

    achieve 14 years without any Wood Group personnel or con-tractor losing time through an accident while working in a live

    gas plant environment during shutdowns, routine maintenance

    and daily operations is a great success. We are all

    very proud of achieving this performance.

    Fourteen years ofoutstandingsafety performance

    Members of Wood Group's team at Mossmorran, Fife, Scotland.

    Children learnabout theenvironmentat Yopal inColombia