NEWS RELEASE

For further information contact:

Kerry J. Chauvin                                     Joseph "Duke" Gallagher
Chief Executive Officer                              Chief Financial Officer
(504) 872-2100                                       (504) 872-2100
FOR IMMEDIATE RELEASE
FRIDAY, NOVEMBER 7, 1997



			GULF ISLAND FABRICATION, INC.
	    ANNOUNCES SECONDARY OFFERING BY MAJOR SHAREHOLDERS



	Houma, LA - Gulf Island Fabrication, Inc. (NASDAQ: GIFI) today announced
that it has filed a registration statement with the Securities and Exchange
Commission for a proposed offering of 2,000,000 shares of its Common Stock,
along with an additional 300,000 shares to cover over-allotments.  All such
shares are to be sold by the Company's principal shareholders, Alden J. Laborde
(age 81), and Huey J. Wilson (age 69), for asset diversification and estate
planning purposes.  If the offering is completed, Messrs. Laborde and Wilson
will retain approximately 35% in combined ownership.  The common shares
outstanding will remain at 11,600,000 shares.

	The shares will be sold through an underwriting group managed by Morgan
Keegan & Company, Inc., Raymond James & Associates, Inc. and Johnson Rice &
Company L.L.C.

	A registration statement relating to these securities has been filed
with the Securities and Exchange Commission but has not yet become effective.
These securities may not be sold nor may offers to buy be accepted prior to the
time that the registration statement becomes effective.  This press release
shall not constitute an offer to sell, or the solicitation of an offer to buy,
nor shall there be any sale of these securities in any State in which such an
offer, solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of any such State.

	Gulf Island Fabrication, Inc., based in Houma, Louisiana, is a leading
fabricator of offshore drilling and production platforms and other specialized
structures used in the development and production of offshore oil and gas
reserves.  The Company's services also include offshore interconnect pipe
hook-up, inshore marine construction, and steel warehousing and sales.




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