Exhibit 99.2

   Gulf Island Fabrication, Inc. Declares Dividend on Common Stock


    HOUMA, La.--(BUSINESS WIRE)--Nov. 1, 2006--Gulf Island
Fabrication, Inc. (NASDAQ: GIFI), announced today that its board of
directors declared a dividend of $0.075 per share on Gulf Island
Fabrication, Inc.'s approximately 13.9 million shares of common stock
outstanding.

    The dividend was declared during a regular meeting of the board
held on November 1, 2006 and is payable November 17, 2006, to
shareholders of record on November 7, 2006.

    Gulf Island Fabrication, Inc., based in Houma, Louisiana, is a
leading fabricator of offshore drilling and production platforms, hull
and/or deck sections of floating production platforms and other
specialized structures used in the development and production of
offshore oil and gas reserves. These structures include jackets and
deck sections of fixed production platforms; hull and/or deck sections
of floating production platforms (such as tension leg platforms
("TLPs")), "SPARs and FPSOs", piles, wellhead protectors, subsea
templates and various production, compressor and utility modules,
offshore living quarters, tanks and barges. The Company also provides
offshore interconnect pipe hook-up, inshore marine construction,
manufacture and repair of pressure vessels, heavy lifts such as ship
integration and TLP module integration, loading and offloading jack-up
drilling rigs, semi-submersible drilling rigs, TLP's, SPARs or other
similar cargo onshore and offshore scaffolding and piping insulation
services and steel warehousing and sales.

    CONTACT: Gulf Island Fabrication, Inc.
             Kerry J. Chauvin, Chief Executive Officer
             Joseph "Duke" Gallagher, Chief Financial Officer
             985-872-2100