Saipem Secures Offshore Engineering, Construction Contracts Worth $1.6B

Saipem has been awarded new offshore engineering and construction contracts worth in excess of $1.6 billion (EUR 1.5 billion).

The most significant contract is a field development project for the supergiant Zohr gas field, located off the Egyptian coast in the Mediterranean Sea. Petrobel has awarded Saipem an Engineering, Procurement, Construction & Installation (EPCI) contract for the accelerated start-up of the development project for Zohr.

The scope of work of the contract encompasses the instalation of a 26-inch gas export trunkline and 14-inch and 8-inch service trunklines, as well as EPCI work for the development of six deep water wells and the instalation of an umbilical system. Work will start in July 2016 and is due to be completed by the end of 2017.

“We are very pleased to have been selected for the important objective of delivering first gas from Zohr before the end of 2017,” said Stefano Cao, Saipem CEO, in a company statement. 

“We will mobilize a fleet of vessels with last-generation capabilities, and leverage on our proven expertise and consolidated presence in the area, in order to ensure our clients achieve their targets,” he added.

Petrobel, a joint venture between Eni and EGPC (Egyptian General Petroleum Corporation) is in charge of the development of Zohr on behalf of PetroShorouk, a joint venture between EGAS (Egyptian Natural Gas Holding Company) and Eni. The Zohr gas field was discovered by Eni in August 2015.