Saipem to Supply, Operate FPSO for Aquila Field in Adriatic Sea

Saipem has been awarded a contract for the supply and operation of a FPSO vessel (Floating Production Storage and Offloading) worth approximately 1 billion euro (around US $1.5 billion).

The contract, awarded by Eni, encompasses the conversion of a wholly owned oil tanker into a FPSO vessel, for which Saipem will provide the installation and the operation management. The FPSO vessel will have a storage capacity of 700,000 barrels and a production capacity of 12,000 barrels of oil per day. Production activities will start in the fourth quarter of 2011.

The contract, lasting 20 years, is divided in two phases. For the first 8 years, the FPSO will be employed for the exploitation of the Aquila field. The Aquila field is located off the Italian coast in the Adriatic Sea, approximately 50 kilometers Northeast of Brindisi, in a water depth of 815 meters. During the remaining contractual length, the FPSO vessel will be employed for the development of fields to be designated by the Client.