Saipem Snags 3 Contracts Worth $3.7B

In a release posted on its website, Saipem revealed that it has been awarded three new contracts worth an overall amount of $3.7 billion by TotalEnergies EP Angola Block 20 for the Kaminho project located offshore the country.

According to the release, one of the deals refers to the Engineering, Procurement, Construction, Transportation and Commissioning of the Kaminho Floating Production Storage and Offloading (FPSO) vessel.

Another contract comprises the Operation and Maintenance (O&M) of the FPSO for a firm period of 12 years, with a potential eight year extension, and the other involves the Engineering, Procurement, Supply, Construction, Installation, Pre-Commissioning and Assistance for the commissioning and start-up of a Subsea, Umbilicals, Risers and Flowlines (SURF) package, Saipem revealed in the release.

“For the offshore campaign, and specifically for the J-lay vessel, Saipem will deploy its FDS and will widely involve the local supply chain for logistics and fabrication activities,” Saipem noted in the release.

“The joint award of the SURF, FPSO, and O&M contracts confirms the competitiveness of Saipem’s integrated business model, in particular the company’s unique capability to provide offshore and plant project management and engineering services, combined with a state of the art fleet and local fabrication capacity,” it added.

In a release posted on its website this week, TotalEnergies announced that its CEO and Chairman, Patrick Pouyanné, met in Luanda with João Lourenço, the President of Angola, Diamantino Azevedo, the Minister of Mineral Resources, Oil & Gas (MIREMPET), Paulino Jerónimo, the Chairman and CEO of ANPG, and Gaspar Martins, the Chairman and CEO of Sonangol, to announce the Final Investment Decision (FID) of the Kaminho deepwater development.

The Kaminho project is the first large deepwater development in the Kwanza basin, the release noted, adding that it comprises the conversion of a Very Large Crude Carrier (VLCC) to an FPSO unit, which will be connected to a subsea production network.

“Designed to minimize greenhouse gas emissions and eliminate routine flaring, this FPSO is all-electric and associated gas will be fully reinjected into the reservoirs,” TotalEnergies said in the release.

“Production start-up is expected in 2028, with a plateau of 70,000 barrels of oil per day”, the company added.

TotalEnergies holds a 40 percent interest in the development, Petronas also has a 40 percent stake, and Sonangol holds the remaining 20 percent interest, TotalEnergies’ site highlights.

Earlier this month, Saipem announced in a separate release that it had been awarded a new offshore contract by Azule Energy Angola S.p.A. for the development of the Ndungu Field as part of the Agogo Integrated West Hub Project. The value of that contract is around $850 million, according that release.

“Saipem’s scope of work entails the engineering, fabrication, transportation and installation of approximately 60km of rigid pipelines and of the subsea facilities at a depth of around 1,100 meters, and the transportation and installation of flexible flowlines, jumpers and 17 km of umbilicals,” the company noted in the release.

“Fabrication activities will be executed at Saipem’s Ambriz yard, in Angola. For the offshore installation campaign Saipem expects to deploy its FDS vessel, for the transportation and laying activities of the rigid pipelines,” it added.

“The award of this important project further consolidates Saipem’s positioning in Angola, both in deep waters and in shallow waters, through the provision of innovative and efficient solutions to reduce installation times,” it continued.

Saipem describes itself as a global leader in the engineering and construction of major projects for the energy and infrastructure sectors, both offshore and onshore. The company is present in more than 50 countries around the world and employs about 30,000 people of over 120 nationalities, its site notes.

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