Saipem wins US$800M of Middle East, Caspian contracts

Saipem has secured contracts with a combined value of nearly US$800M in the Middle East-Caspian region for subsea construction, maintenance and support projects.

In Saudi Arabia, Saipem was awarded two offshore projects by Saudi Aramco, with an approximate value of US$500M, under an existing long-term agreement.

The Milan, Italy-headquartered company is responsible for engineering, procurement, construction and installation (EPCI) of around 50 km of 42-inch diameter crude trunk pipeline for the Abu Safa field.

It will also provide subsea activities related to production maintenance programmes on the Berri and Manifa fields in the Middle East Gulf.

In Azerbaijan, BP Exploration (Caspian Sea) has signed a framework agreement with a consortium composed of Saipem Contracting and BOS Shelf covering subsea operations on the offshore Shah Deniz and Azeri-Chirag-Gunashli fields.

This is quoted to be valued at around US$300M, of which US$250M will be assigned to Saipem, and involve engineering, procurement, construction and installation of subsea infrastructures and life-of-field services.

Under this agreement, offshore activities will be undertaken by subsea construction and support vessel Khankendi, owned by the consortium of energy companies involved in the Shah Deniz project.

Saipem will operate this vessel and will provide the crew to perform the marine activities for the Shah Deniz and Azeri-Chirag-Gunashli fields over the three-year period of the framework agreement. There are options to extend this agreement for a further two years.

Saipem said it has been operating in the Caspian Sea since the late 1990s and has managed Khankendi since 2016.