Italian oilfield services contractor Saipem has secured a new offshore contract worth approximately $2bn from Saudi Aramco for the development of the Marjan offshore oil and gas field in Saudi Arabia.
Awarded under the existing long-term agreement (LTA) between the two companies, the contract comes after the completion of the bidding procedure and the occurrence of the usual preliminary conditions requested by the client.
The Italian company’s scope of work encompasses the engineering, procurement, construction, and installation (EPCI) of wellhead platforms’ topsides, jackets as well as tie-in platform jacket, topside, rigid flowlines, submarine composite cables, and fibre optic cables.
Under the terms of the contract, Saipem will utilise its local offshore fleet, including advanced dynamic positioning vessels, and welding technology, alongside its well-established engineering capabilities for the development of the Marjan offshore field.
Located in the Arabian Gulf, off the eastern coast of Saudi Arabia, the Marjan oil and gas field is being expanded as part of the Marjan Crude Increment Programme.
The programme comprises a new offshore gas oil separation plant and 24 offshore oil, gas and water injection platforms.
Earlier this month, Saipem won another offshore contract with Saudi Aramco for the EPCI of infrastructures to be installed in the Marjan oil and gas field.
It included three production deck modules (PDMs), 33km subsea rigid pipelines with diameters of 12 inches and 16 inches, and 34km subsea power cables.
Saipem stated: “This important contract, at the backdrop of the recent awards by Saudi Aramco to Saipem, reinforces company’s long-standing presence in the Kingdom of Saudi Arabia.”
The fabrication activities will take place at the Saudi fabrication yard Saipem Taqa Al-Rushaid Fabricators (STAR) in Dammam. This is expected to further boost local content and contribute towards the growth of the domestic industry.
Earlier this week, Saipem also secured an offshore EPC contract from QatarEnergy LNG, valued at approximately $4bn. It involved the combined COMP3A and COMP3B phases of the North Field Production Sustainability Offshore Compression Programme.
