Saipem awarded E&C contracts worth $800mn

Saipem awarded E&C contracts worth $800mn
Saipem has been awarded a contract in Saudi Arabia in relation to the South Gas Compression Plant Pipelines project for the development of the Haradh gas plant. (Image courtesy: JGC Corporation)
Published: 29 July 2018 - 10 p.m.
By: Martin Menachery

Saipem has been awarded onshore engineering and construction contracts in Saudi Arabia, Iraq, Serbia, Mexico, and Nigeria worth approximately $800mn in total.

Saipem has been awarded a contract in Saudi Arabia by Saudi Arabian Oil Company (Saudi Aramco) for procurement and construction in relation to the South Gas Compression Plant Pipelines project for the development of the Haradh gas plant (HdGP), located in the east of the country. The project comes under the Southern Area Energy Efficiency Programme.

The scope of work encompasses the construction of a system of pipelines of various diameters, with an overall length of over 700km, and includes flowlines, trunk lines and transmission lines, as well as associated facilities for the transportation of gas from various points of storage and distribution inside the plant.

A further contract has been awarded by ExxonMobil Iraq Limited for the DS6 project for the debottlenecking of the West Qurna field, in the south east of Iraq. Debottlenecking is a process that optimises a plant in order to increase its overall capacity. The works will have a duration of 23 months and will mainly be executed in the Rumahila fabrication yard, owned by Saipem.

Through its subsidiary Saimexicana, Saipem has also been awarded a contract by Petróleos Mexicanos (Pemex), the national Mexican oil company for works in the ‘Miguel Hidalgo’ refinery located in Tula de Hallende. In compliance with environmental regulations, these works involve the restart of a hydrodesulphuriser of residues needed to reduce the levels of sulphur in products deriving from the refining of oil.

Furthermore, through a JV with Chiyoda and Daewoo, of which Saipem is leader, a FEED contract has been awarded by Nigeria LNG Limited, which also entails the preparation of the EPC proposal for the NLNG T7 in Nigeria, related to the expansion of the existing LNG plant situated in Finima on Bonny Island.

Finally, Saipem has been awarded a contract for engineering services and the acquisition of permits for construction work in relation to the laying of pipes for the transportation of the gas to Serbia.

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