Saipem Secures Two New Contracts Worth $720m

Italian offshore engineering and construction giant Saipem has announced the successful bid for two new contracts totaling approximately $720 million.

The first contract involves the engineering, procurement, construction, and installation of subsea pipelines for a major client in the Middle East. The project is set to span three years and will focus on repairing damaged pipelines.

The second contract is a limited notice to proceed by ExxonMobil’s Guyana arm for the EPCI of subsea structures, umbilicals, risers, and flowlines for the Hammerhead project. The agreement is contingent on government and regulatory approvals and aims to support the production facility and gas export system for the proposed project.

If all necessary approvals are obtained, Saipem will begin early work activities such as detailed engineering and procurement to facilitate a potential project kickoff in 2029. The Hammerhead project, situated in the Stabroek block offshore Guyana, presents a significant opportunity for Saipem in the region.

Construction and installation work for the Hammerhead project are subject to further approvals from government and regulatory bodies, as well as project sanction by ExxonMobil and its partners in the Stabroek block.

Saipem plans to leverage its construction and support vessels, including the Saipem FDS2, for the operations. Logistics for the project will be managed through the Vreed-en-Hoop Shorebase yard in Guyana, ensuring efficient execution of the project over the anticipated four-year timeline.