Saipem Renews Long-Term Agreement with Saudi Aramco

Saipem, a global leader in engineering and construction for the energy industry, has recently announced the renewal of its framework agreement with Saudi Aramco, one of the world’s largest oil producers. The Long-Term Agreement (LTA) has been extended until the end of 2027, solidifying the partnership between the two companies.

As part of the renewed LTA, Saipem has secured its position as an exclusive contractor eligible to bid for work orders, known as CRPOs (Contract Release Purchase Orders), from Saudi Aramco. These orders encompass a wide range of projects, including the construction of new investment ventures and the maintenance of production capacity in Saudi Arabia’s offshore fields.

If awarded contracts under the LTA, Saipem will execute the projects through a consortium comprising Snamprogetti Saudi Arabia (a subsidiary of Saipem SpA) and STAR (Saipem Taqa Al-Rushaid Fabricators Co.). This strategic collaboration aims to enhance local content by utilizing the fabrication yard that Saipem established in Saudi Arabia back in 2008.

With a longstanding history of successful collaboration, Saipem and Saudi Aramco have worked together on various onshore, offshore, and drilling projects. The renewal of the LTA underscores the mutual trust between the two companies and reaffirms Saipem’s continued commitment to serving the Kingdom of Saudi Arabia’s offshore oil and gas sector with cutting-edge technology and expertise.

This partnership extension not only highlights Saipem’s strong presence in the region but also demonstrates its dedication to fostering local talent and capabilities. By leveraging its consortium with local partners, Saipem is poised to deliver high-quality projects that contribute to the sustainable development of Saudi Arabia’s energy industry.

Overall, the renewal of the LTA between Saipem and Saudi Aramco signifies a strategic alignment of goals and a shared vision for the future of the oil and gas sector in the Kingdom. It paves the way for continued collaboration and innovation, setting the stage for further growth and success in the years to come.