Italian oil and gas firm, Saipem, has been awarded a US$6 billion contract to engineer and construct an onshore Liquid Natural Gas (LNG) project in Mozambique.
Saipem, in joint venture with McDermott International and Chiyoda Corporation, reached an agreement with Area 1 concessionaires on an Engineering, procurement, and construction (EPC) contract.
The contract has been executed by Anadarko Moçambique Area 1, Lda., a wholly owned subsidiary of Anadarko Petroleum Corporation, which operates Offshore Area 1 and acts as front-runner of a Venture including other leaders in the energy sector, such as ENH Rovuma Área Um, S.A, Mitsui E&P Mozambique Area1 Ltd., ONGC Videsh Ltd., Beas Rovuma Energy MozambiqueLimited, BPRL Ventures Mozambique B.V. and PTTEP Mozambique Area 1 Limited.
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The LNG Project consists of the construction of two Natural Gas Liquefaction (LNG) trains, with a total nameplate capacity of 12.88 million tonnes per annum (MTPA), as well as all necessary associated infrastructure, storage tanks and export jetty facilities.
“We are very happy to announce that we have reached full agreement for the contract after many years of dedication to this project,” commented Stefano Cao, CEO, Saipem.
While congratulating Anadarko and its co-ventures for the achievement, Stefano expressed his gratitude for the confidence demonstrated toward CCS JV. He confirmed that CCS JV teams will be mobilized to site after Anadarko issues notice to proceed following the final investment decision (FID).
The EPC Contract is subject to a full Notice to Proceed which is expected to be issued after FID.
Confirming Saipem’s role among the leaders in the LNG market for the energy transition, Stefano said that SAIPEM will strengthen it’s presence in East Africa with the project.
His statement comes just a few months after oil and Gas stakeholders from the East African Community partner states held a high-level forum to discuss oil and gas investment opportunities in the region.
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Saipem is a leading company in engineering, drilling and construction of major projects in the energy and infrastructure sectors.
