Saipem signs Mozambique EPC contract

Thursday, 13 June 2019
Free Read

Saipem, in a joint venture with McDermott International and Chiyoda Corp, has reached agreement with Area 1 Concessionaires for an EPC contract to engineer and construct an onshore LNG project in Mozambique.

Saipem will operate as head of CCS JV scarl, the joint venture incorporated in Italy to undertake the project.

The contract was signed by Anadarko Moçambique Area 1, Lda, a wholly owned subsidiary of Anadarko Petroleum Corp, which operates Offshore Area 1 and acts as front-runner of a consortium, which includes ENH Rovuma Área Um, SA, Mitsui E&P Mozambique Area1 Ltd, ONGC Videsh Ltd, Beas Rovuma Energy Mozambique Limited, BPRL Ventures Mozambique BV and PTTEP Mozambique Area 1 Limited.

The LNG project consists of the construction of two LNG trains, with a total nameplate capacity of 12.88 mill tonnes per annum, as well as all necessary associated infrastructure, storage tanks and export jetty facilities.

The EPC contract is still subject to a full Notice to Proceed, which Anadarko is expected to issue after the Final Investment Decision (FID).

“After many years of dedication to this project, we are very happy to announce that we have reached full agreement for the contract. We congratulate Anadarko and its co-venturers for the achievement and grateful for the confidence demonstrated toward our CCS JV.

“We look forward to mobilising our teams to site after Anadarko issues notice to proceed following the Final Investment Decision,” commented Stefano Cao, Saipem’s CEO.

“With this project, we will strengthen our presence in East Africa, confirming Saipem’s role among the leaders in the LNG market for the energy transition. A project of such a scale will contribute significantly to the economic growth of Mozambique as a new pole in the west-east energy routes and, as Saipem, we are proud of our substantial contribute to these future developments,” he added. 

Related Video

Free Read