Saipem Lands $3.1 Billion Qatar Energy Offshore Project

Saipem, in collaboration with Offshore Oil Engineering Co. Ltd. (Cooec), has been awarded a significant Engineering, Procurement, Installation, and Construction (EPCI) offshore contract worth approximately $3.1 billion for package COMP5 of the North Field Production Sustainability (Nfps) Offshore Compression Complexes project in Qatar. The contract was awarded by QatarEnergy LNG.

Project Overview

The contract focuses on the COMP5 package of the Offshore Compression Complexes, representing a long-term industrial commitment estimated to last about five years. Saipem will manage the entire EPCI cycle, from engineering and procurement to construction and offshore installation.

Key Responsibilities

• Engineering
• Procurement
• Construction
• Offshore Installation

Complex Structures

The project's core involves two large offshore compression complexes, each featuring a compression platform, personnel accommodations, a flare support structure for gas combustion, and interconnections between sections. These structures are substantial, each weighing approximately 68,000 tons.

The NFPS project is part of QatarEnergy LNG's broader strategy to maintain and enhance the production capacity of the North Field, the world’s largest non-associated natural gas field, located off the northeastern coast of Qatar. The goal is to ensure reliable supplies and support the country's central role in global gas and LNG markets through increasingly complex and technologically advanced offshore infrastructure.

Installation Timeline

Offshore installation activities are tentatively scheduled between 2029 and 2030, utilizing Saipem's construction vessel, the De He.

Strategic Significance

With the COMP5 award, Saipem strengthens its position, building on previous COMP2 and COMP3 packages of the same project, awarded in 2022 and 2024 respectively. This reinforces the long-term relationship with QatarEnergy LNG, establishing Saipem as a key partner for complex offshore projects in the Gulf.

Saipem's Contract Details

The recent award encompasses engineering, procurement, construction, and installation activities which will be handled by Saipem.

The contract awarded to Saipem focuses on the offshore compression complexes, involving a long-term commitment of approximately five years.

Projected Timeline

The project is expected to span approximately five years, with offshore installation activities planned between 2029 and 2030. These installations will involve the utilization of Saipem's advanced construction vessel, the De He.

Below is a table outlining the project's timeline:

Financial Aspects

The contract is valued at approximately $4 billion, with Saipem's share amounting to around $3.1 billion.

Below is a table summarizing the financial details of the project:

The NFPS project is crucial for maintaining and enhancing the production capacity of the North Field, the world's largest non-associated natural gas field.

Strategic Goals

QatarEnergy LNG aims to ensure the reliability of gas supplies and support Qatar’s role in the global gas and LNG markets through this project.

Objectives

• Maintain Production Capacity
• Ensure Reliable Gas Supplies
• Support Qatar's Global Role

Below is a table detailing Qatar's production goals:

Project Partners

Saipem is partnering with Offshore Oil Engineering Co. Ltd. (Cooec) for this project.

Here is a table of the key partners involved:

Previous Awards

This new contract adds to the COMP2 and COMP3 packages already in Saipem’s portfolio, awarded in 2022 and 2024, respectively.

The award of the COMP5 package enhances Saipem's established trajectory in Qatar, building upon the earlier COMP2 and COMP3 packages secured in 2022 and 2024.

Below is a summary of Saipem's project awards related to the North Field Production Sustainability (NFPS) project:

Technological Advancements

The project involves complex and technologically advanced offshore infrastructure, reinforcing Qatar's capabilities in the global gas market.

Saipem’s Fleet

The De He vessel, a key construction vessel in Saipem’s fleet, will be deployed for offshore installation activities between 2029 and 2030.