en.Wedoany.com Reported - Italian oilfield services company Saipem has secured an engineering, procurement, construction, and installation (EPCI) contract for a floating production, storage, and offloading (FPSO) vessel for the Kutei North Hub development project in Indonesia, valued at approximately $2 billion. The FPSO hull will be built by a Chinese shipyard.
Saipem announced that its Indonesian subsidiary, PT Saipem Indonesia, together with PT Tripatra Engineers and Constructors, formed a consortium to obtain this EPCI contract from Eni North Ganal. Eni North Ganal is controlled by Searah Ltd., a joint venture established by Italian energy giant Eni and Malaysia's Petronas. Based on Saipem's share, the contract is valued at approximately $2 billion (approximately RMB 13.606 billion).
The project is expected to have a duration of 48 months, with the scope of work covering full EPCI services including project management, detailed engineering design, procurement of equipment and materials, manufacturing, construction, installation, as well as commissioning and startup of the FPSO.
Saipem has selected China Merchants Heavy Industry to build the Kutei FPSO hull. The FPSO is designed with a natural gas processing capacity of approximately 1 billion cubic feet per day and a condensate capacity of 80,000 barrels per day, along with a crude oil storage capacity of 1 million barrels. It will become one of Indonesia's key offshore oil and gas development assets.
The Kutei FPSO project is a crucial component of the Kutei North Hub development plan. The entire project includes subsea oil and gas production systems, the new FPSO, a dedicated natural gas export pipeline connecting to the Bontang LNG plant, and supporting facilities for supplying gas to domestic Indonesian users via the existing East Kalimantan natural gas pipeline network.
Saipem stated that this award further consolidates its market position in the floating production unit sector, leveraging its comprehensive advantages in engineering design, localized manufacturing capabilities, and rapid project execution.
Public information shows that Saipem is a leading global energy and infrastructure engineering contractor, with extensive experience in both offshore and onshore engineering. Its business covers multiple sectors including asset operation services, drilling and subsea engineering, energy transportation facilities, offshore wind power, and sustainable infrastructure. Currently, Saipem operates 5 manufacturing bases, 17 offshore construction vessels, and 12 drilling rigs (9 of which are owned assets), with operations in over 50 countries and regions worldwide, employing approximately 30,000 people from more than 130 countries and regions.
