Monday, January 20, 2020

Saipem Joins JV for Arctic LNG2 Project

August 5, 2019

Image: Novatek

Italian oil and gas industry contractor Saipem reached a deal on Friday to participate in a joint engineering venture for a liquefied natural gas (LNG) project in the west of Siberia.

The subsidiary of Eni said in a press release that it has has reached an agreement with Technip France SA and NIPIgaspererabotka to participate in the Joint Venture for the realization of the Arctic LNG2 project.

The project has been awarded by Arctic LNG2, a company formed by Novatek (NVTK.ME) JSPC (60%) and Ekropromstroy Ltd (40%).

It comprises the detailed design, procurement, fabrication, construction, commissioning and start-up of three liquefied natural gas (LNG) trains, each with a capacity of approximately 6.6 million tons per year (MTPA), which will be installed on Concrete Gravity Based Structures (GBS).

Saipem is currently designing and building the GBS in the framework of the contract already announced with the press release of December 19, 2018.

The new LNG trains will be realized in the Tazovsky district located in the autonomous administrative region of Yamal - Nenets, in the western part of the Gydan peninsula (Russian Federation).

The Contract will be executed under Lump Sum and Reimbursable basis. Saipem has been assigned a share of the project worth approximately 2.2 billion Euro.

Stefano Cao, Saipem CEO, said: “Involvement in the works for the construction of the three trains for the Arctic LNG2 project, following the awards of the contracts for the Gravity Based Structures with the same client and the LNG Mozambique Project with Anadarko, reaffirms Saipem’s strategic choice to consolidate its leadership across the entire natural gas value chain”.

Related News