Italian energy services group Saipem announced that its subsidiary Saipem Indonesia in a joint venture with Tripatra Engineers and Constructors has secured a contract for a floating production, storage, and offloading unit in Indonesia.
The deal, valued at approximately $2 billion for Saipem's share, was awarded by Eni North Ganal for the Kutei north hub field development project in the Kutei Basin, East Kalimantan.
The project execution is estimated by the joint venture to last 48 months, covering project management, detailed engineering, procurement, fabrication, and installation.
Commissioning and start-up services for the floating vessel are also included in the scope of work.
According to Saipem, the development consists of a subsea system tied back to the new floating facility, which will deliver gas to the Bontang LNG plant and domestic users.
It added that this contract strengthens the Italian firm's position in the floating production segment by utilising its local fabrication and engineering capabilities.
