Saipem awarded contract for the Kutei FPSO project in Indonesia

The contract covers the engineering, procurement, construction and installation of a floating production, storage and offloading unit for the Kutei North Hub Field Development Facility
Saipem, through its subsidiary PT Saipem Indonesia, in joint venture with PT Tripatra Engineers and Constructors, has been awarded a contract for the Engineering, Procurement, Construction and Installation (EPCI) of a Floating Production, Storage and Offloading (FPSO) unit for the “Kutei North Hub Field Development Project”, located in the Kutei Basin, East Kalimantan, Indonesia. The contract, valued at approximately USD 2 billion for Saipem’s share, has been awarded by Eni North Ganal, a company controlled by Searah Ltd., the business combination company established by Eni and Petronas.
The project execution, with an estimated duration of 48 months, includes project management, detailed engineering, procurement of materials, fabrication, construction and installation activities, as well as commissioning and start-up of the FPSO unit.
The Kutei FPSO project is part of the Kutei North Hub Development, which comprises a subsea development tied back to a new FPSO, a dedicated gas export pipeline to the Bontang LNG Plant and domestic gas users via the existing East Kalimantan System.
This award further strengthens Saipem’s positioning in the floating production segment, leveraging its unique combination of engineering and local fabrication capabilities, as well as its well-established expertise in fast-track project execution.
Pursuant to Article 6 of the Consob Regulation on related party transaction, it is informed that this contract qualifies as a related party transaction – as it is carried out with Eni North Ganal (Subsidiary of Searah Limited,which in turn is jointly controlled by Eni and Petronas), -“of greater importance” and which, as an “ordinary transaction and carried out at market-equivalent or standard conditions”, falls within the exclusion pursuant to Article 13, paragraph 3, letter c) of the Consob Regulation on transactions with related parties and Article 8.2, letter c) of the Saipem’s Management System Guidelines “Transactions with Related Parties and Parties of Interest”.
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