Saipem CEO Umberto Vergine. Image courtesy of Saipem.

Italy’s Saipem won a new engineering and construction contract in Saudi Arabia and new drilling contracts in the Middle East and Latin America worth a combined $2 billion.

Saudi Aramco awarded Saipem an engineering, procurement and construction contract for work related to the expansion of the onshore production centers at the Khurais, Mazajili and Abu Jifan fields.

The new facilities Saipem will work on at the Khurais field will add an additional 300,000 barrels per day in capacity.

New satellite facilities will also bump production up to 200,000 barrels per day from the Abu Jifan and Mazalij fields.

The Khurais field covers 1,115 square miles and is located about 93 miles northeast of Riyadh.

Saipem constructed the majority of the original facilities at Khurais including the installation of four separation units, all the utilities, the seawater treatment plant and various seawater pipelines.

“This new contract is the result of our successful project delivery in Saudi Arabia and strengthens our relationship with Saudi Aramco, a key client,” Saipem’s CEO Umberto Vergine said.

The company won a new contact for its Perro Negro 7 jack-up from an unnamed client.

The rig will operate offshore in the Middle East from November 2015 until the end of 2018.

Perro Negro 7 is a self-elevating drilling unit capable of operating in water depth up to 375 feet.

Saipem won an additional nine drilling rig contracts from a group of unnamed clients for rigs operating in the Middle East an Latin America.

The contracts have been signed under different terms, varying from three months to three years and starting at different dates during 2014 and 2015.


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