MILAN – Saipem, a leader in engineering and construction of major projects within the energy and infrastructure sectors, has been awarded an offshore contract for the Bouri Gas Utilisation Project (BGUP) in Libya worth approximately one billion US dollars.

 On Wednesday, Mellitah Oil and Gas B.V. Libyan Branch - a consortium formed by National Oil Corporation of Libya and Eni North Africa – awarded Saipem, an Italian company, the contract for the BGUP. Saipem's role will encompass an extensive process of revitalization for the Bouri gas field's platforms and facilities, located in water depths ranging from 145 meters to 183 meters, close to the Libyan shoreline. 

 The contract entails a wide range of works to be done among which are the comprehensive process of engineering, procurement, construction, installation, and commissioning (EPCIC) of a 5,000-ton Gas Recovery Module (GRM) to be integrated into the existing DP4 offshore facility. Additionally, Saipem will have to lay  a 28-kilometer network of pipelines interconnecting the DP3, DP4, and Sabratha platforms.

 The project will be carried out by the semi-submersible crane vessel Saipem 7000. This contract award  highlights Saipem's dedication and competitive stance in the Libyan offshore sector. The successful completion of this project is predicted to reduce CO2 emissions within Libya, therefore contributing to the country’s welfare.

 According to Article 6 of the Consob Regulation governing transactions involving related parties, Saipem has clarified that this engagement qualifies as a ‘related party transaction,’ given Eni S.p.A.'s joint control over both Saipem and Mellitah Oil & Gas B.V. While categorizing as a ‘transaction of heightened significance’ in line with Saipem's Management System Guideline for dealings with related parties and parties of interest, this transaction falls within the exemption stipulated by Article 9 of the specified protocol and Article 13, paragraph 3, letter c) of the aforementioned Consob Regulation. This exemption stems from the transaction's alignment with market-equivalent or standard terms.

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