Saipem, through its subsidiary ERSAI Caspian Contractor LLC, has been awarded a major new engineering and construction contract for the Kashagan field project, located in the Kazakh waters of the Caspian Sea, valued at approximately US$1.8 billion.
The North Caspian Operating Company (NCOC) has awarded Saipem a contract for the construction of two 95 km pipelines, which will connect D island in the Caspian Sea to the Karabatan onshore plant in Kazakhstan. The scope of work includes the engineering, the welding materials, the conversion and the preparation of vessels, the dredging, the installation, the burial and the pre-commissioning of the two pipelines. Some of the scope will be executed with specialised subcontractors.
The two pipelines, with a diameter of 28 in., are made of carbon steel, internally cladded with a corrosion resistant alloy layer, and will each have an offshore length of about 65 km out of the total 96 km. Construction will be completed by the end of 2016.
Umberto Vergine, Saipem CEO, commented: "This is a very important contract working for some of the most important oil companies in the world in a key region for Saipem. It also represents another relevant contribution to our backlog in this low price market environment".
Adapted from press release by Rosalie Starling