Saipem has landed two offshore projects worth a combined USD 500 mn from oil giant Aramco, the Italian drilling company said in a statement yesterday. The Milan-based energy contractor will carry out the engineering, procurement, construction and installation of a crude trunkline for the Abu Sa’fah oil field and introduce production maintenance programs for the Berri and Manifa fields. No further details were provided.

About the fields: The Abu Sa’fah oil field is a conventional oil field located in shallow water and jointly owned by Saudi and Bahrain. Its production capacity of 300k barrels a day is divided equally between the two nations. The Berri field is located both onshore and offshore along the eastern coast of the Kingdom, while the Manifa oil field is a huge six-reservoir shallow oil field. It hit its target of producing 900k barrels per day in 2017.

Long-standing partners: Saipem had annual average orders of c. EUR 1.5 bn from Aramco between 2021 and 2023. It signed a 12-year contract with Aramco in 2020 for onshore engineering and construction activities. It said earlier this year that it is forecasting a 20% fall in average annual orders from Aramco until 2027 on the back of the oil giant’s decision to shelve plans of investment in new production capacity. However, it said Aramco’s suspension would not significantly impact its 2024 targets.

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