Saipem said on Tuesday that its local subsidiary, PT Saipem Indonesia, has been awarded a contract valued at about $2 billion to supply a Floating Production, Storage and Offloading unit for an offshore gas development in Indonesia’s Kutei Basin.
The contract was signed by the Saipem unit in a joint venture with PT Tripatra Engineers and Constructors. The FPSO will be deployed to serve the Kutei North Hub Field Development Project located in the Kutei Basin, in East Kalimantan, Indonesia.
According to the company statement, the contract award came from Eni North Ganal, an entity controlled by Searah Ltd. The firm Searah Ltd. is described as a business combination company established by Eni and Petronas.
The scope of work under the deal is comprehensive. Saipem and its joint-venture partner will undertake project management and detailed engineering, procure the necessary materials, and carry out fabrication, construction and installation activities. The contract also explicitly covers the commissioning and start-up of the FPSO unit.
Saipem noted the schedule for delivery and commissioning spans 48 months from the start of the project. The timeframe covers the full cycle from engineering through to the installation and operational handover of the FPSO.
The award adds a major offshore engineering and construction engagement to Saipem’s order book in the Southeast Asian market. The project centers on a large FPSO asset intended for gas production in the Kutei North Hub field, tying the contractor to both upstream field development and downstream commissioning responsibilities.
While the statement provides the principal commercial and contractual details - value, partners, buyer and broad scope - it does not elaborate further on financing arrangements, specific technical specifications of the FPSO or a more granular execution timetable beyond the 48-month period.
Contextual note - The information in this report is limited to the contract particulars disclosed in the company announcement: contract value, parties to the award, project scope and the stated completion window.