The contract was awarded by Eni North Ganal, a company controlled by Searah, the business combination company established by Eni and Petronas, to Saipem’s Indonesian arm, PT Saipem Indonesia.

The project execution, with an estimated duration of 48 months, includes project management, detailed engineering, procurement of materials, fabrication, construction and installation activities, as well as commissioning and start-up of the FPSO unit. Saipem’s share of the contract is valued at approximately $2bn.

The Kutei FPSO project is part of the Kutei North Hub Development, located in the Kutei Basin, East Kalimantan, Indonesia, which comprises a subsea development tied back to a new FPSO, a dedicated gas export pipeline to the Bontang LNG Plant and domestic gas users via the existing East Kalimantan System.