Saipem secures $1.8bn E&C contracts for Ichthys project

18 January 2012 (Last Updated January 18th, 2012 18:30)

Saipem has been awarded engineering and construction contracts worth $1.8bn to be carried out by its newly built Castorone pipelay vessel.

Pipelay vesel

Saipem has been awarded engineering and construction contracts worth $1.8bn to be carried out by its newly built Castorone pipelay vessel.

The engineering, procurement, construction and installation contract from INPEX is for the gas export pipeline on the Ichthys LNG Project in the Browse Basin, offshore Western Australia. Saipem will lay 889km of a 42in-diameter subsea pipeline, in water depths of up to 275m, which will connect the offshore central processing facility to the onshore processing facility in Darwin.

The Castorone pipelay vessel, which is under construction at Singapore Keppel Shipyard, will begin offshore activities by 2014. The company's other pipelay barge, Semac I, will be used for the shallow water section.

The Ichthys LNG project is a joint venture project, with Inpex holding a 76% stake as operator and Total holding 24%. The project will produce 8.4 million tonnes of LNG and 1.6 million tonnes of LPG per year, along with 100,000 barrels of condensate per day at its peak.

The company has also won a transportation and installation contract for a gas export pipeline in the US sector of the Gulf, 400km south of New Orleans, Louisiana. The pipeline is 20in in diameter and 350km long, and will lie in a water depth ranging from 100m to 2,100m.

Image: The Castorone pipelay vessel will be used to install a subsea pipeline to link the Ichthys offshore production facility to an onshore facility in Darwin, Australia.