Italian oilfield services provider Saipem has secured a new onshore contract valued at approximately €900m ($1.04bn) for the Uthmaniyah Gas Compression Plant project in Saudi Arabia.

The company will perform engineering, procurement and construction (EPC) work, with the project expected to last for around 42 months.

The contract was signed by Saipem Nasser Saeed Al‑Hajri Contracting Company (SNSH), a joint venture between Saipem and Nasser Saeed Al‑Hajri and Partners Company for Contracting (NSH).

The scope of the work includes building a new compression plant to serve the non-associated gas field in Uthmaniyah.

According to Saipem, the plant aims to extend the field’s production life and address Saudi Arabia’s increasing energy demand.

SNSH was established in Saudi Arabia by combining Saipem’s experience in engineering and project management with NSH’s onshore construction capabilities.

In April this year, Saipem received a limited notice to proceed (LNTP) worth around $150m from ExxonMobil Guyana for the Longtail project offshore Guyana.

The LNTP allows the Italian contractor to start early stage detailed engineering and procurement for the Stabroek Block development.

Saipem’s engineering, procurement, construction and installation (EPCI) contract covers a subsea structures, umbilicals, risers and flowlines system in waters around 1,750m deep.

In the same month, Saipem was awarded two offshore contracts in Saudi Arabia worth $400m under an existing long-term agreement with Aramco.

The company will cover EPCI activities related to water injection facilities at the Safaniya oilfield.

The first contract, designated as CRPO 154, includes the delivery of a new water injection tie-in platform and two water injection wellheads.

It also covers a 5km pipeline with a diameter of 24in, along with nearly 15km of 15kV cables at the Safaniya site.