BAKU, Azerbaijan, April 22. Italian engineering
and construction company Saipem has received a Limited Notice to
Proceed (LNTP) valued at approximately $150 million from
ExxonMobil’s Guyana subsidiary for the Longtail development in the
Stabroek Block offshore Guyana, Trend reports via Saipem.
The scope covers engineering, procurement, construction, and
installation (EPCI) of subsea structures, umbilicals, risers, and
flowlines (SURF) for the project, located at water depths of around
1,750 metres.
The LNTP enables Saipem to begin preliminary detailed
engineering and procurement work. However, full execution of the
offshore EPCI scope—including construction and installation
activities—remains subject to regulatory approvals and a final
investment decision (FID) by ExxonMobil Guyana Limited and its
Stabroek Block co-venturers.
Once sanctioned, the full contract is expected to last
approximately four years, with a total estimated value ranging
between $750 million and $1.5 billion.
Saipem noted that it has already been active in the Stabroek
Block, working on seven offshore development projects for
ExxonMobil Guyana, including Liza Phase 1, Liza Phase 2, Payara,
and Yellowtail, four of which have already been completed.
The company is a global engineering and construction contractor
for energy and infrastructure projects, with operations across more
than 50 countries and a workforce of around 30,000 employees.
