Saipem wins $4bn Qatar offshore gas project contract
16 September 2024
Register for MEED's 14-day trial access
QatarEnergy LNG, a subsidiary of state enterprise QatarEnergy, has awarded Italian contractor Saipem an estimated $4bn engineering, procurement, construction and installation (EPCI) contract as part of the second phase of its North Field Production Sustainability (NFPS) project.
Saipem has won combined packages COMP3A and COMP3B of the NFPS project’s second phase, it said in a statement on 16 September.
The scope of work on the combined packages encompasses EPCI of a total of six platforms, approximately 100 kilometres (km) of corrosion resistance alloy rigid subsea pipelines of 28-inches and 24-inches diameter, 100km of subsea composite cables, 150km of fibre optic cables and several other subsea units.
The aim of the second phase of the NFPS project is to support QatarEnergy’s North Field liquefied natural gas (LNG) expansion programme.
The second NFPS phase will mainly involve building gas compression facilities to sustain and gradually increase gas production from Qatar’s offshore North Field gas reserve over the long term.
This is the second contract win for Saipem in the NFPS project’s second phase, which consists of four main EPCI packages.
Prior to winning combined packages COMP3A and COMP3B, QatarEnergy LNG awarded Saipem a $4.5bn order in October 2022 to build and install gas compression facilities.
The main scope of work on the package, which is known as EPCI 2, covers two large gas compression complexes that will comprise decks, jackets, topsides, interconnecting bridges, flare platforms, living quarters and interface modules.
The gas compression complexes – CP65 and CP75 – will weigh 62,000 tonnes and 63,000 tonnes, respectively, and will be the largest fixed steel jacket compression platforms ever built.
NFPS first phase
Saipem is executing the main EPCI works on the entire first phase of the NFPS project, which consists of two packages.
Through the first phase of the NFPS scheme, QatarEnergy LNG aims to increase the early gas field production capacity of the North Field offshore development to 110 million tonnes a year.
QatarEnergy LNG, formerly Qatargas, awarded Saipem the contract for the EPCI package in February 2021. The package is the larger of the two NFPS phase one packages and has a value of $1.7bn.
Saipem’s scope of work on the EPCI package encompasses building several offshore facilities for extracting and transporting natural gas, including platforms, supporting and connecting structures, subsea cables and anti-corrosion internally clad pipelines.
The scope of work also includes decommissioning a pipeline and other significant modifications to existing offshore facilities.
In addition, in April 2021, QatarEnergy LNG awarded Saipem two options for additional work within the EPCI package, worth about $350m.
QatarEnergy LNG awarded Saipem the second package of the NFPS phase one project, estimated to be worth $1bn, in March 2021.
Saipem’s scope of work on the package, known as EPCL, mainly covers installing three offshore export trunklines running almost 300km from their respective offshore platforms to the QatarEnergy LNG north and south plants located in Ras Laffan Industrial City.
Saipem has performed the front-end engineering and design work on the main production package of the first phase of the NFPS as part of a $20m contract that it was awarded in January 2019. This provided a competitive advantage to the Italian contractor in its bid to win the package.
Saipem expects to complete work on both packages of the first phase of the NFPS project by the end of 2024.
Register for MEED's guest program now to access this article.
Exclusive from Meed
-
-
-
-
-
Firms submit Jeddah distribution centre bids4 May 2026
All of this is only 1% of what MEED.com has to offer
Subscribe now and unlock all the 153,671 articles on MEED.com
- All the latest news, data, and market intelligence across MENA at your fingerprints
- First-hand updates and inside information on projects, clients and competitors that matter to you
- 20 years' archive of information, data, and news for you to access at your convenience
- Strategize to succeed and minimise risks with timely analysis of current and future market trends
Related Articles
-
Parsons wins role on Elon Musk-backed Dubai Loop project
4 May 2026
US-based Parsons Corporation has been appointed to deliver programme management services for the Dubai Loop transportation system.
The contract was awarded by Elon Musk-backed firm The Boring Company, which signed a construction agreement with Dubai’s Roads & Transport Authority (RTA) in February.
Parsons’ scope of work includes independent design verification, stakeholder management, permitting and no-objection certificate (NOC) support, and multidisciplinary design reviews for the project’s first phase.
The first phase comprises a 6.4-kilometre route with four stations, linking the Dubai International Financial Centre (DIFC) and Dubai Mall.
Stations will be located at DIFC 2, ICD Brookfield Place, Dubai Mall Zabeel Parking and Burj Khalifa.
The first phase is expected to cost about AED565m ($154m) and to be delivered within one year after design work and other preparations are completed. Tunnelling is expected to begin in the second half of this year.
Next phase
The second phase will connect Dubai World Trade Centre and DIFC with Business Bay.
The tunnels will extend up to 22km and include 19 stations.
The total cost across both phases is expected to be around AED2bn ($545m), with completion scheduled within three years.
The pilot route is expected to serve around 13,000 passengers a day, while the full route is projected to have a capacity of about 30,000 passengers a day.
The RTA and The Boring Company signed a memorandum of understanding on the sidelines of the World Governments Summit in Dubai in February last year to explore the development of the Dubai Loop transportation system.
The Dubai Loop is expected to be similar to The Boring Company’s Las Vegas Convention Centre (LVCC) Loop project. The LVCC Loop is a 2.7km underground tunnel system that connects different convention centre halls, reducing walking time across the site to about two minutes.
The LVCC Loop has been in operation since 2021. It uses Tesla Model 3 cars to carry passengers between five stations. The Boring Company began construction in November 2019 at an estimated cost of $49m.
.gif)
https://image.digitalinsightresearch.in/uploads/NewsArticle/16672074/main.jpg -
Humain tenders infrastructure for 6GW data centre campus
4 May 2026
Saudi artificial intelligence (AI) infrastructure company Humain, owned by the Public Investment Fund (PIF), has issued a tender inviting firms to develop infrastructure for its planned 6GW hyperscale AI data centre campus in Riyadh.
The project will be delivered on an early contractor involvement (ECI) basis. Under the ECI process, selected contractors are required to submit methodologies and design proposals, after which one team will be selected to deliver the construction works.
Firms have until 8 May to submit proposals.
The development will be built on a 24-square-kilometre site in the Al-Saad area in east Riyadh. It will be delivered in two phases across six plots, each with a capacity of 1GW.
The scope of infrastructure work covers:
- Construction of 380kV/132kV/33kV electrical distribution network, two substations with a capacity of 500MVA and 200MVA, bulk supply point (2,000MVA)
- Water network and fire protection systems
- Sewage treatment plant and wastewater network
- Stormwater systems
- Roads
- Underground cable and fibre optic networks
- Landscaping works
The client is being supported by Canadian engineering firm Hatch, France’s Egis and US-based firm JLL.
Humain was launched in May last year to operate and invest across the AI value chain.
Humain is building full-stack AI capabilities across four core areas: next-generation data centres, hyper-performance infrastructure and cloud platforms, and advanced AI models, including Allam.
Also in May 2025, Humain signed preliminary deals with US chipmakers AMD and Nvidia to build multibillion-dollar advanced digital infrastructure in the kingdom.
AMD said it will invest up to $10bn to deploy 500MW of AI compute capacity in Saudi Arabia over the next five years.
In October, PIF and Saudi Aramco signed a non-binding term sheet setting out key terms under which Aramco would acquire a minority stake in Humain, with PIF retaining majority ownership.
https://image.digitalinsightresearch.in/uploads/NewsArticle/16671267/main.jpg -
Abu Dhabi selects consortium for 2.5GW Taweelah C IPP
4 May 2026
Register for MEED’s 14-day trial access
A consortium of Al-Jomaih Energy & Water Company (Saudi Arabia) and Sembcorp Industries (Singapore) has been selected to develop the Taweelah C independent power producer (IPP) project in Abu Dhabi.
The consortium will sign a power purchase agreement (PPA) in mid-May, a source told MEED.
The combined-cycle gas turbine (CCGT) plant will have a capacity of 2.5GW. It will be located at the Al-Taweelah power and desalination complex, about 50 kilometres northeast of Abu Dhabi city.
It is understood that China Energy Engineering Corporation (CEEC) will be the engineering, procurement and construction (EPC) contractor.
Last September, MEED reported that state offtaker Emirates Water & Electricity Company (Ewec) had received three bids for the facility.
The bidders included:
- Al-Jomaih Energy & Water Company / Sembcorp Industries
- Sumitomo Corporation (Japan) / Korea Overseas Infrastructure & Urban Development Corporation / Korean Midland Power
- Korea Western Power Company / Etihad Water & Electricity (UAE) / Kyuden International (Japan)
At the time, Mohamed Al-Marzooqi, chief asset development and management officer at Ewec, said the bids would make Taweelah C “one of the lowest tariff CCGT projects in the region”.
The carbon-capture-ready facility had been scheduled to begin commercial operations in the fourth quarter of 2028.
This was based on the initial timeline for a PPA to be signed in the fourth quarter of 2025.
Taweelah C is part of Ewec’s wider programme to support the UAE’s Net Zero by 2050 Strategic Initiative and the Abu Dhabi Department of Energy’s Clean Energy Strategic Target 2035.
Ewec plans to raise solar power capacity to 18GW and wind capacity to 2.6GW by 2035, while reducing the carbon intensity of its power generation by more than half compared to 2019.
Ewec is also expanding its low-carbon water desalination capacity, with the Taweelah reverse osmosis (RO) plant already operating as the world’s largest RO facility and additional projects, such as the Mirfa 2 RO and Shuweihat 4 RO, under way.
By 2030, it expects 95% of Abu Dhabi’s installed water capacity to come from RO technology.
https://image.digitalinsightresearch.in/uploads/NewsArticle/16670622/main0858.jpg -
Dubai launches Blue Line metro tunnelling works
4 May 2026
Dubai has announced the launch of tunnelling works for the Dubai Metro Blue Line extension project.
In a post on X, Sheikh Mohammed Bin Rashid Al-Maktoum, UAE Vice President, Prime Minister and Ruler of Dubai, announced the start of operations of the tunnel boring machine (TBM), which the Roads & Transport Authority (RTA) has named ‘Al-Wugeisha’.
The TBM is 163 metres long, weighs more than 2,000 tonnes and will operate around the clock. The post added that its average excavation rate ranges from 13 to 17 metres a day.
The Blue Line will connect the existing Red and Green lines. It will be 30 kilometres (km) long, with 15.5km underground and 14.5km above ground.
The line will have 14 stations, seven of which will be elevated. There will be five underground stations, including one interchange station, and two elevated transfer stations connected to the existing Centrepoint and Creek stations.
In December 2024, the RTA awarded a AED20.5bn ($5.5bn) main contract for the construction of the project to a consortium comprising Turkiye’s Limak Holding and Mapa Group, along with the Hong Kong office of China Railway Rolling Stock Corporation (CRRC).
The consortium is responsible for all civil works, electromechanical works, rolling stock and rail systems. After completing the project, it will assist with maintenance and operations for an initial three-year period.
According to an official statement, the Blue Line will have a capacity of 46,000 passengers an hour in both directions.
The project is scheduled for completion in September 2029.
https://image.digitalinsightresearch.in/uploads/NewsArticle/16670584/main.jpeg -
Firms submit Jeddah distribution centre bids
4 May 2026
Contractors submitted bids on 26 April for an estimated SR140m ($37m) contract to build a distribution centre in Jeddah.
Saudi Logistics Services Company (SAL) launched the tender on 11 March, as previously reported by MEED. The project will cover an area of about 37,000 square metres. Egyptian firm Cosmos-E Engineers & Consultants has been appointed as the project consultant.
This tender follows the start of construction by Egyptian contractor Rowad Modern Engineering, a subsidiary of Elsewedy Electric Group, on the expansion of SAL’s facilities at King Khalid International airport in Riyadh. The scope of work includes rehabilitating and upgrading existing infrastructure, as well as constructing new supporting facilities and services.
SAL also launched the tendering process in September last year for its SR4.2bn ($1bn) logistics zone in northern Riyadh, MEED previously reported. UAE-based Global Engineering Consultants is the consultant for that development.
The logistics hub aims to meet demand for customised warehouses near King Khalid International airport and the Riyadh Metro. The project aligns with Vision 2030 and the National Transport & Logistics Strategy, which aims to strengthen the kingdom’s logistics sector and enhance Saudi Arabia’s position as a global logistics hub.
https://image.digitalinsightresearch.in/uploads/NewsArticle/16670338/main.gif