Saipem-led JV nabs $4 billion Nigeria LNG Train 7 contract

A joint venture led by Italy’s Saipem has secured a $4 billion contract for Nigeria LNG’s seventh production unit at its Bonny Island plant.

Saipem has a 60 per cent stake in the venture that includes South Korea’s Daewoo E&C and Chiyoda of Japan.

The engineering, procurement and construction deal follows the signing of a letter of intent in September 2019.

Nigeria LNG said on Wednesday that all conditions for an FID to build the train have been met, including financing.

NLNG is a venture compromising of the Nigerian National Petroleum Corporation (NNPC 49%), Shell (25.6%), Total (15%) and ENI (10.4%).

Shell said in a separate statement that Nigeria LNG would fund the new processing unit without shareholder loans or shareholder equity requirements.

The NLNG Train 7 project consists of the construction of one complete LNG train and one additional liquefaction unit. The project also includes other associated utilities and infrastructures.

The new unit will add around 8 mtpa of capacity to the 22 mtpa Bonny Island facility.

The Saipem-led joint venture will start construction once the situation with Covid-19 coronavirus pandemic has stabilised, according to Shell.

- Advertisements -

Most Popular

Excelerate to splash about $332 million on FSRU order in South Korea

Excelerate Energy will pay about $332 million for a floating storage and regasification unit (FSRU) it ordered at South...

Atlantic LNG freight rates hit new record

Spot charter rates for the global LNG carrier fleet in the Atlantic basin have reached a new record high,...

Excelerate orders FSRU at Hyundai Heavy

US floating LNG player Excelerate Energy has ordered a floating storage and regasification unit (FSRU) at South Korea’s Hyundai...

More News Like This

Alessandro Puliti named new CEO of Italy’s Saipem

Italian energy and LNG contractor Saipem said it has promoted Alessandro Puliti to the role of chief executive officer...

Air Products scores another Qatari LNG expansion gig

US LNG equipment specialist Air Products said it has won another contract related to QatarEnergy's giant LNG expansion project...

Saipem bags $900 million Angola job

Italian contractor Saipem has secured three contracts from the New Gas Consortium for the Quiluma and Maboqueiro gas project,...

Saipem in talks to exit Novatek’s Arctic LNG 2 project

Italian contractor Saipem confirmed it is in talks to pull out of two EPC contracts related to Novatek’s Arctic...