Brazil: Saipem probed over Petrobras deal

Brazilian authorities are investigating the Italian oilfield services provider Saipem’s dealings with Petrobras over possible irregularities.

Illustration only: A Saipem vessel. Image shared under CC BY-SA 3.0 license
Illustration only: A Saipem vessel. Image by Ciacho5/Wikimedia shared under CC BY-SA 3.0 license

Saipem last week said its French and Brazilian subsidiaries had been informed by the competent Brazilian administrative authority (Controladoria-Geral da União through the Corregedoria-Geral da União) about the opening of administrative proceedings over a contract Saipem won with Petrobras in 2011.

The contract valued “about Brazilian Reais 249 million, currently equivalent to about Euro 56 million” was for the installation of the underwater gas pipeline connecting the Lula and Cernambi fields in Santos Basin.

Saipem said its subsidiaries would cooperate in the administrative proceedings by providing all the clarifications requested by the competent administrative authority. The company said it had  “confidence in the correctness of the award” of the Lula and Cernambi contracts and it said it believed “in the absence of circumstances to affirm the administrative liability of the companies.”

According to the 2011 announcement of the contract, the deal included the development of the gas export pipeline Lula NE – Cernambi, in the Santos Basin Pre-Salt Region, approximately 270 kilometers off the coast of the State of São Paulo.

The development encompassed the engineering, procurement, fabrication and installation of a gas export pipeline 18 inches in diameter and 19 kilometers long, and related subsea equipment, which will be laid in a maximum water depth of 2,200 meters.

Offshore Energy Today Staff

Spotted a typo? Have something more to add to the story? Maybe a nice photo? Contact our editorial team via email.

Offshore Energy Today, established in 2010, is read by over 10,000 industry professionals daily. We had nearly 9 million page views in 2018, with 2.4 million new users. This makes us one of the world’s most attractive online platforms in the space of offshore oil and gas and allows our partners to get maximum exposure for their online campaigns. 

If you’re interested in showcasing your company, product or technology on Offshore Energy Today contact our marketing manager Mirza Duran for advertising options.