Saipem wins $1 billion contract for Eni and BP’s recently sanctioned project

June 23, 2026, by Nadja Skopljak

Azule Energy, a joint venture between Italy’s Eni and the UK’s BP, has awarded Saipem and TechnipFMC with contracts for an ultra-deepwater development in Angola, following the announcement of the final investment decision (FID).

Eni reported on June 22 that the FID had been reached for the Greater PAJ offshore oil development located in Blocks 31 and 31/21 offshore Angola, operated by Azule Energy, the company equally owned by Eni and BP, and participated in by Sonangol E&P and Equinor.

The project is described as Angola’s first integrated cross-block development, with first oil expected in less than three years, in the first half of 2029. The development brings together five offshore fields across two blocks, Palas, Astraea and Juno in Block 31 and Urano and Dione in Block 31/21.

The concept consists of 17 wells connected to a new floating production, storage and offloading (FPSO) vessel with a nameplate capacity of 95,000 barrels of oil per day and a gas export capacity of 70 million standard cubic feet of gas per day, which will be delivered to Angola LNG (ALNG) plant via a new gas export line that will be tied-in to the existing Block 31 gas export network.

Saipem secured a $1 billion contract for the Greater PAJ project entailing the engineering, fabrication, transportation and installation of approximately 180 kilometers of rigid pipelines and subsea facilities, at a water depth reaching up to 2,000 meters, as well as the transportation and installation of 38 kilometers of flexible flowlines and jumpers and 54 kilometers of umbilicals.

As part of the contract that has a duration of around 40 months, the company shall perform the fabrication activities at its Ambriz yard in Angola, and plans to deploy its construction vessels FDS and Castorone for the campaign.

In a separate announcement, TechnipFMC reported that it had won a contract for Greater PAJ to design and manufacture flexible flowlines and risers to connect wells in water depths approaching 2,000 meters to a new floating production unit (FPU).

The contract has been defined as significant, which TechnipFMC says is worth between $75 million and $250 million.

Jonathan Landes, President of Subsea at TechnipFMC, said: “This award builds on expertise we have developed on large, deepwater projects in the region, including our proven flexible pipe technology. We are proud to be chosen to deliver a technically robust solution on an accelerated timeframe that creates value for our client.”