- Saipem will execute engineering, procurement, construction, installation and commissioning services (EPCIC)
- Contract value estimated at ~ EUR 1.6 bn
OMV Petrom, the largest integrated energy company in Southeastern Europe, has signed with Saipem S.p.A. and Saipem Romania SRL (Saipem) a contract for engineering, procurement, construction, installation and commissioning services, in amount of approx. EUR 1.6 bn.
Christina Verchere, CEO OMV Petrom: „With the signing of this contract, we are taking a major step in the development of the Neptun Deep project – practically, this marks the beginning of the execution phase. We will continue to work at pace so that we safely produce the expected gas volumes starting in 2027”.
Alessandro Puliti, CEO Saipem : “We are proud to have been selected, after a competitive bid process, as suppliers for the EPCIC contract for the Neptun Deep development. This confirms the trust of our clients on our core competences and state-of-the-art fleet for safe, sustainable, and complex full field developments. We will use our local team, in the Technology Center near Ploiesti, for testing the materials to be used for the offshore facilities. This Center brings together 200 researchers and experts – 95% of them are Romanians”.
Neptun Deep is the largest natural gas project in the Romanian Black Sea. OMV Petrom and Romgaz will invest up to EUR 4 bn in the development phase of the project. Neptun Deep will generate a production of approximately 100 billion cm of natural gas, thus turning the country into the largest natural gas producer in the EU.
The necessary infrastructure for the development of the offshore gas fields Domino and Pelican Sud includes 10 wells, 6 in deep water (~1,000m) and 4 in shallow water (~100m), 3 subsea production systems and the associated flow lines, a shallow water offshore platform (~100 m deep), the main pipeline to the shore (~160km) and the gas metering station at Tuzla.
Within the contract framework, Saipem will provide management, engineering, procurement, fabrication, assembly, maritime transportation, installation, testing and commissioning for the offshore facilities of the project.
In addition, the contract includes the testing and commissioning of the gas metering station and of the near shore and onshore sections of the gas production pipeline, which will be built by other contractors.
The EPCIC contract was awarded based on a public procurement tender.
The costs arising from the contract will be equally shared between the two partners, OMV Petrom and Romgaz.
About OMV Petrom
OMV Petrom is the largest integrated energy company in South-Eastern Europe, with an annual Group hydrocarbon production of approximately 43 million boe in 2022. The Group has a refining capacity of 4.5 million tons annually and operates an 860 MW high-efficiency power plant. The Group is present on the oil products retail market in Romania and neighboring countries through approximately 780 filling stations under two brands – OMV and Petrom.
OMV Petrom is a company in which Romanian shareholders hold over 42% of the shares (of which the Romanian state, through the Ministry of Energy, holds 20.7%, and 21.7% are owned by pension funds in Romania, to which are added almost 500,000 individual investors and other Romanian entities). OMV Aktiengesellschaft, one of the largest listed industrial companies in Austria, holds a 51.2% stake in OMV Petrom, and the remaining 6.4% are held by other foreign investors. Of the total shares of OMV Petrom, 28.1% represents the free float on the Bucharest Stock Exchange and the London Stock Exchange.
OMV Petrom is the largest contributor to the state budget, with approximately 39 billion euro in taxes and dividends paid between 2005 and 2022. During the same period, the company invested approximately 17 billion euro. In 2022, the taxes paid by OMV Petrom ensured 7% of Romania's tax revenues.
Since 2007, OMV Petrom has included corporate responsibility principles into its business strategy. Between 2007 and 2022, the company has allocated around 120 million euro to develop communities in Romania, focusing on environmental protection, education, health, and local development.
On July 29th, 2020, OMV Petrom announced its support for the recommendations issued by the Task Force on Climate-related Financial Disclosures (TCFD) regarding risks and opportunities on climate change. OMV Petrom annually reports on the progress made in implementing these recommendations.