Italian oilfield services company Saipem has awarded two new contracts worth a total of around $700m from British oil and gas company bp and Eni’s Congo business arm Eni Congo.

Eni Congo awarded a contract for the conversion of Scarabeo 5 semisubmersible drilling unit into a Floating Production Unit (FPU), with separation and boosting plants.

The FPU receives production fluids from wellheads riser platforms, separates the gas from liquids and boosts the gas to feed the nearby Floating LNG (FLNG) unit.

Under the terms of the contract, Saipem will carry out the engineering, procurement, construction, transportation and commissioning of the FPU.

The FPU will be installed offs the coast of the Republic of Congo, northwest to the Djeno Terminal, in a water depth of nearly 35m.

Saipem said that the contract award follows an agreement signed early this year, for the execution of preliminary engineering and procurement activities.

The offshore works related to the FPU commissioning and its start-up are scheduled by the fourth quarter of 2025.

Saipem, in its statement said: “This contract awarded to Saipem is part of Eni’s Congo LNG Project, the country’s first natural gas liquefaction project that is expected to reach an overall liquefied natural gas (LNG) production capacity of 3 million tons per year from 2025.”

BP awarded the other contract, for offshore activities related to the Argos Floating Production Unit (FPU) in the Gulf of Mexico.

Argos FPU is designed for oil and gas production in deepwater environments and will be operated in the Green Canyon Block 780, at a water depth of around 1,400m.

The oilfield services company will deploy its Saipem Constellation vessel to carry out the offshore activities required for the project.

Saipem will manage the works under the contract through its execution centre in Houston, which serves as a strategic hub for its activities in the region.

Saipem added: “This contract represents a significant milestone as it will be the first project involving the deployment of the Saipem Constellation in the Gulf of Mexico and follows a series of awards for projects in Australia and Guyana.

“In addition, the award proves Saipem’s expertise in delivering cutting-edge offshore solutions for the energy industry.”