The $1.12-billion contract covers development of the offshore Ubadari field, enhanced gas recovery through carbon capture, utilization and storage, and onshore compression.

Tangguh UCC will produce and transport Ubadari’s gas to the onshore LNG plant for CO₂ separation. Captured CO₂ will then be sent to an offshore platform for re-injection into the reservoir, boosting gas recovery further.

Saipem’s EPCI responsibilities relate to the two new wellhead production platforms at Ubadari; the wellhead platform for re-injection of CO₂; and around 90 km of associated subsea pipelines.

All three platforms will be fabricated locally at the company’s yard in Karimun.