In Brazil, Saipem has been awarded an EPIC contract worth USD 600 million by Petrobras for the development of the gas export pipeline Lula NE - Cernambi, in the Santos Basin Pre-Salt Region, 270km off the coast of the State of São Paulo. The development encompasses the engineering, procurement, fabrication and installation of a gas export pipeline 18in in diameter and 19km long, and related subsea equipment, which will be laid in a maximum water depth of 2200m.

The pipeline will connect the field of Cernambi to a Central Manifold in the field of Lula. The majority of the offshore activities will be performed by the deepwater field development ship Saipem FDS 2 during the second half of 2013.

Separately, in Venezuela, Saipem has signed a T&I contract with PDVSA Petroleo S.A. for the Dragon – CIGMA Gas Export Pipeline which is part of the “Delta Caribe Oriental” Project. The contract comprises the transportation and installation of a 36in gas export sealine, 110km long, which will connect the Dragon Gas Platform, located about 50km offshore North-east of the Venezuelan coast, to the CIGMA Complex close to Guiria and in the Gulf of Paria, State of Sucre. Offshore activities will be mainly carried out by the Castoro 7 pipelay vessel and are currently scheduled to be completed in the first quarter of 2013.