Italian engineering and construction giant Saipem has been awarded a contract valued at approximately $1 billion for the development of the Greater PAJ offshore oil project in Angola, following the project’s recent final investment decision (FID).
The contract was awarded by Azule Energy, the Angola-focused energy company jointly owned by Eni and BP, which operates the Greater PAJ development alongside partners Sonangol E&P and Equinor.
The Greater PAJ project, located across Blocks 31 and 31/21 offshore Angola, is being described as the country’s first integrated cross-block offshore development. The project combines five oil fields—Palas, Astraea and Juno in Block 31, together with Urano and Dione in Block 31/21—into a single development scheme aimed at accelerating production and improving operational efficiencies.
According to Eni, first oil is expected in the first half of 2029, less than three years after the FID was approved.
Contract Details
Under the contract, Saipem will be responsible for the engineering, fabrication, transportation and installation of approximately 180 kilometres of rigid pipelines and subsea infrastructure in water depths of up to 2,000 metres. The scope also includes the transportation and installation of 38 kilometres of flexible flowlines and jumpers, as well as 54 kilometres of umbilicals.
The project is expected to run for approximately 40 months, with fabrication activities to be carried out at Saipem’s Ambriz yard in Angola. The company plans to deploy its FDS and Castorone construction vessels during the offshore installation campaign.
In a parallel award, TechnipFMC secured a significant contract for the project, valued between $75 million and $250 million. The company will design and manufacture flexible flowlines and risers that will connect wells located in ultra-deepwater environments to a new floating production unit.
The Greater PAJ development will comprise 17 wells connected to a new floating production, storage and offloading (FPSO) vessel with a production capacity of 95,000 barrels of oil per day. The FPSO will also feature a gas export capacity of 70 million standard cubic feet per day, with gas transported to the Angola LNG plant through a new export line connected to the existing Block 31 gas infrastructure.
Jonathan Landes, President of Subsea at TechnipFMC, said the award reflects the company’s deepwater expertise and proven flexible pipe technology developed through previous projects in the region.
The project represents another major investment in Angola’s offshore sector and underscores continued confidence among international energy companies in the country’s deepwater oil and gas resources. It also strengthens Angola’s position as one of Africa’s leading offshore hydrocarbon producers while supporting future crude oil output and gas supply to domestic and export markets.
