Saipem SpA (SPM.MI), Italy's biggest oil services company by market value, said Monday it has received a new contract worth about EUR2.8 billion for an onshore liquefied natural gas project in Algeria.
In a statement, Saipem, which is controlled by Eni SpA (E) with a 43% stake, said Algerian state-owned oil company Sonatrach assigned the contract to a consortium comprising the Milan-based company and Lead Contracting.
Saipem said it was the first time the firm has been named as the main contractor of a large gas liquefaction or LNG plant, with a capacity of 4.7 million tons of LNG per year.
The works will be completed by the end of 2012, the company said.