Daewoo E&C forges strategic LNG partnership with Italia's Saipem
SEOUL, AJU – Daewoo Engineering & Construction, a construction company in South Korea, forged a strategic partnership with Saipem, an Italian company in engineering, drilling and construction in energy and infrastructure, for cooperation on targeted opportunities in the oil and gas industry, with emphasis on natural gas.
The deal came after a consortium of Daewoo E&C and Saipem was selected in September as a preferred bidder for the engineering, procurement and construction (EPC) of Nigeria's “LNG Train 7” project to expand natural gas production.
The alliance enhances and capitalizes on complementarity and synergies across the EPC value chain and establishes a key player capable of delivering superior solutions in global LNG construction, the two companies said in a joint statement published on Saipem's website.
“Through this strategic agreement with Saipem, an internationally recognized engineering firm, our superior capability especially in LNG construction has been recognized worldwide and obtained the momentum to enhance its engineering capability,” Daewoo's E&C plant division head Kim Kwang-ho was quoted as saying.
Daewoo E&C has been involved in a number of projects abroad. In May last year, the builder grabbed a $290 million order from a Nigerian subsidiary of Indonesian petrochemical group Indorama Corporation to construct a urea fertilizer plant in Port Harcourt, Nigeria. A consortium of Daewoo and Toyo Engineering Corp. built the world's largest single-line urea plant in Nigeria six years ago.
“This strategic agreement with Daewoo will leverage our distinctive competencies in high-end projects, particularly in LNG, and our proven operational experience to support the corporate goals of our customers around the world,” said Maurizio Coratella, chief operating officer of Saipem's onshore E&C division.