Saipem Joint-Venture Wins Approval For Iranian Deal - Report

LONDON -(Dow Jones)- Saipem Triune has won the approval of the National Iranian Oil Co. to invest in the development of Iran's Forouzan oilfield, an Iranian agency said this week, as the Islamic republic seeks to overcome sanctions on its petroleum sector.

Saipem Triune Engineering Pvt. Ltd is a joint-venture between The Triune Group Of India and Saipem SpA (SPM.MI), according to the companies. Eni SpA (E), of which Saipem is a subsidiary, declined to comment.

The semi-official Mehr news agency said Saipem Triune, which is based in New Delhi, India, is to ink the first phase of the engineering, procurement and construction, or EPC, contract for the oilfield development soon.

Saipem Triune is described as a 50% joint-venture between Saipem and Triune on the venture's Web site and in Saipem's annual report.

Eni owns 42.9% in Saipem, which specializes in oilfield services, construction and engineering.

The Forouzan oilfield is located 100 kilometers southwest of Kharg Island in the Persian Gulf and is shared with Saudi Arabia's Marjan oilfield. Forouzan oilfield's development plan aims at producing 65,000 barrels of crude oil per day.

Mehr said a U.K. firm was previously in charge of the first part of the oilfield's development plan, but the firm withdrew from the project in 2006.

-By Benoit Faucon, Dow Jones Newswires; +44-20-7842-9266; benoit.faucon@dowjones.com

(END) Dow Jones Newswires

November 25, 2009 07:41 ET (12:41 GMT)

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