Saipem has officially commenced construction for bp Indonesia’s Tangguh UCC development, following a First Steel Cut ceremony at its Karimun fabrication yard in Southeast Asia.
The event brought together company executives, representatives from bp, and officials from both local and national government agencies, marking a key step forward in the high-profile Indonesian energy initiative.
The Tangguh Carbon capture and compressions (UCC) project — designated a national strategic undertaking — will expand natural gas production in Papua Barat province.
It involves developing the offshore Ubadari gas field, deploying carbon capture, utilization and storage (CCUS) technology to enhance gas recovery, and adding new onshore compression capacity.
Once operational, the project is expected to deliver roughly 3 trillion cubic feet of additional natural gas from the Ubadari field.
Under its contract, Saipem will handle engineering, procurement, construction, installation, and commissioning for two wellhead platforms, a CO2 reinjection platform, and about 90 kilometers (56 miles) of pipelines, cables, and connections to existing facilities.
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Karimun Yard — Saipem’s largest fabrication hub worldwide — spans 1.4 million square meters (346 acres) and employs more than 5,000 people.
Known for producing complex EPC modules to exacting safety and quality standards, the yard plays a critical role in delivering large-scale energy infrastructure across the region.
The Tangguh UCC project further reinforces its standing as one of Southeast Asia’s premier industrial facilities.
Read more: BP Awards $1.2B EPCI Contract To Saipem For The New Tangguh UCC Project
