The activities will be supported by Saipem's construction vessels.

As part of an existing long-term agreement with Aramco, Saipem has announced two new offshore contracts in Saudi Arabia, known as Contract Release Purchase Orders (CRPO) 

A 32-month contract called CRPO 162 will encompass the engineering procurement construction and Installation (EPCI) of approximately 34 km of pipeline, with diameters of 20” and 30", and related works on topside structures at the Berri and Abu Safah oil fields.

The second contract (CRPO 165), on the other hand, will be spanning a period of 12 months, comprising subsea interventions at Marjan field and the EPC of 300 m of onshore pipeline and associated tie-ins.

The activities will be supported by Saipem's construction vessels, which have already been deployed in the region. With a special focus on local content, the company will be conducting its fabrication activities at its Saudi fabrication yard, Saipem Taqa Al-Rushaid Fabricators Co. Ltd., in Dammam.

The award of these new contracts strengthens Saipem’s presence in Saudi Arabia and further consolidates its longstanding relationship with Aramco.

The partnership signifies the region's exploration expansion. (Image source: Egypt's Ministry of Petroleum and Mineral Resources)

Egypt's Ministry of Petroleum and Mineral Resources has entered into a new oil and natural gas exploration agreement with British company Terra Petroleum 

The partnership signifies the region's exploration expansion and production optimisation ambitions as Terra Petroleum steps into the region for the first time.

The contract gives Terra Petroleum access to the Northwest Maghra concession of the Western Desert to drill three wells, leading up to initial investments of approximately US$6.5mn. Additionally, the contract also leaves scope for two-dimensional and three-dimensional seismic surveys at the concession area.

Speaking of the deal, Minister of Petroleum Karim Badawi said that the agreement stands testament to the growing interests of international companies towards the region and their willingness for investment. As it builds trust in the Egyptian petroleum sector's investment climate, the Ministry is actively addressing policies and developments to support an encouraging work environment for global investors, and accelerate oil exploration and production rates.

Players in Egypt has been experiencing big developments in the exploration and production front with Dana Petroleum being the latest example. It has recently made a significant gas discovery following the drilling of the North El-Basant 1 exploratory well in Egypt’s onshore Nile Delta. 

Richard Hall, CEO, Dana Gas, said, “The latest drilling success reinforces the value of our investment programme in Egypt and highlights the significant remaining potential within the Nile Delta. The North El Basant-6 result builds on the momentum of our earlier wells and supports our efforts to increase domestic gas supply and reserves. By increasing local gas production, the programme will help reduce Egypt’s reliance on imported LNG and fuel oil and is expected to generate more than one billion dollars in savings for the national economy over time."

The Shamakhi-Gobustan is a joint exploration project.

The Shamakhi-Gobustan region onshore Azerbaijan will be developed by MOL Group and SOCAR as they signed a comprehensive production sharing agreement

The joint exploration project will be led by MOL Group as operator with a 65% stake while SOCAR retains 35% interest in the area.

This agreement, which was signed by MOL Group chairman and CEO, Zsolt Hernádi, and SOCAR president, Rovshan Najaf, solidifies the key terms that were proposed for the exploration in June during Baku Energy Week, and builds on previous successful cooperation.

“The final agreement of our latest cooperation with SOCAR marks another major step in our shared commitment to unlocking new potential and expanding our excellent collaboration in Azerbaijan’s upstream sector.

"The Shamakhi-Gobustan joint exploration project adds a great opportunity to our international upstream portfolio, and as the operator, we are proud to build on MOL Group’s extensive experience in exploration and production. Strong foundations have already been laid through the offshore ACG project in Azerbaijan, which is an important pillar of our international operations, playing a vital role in Central Europe’s energy security and providing us flexibility in crude oil sourcing and refining.

"I am very much looking forward to the next chapter of our cooperation in Azerbaijan with our esteemed partner SOCAR, which will further strengthen our region’s energy supply security,” said Hernádi.

The partners are currently planning to initiate a seismic survey early 2026, before drilling can begin shortly after. 

The company is expecting a base work programme for 2026.

In line with its ambitions, Gulf Keystone, a leading independent operator and producer in the Kurdistan Region of Iraq, has managed to record a gross average production of around 41,400 bopd in 2025

The company's approach involved transitioning from trucking sales to pipeline exports via the Iraq-Türkiye Pipeline so that volumes can be quickly ramped up to attain full well capacity. 

Well workover is currently underway to bring back two wells online, which in turn, will result in increased production rates by early 2026. A three-week shutdown is also in plans next year to ensure safety upgrades at PF-2, with equipment tie-ins to be conducted as well. Engineering design work is on track for the installation of PF-2 water handling in 2027. 

Jon Harris, Gulf Keystone’s chief executive officer, said, "2025 has been a milestone year for the Company after pipeline exports from the Shaikan Field were successfully restarted in September following a hiatus of over two and a half years. Liftings allocated to Gulf Keystone and other IOCs commenced in November and we are pleased to have recently received our first payment. The process as outlined in the interim exports agreements is working and we look forward to a return to full PSC entitlement at international prices following the international independent consultant’s review.

"We are on track to meet our production, capital and cost guidance for 2025. Strong operational and financial performance in the year has enabled us to safely advance key projects while distributing US$50mn of dividends to shareholders. Cumulative production from the Shaikan Field recently surpassed 150 million barrels, underlining the scale and quality of the asset. Looking ahead to 2026, we are expecting a base work programme focused on the progression of current projects. We are also embedding optionality to restart drilling and review disciplined field development, contingent on consistent exports payments at international prices. We are excited about a potentially transformational year for the company and remain focused on executing for our shareholders."