Eni has signed a 15-month contract with Sapiem for an offshore drilling campaign in Mozambique, utilizing the drill-ship Saipem 12000, Offshore Energy Today reported.

According to LNG World News, the contract is expected to commence by mid-2019, including extension options of maximum 45 months, follows Eni’s sanctioning of the Coral South FLNG project.

Eni has set the wheels in motion for the development of the Coral South floating liquefied natural gas (FLNG) that will see the project partners developing gas resources discovered by Eni in Area 4 of the Rovuma Basin.

The FLNG unit will have a capacity of around 3.4m tons per year, with BP contracting the entire volumes of LNG produced by the Coral South project for a period of over twenty years.

In addition to this contract, which will allows Saipem to participate in the development of the Coral field, the company has been awarded additional offshore drilling contracts totaling $230m.

Additional contracts include the drilling of two wells offshore Cyprus, using the Saipem 12000 and commence in the fourth quarter of 2017.

“These awards attest to Saipem’s consolidation in the area of the Mediterranean where the drill-ship Saipem 10000 is already active. They also reinforce the company’s presence in a market of particular interest where important discoveries have recently been made,” Saipem said.