Saipem: A Return to Significant Onshore Projects in Saudi Arabia; €0.9bn in the Bag

Research evidence excerpt

Saipem: A Return to Significant Onshore Projects in Saudi Arabia; €0.9bn in the Bag

Update

June 10, 2026 10:14 PM GMT

Morgan Stanley & Co. International plc+MSaipem | Europe Guilherme Levy

Equity Analyst

A Return to Significant Onshore Guilherme.Levy@morganstanley.comMartijn Rats, CFA +44 20 7425-6616

Equity Analyst and Commodities Strategist

Martijn.Rats@morganstanley.com +44 20 7425-6618

Projects in Saudi Arabia; €0.9bn Alice Bergier Winograd

Alice.Winograd@morganstanley.com +44 20 7425-0174

in the Bag

Saipem (SPMI.MI, SPM IM)

What's new: Saipem has been awarded an onshore contract in Saudi Arabia covering Energy Services | Italy

the EPC activities for a new compression plant at the Uthmaniyah non-associated Stock Rating Overweight

Industry View In-Line

gas field. The contract has a duration of 42 months and was awarded to a Price target €4.90

Shr price, close (Jun 10, 2026) €4.43

partnership between Saipem and local contractor Nasser Saeed Al-Hajri and

52-Week Range €4.80-2.17

Partners Company for Contracting (NSH). Saipem’s share of the contract is Mkt cap, curr (mn) €8,831

Net debt (12/26e) (mn)* €(499)

€900mn. EV, curr (mn)* €8,854

Saipem has a long-standing track record in the Middle East onshore market. * = GAAP or approximated based on GAAP

However, in recent years, amid increased competition, the company had scaled back

its participation in new onshore projects in Saudi Arabia. Today’s announcement

marks Saipem’s first significant onshore award in the country since the 2022

developments.

Despite the challenging track record of recent years, the backdrop against which

Saipem is signing this contract appears much more supportive of protective terms

for contractors than it was in the pre-2022 period, from a macro, regional, and

company-specific perspective.