6.2 billion NOK in export contracts to Saipem - funded by GIEK and Export Credit Norway

The Italian drilling and E&C company Saipem has agreed a new credit facility for the purchase of Norwegian offshore technology for up to EUR 667 million (6.2 billion NOK). The purchases will be financed with EUR 554 million (5.2 billion NOK) in loan guarantees, primarily from The Norwegian Export Credit Guarantee Agency GIEK, linked to debt financing from Export Credit Norway AS and banks.


The agreements provide predictable funding to Saipem based on the purchase of Norwegian goods and services throughout 2017. Purchases made in 2014 and 2015 are also covered by the agreements.

Saipem was recently spun off from the energy company ENI and supplies drilling, engineering and construction services. Saipem is EPCI provider (engineering, procurement, construction and installation) of pipelines and complex projects, both offshore and onshore. The company specializes in field developments in harsh environments and in deep water.
The credit facility is 90 percent guaranteed by GIEK and funded mainly by the Export Credit Norway and Citi. Citi is also acting as facility agent.

- The market for Norwegian suppliers of offshore oil and gas technology is still difficult. Now, government loan guarantees from GIEK are helping to connect Norwegian suppliers, foreign buyers and private and public capital, securing important exports. Such framework agreements meet market demand and fulfill GIEK's mandate, says CEO Ms. Wenche Nistad at the Norwegian Export Credit Guarantee Agency (GIEK).

- Saipem is a major international buyer of Norwegian subsea technology. The company demands high quality technology and predictable deliveries. In addition, we offer competitive financing. This agreement is a good example of how Norwegian exporters can use the export credit scheme to their advantage, says acting CEO Mr. Olav E. Rygg in Export Credit Norway AS.

- International oil companies are experiencing a difficult lending market due to lower ratings after the oil price drop. In this situation, GIEK loan guarantees and Export Credit Norway's debt financing have become even more important for these companies than before, says Mr. Rygg and Ms. Nistad.

Photo: Saipem