Saipem Continues Operational Activities for South Stream Project

Eni’s subsidiary Saipem said it did not receive any formal confirmation of Moscow’s intention to stop the South Stream project, adding that works continue as schedule.

‘Saipem states that it has not received any formal notice of termination of the contract from the client, South Stream Transport BV’ the company wrote on Tuesday.  

While Saipem’s shares registered a 8,62% decrease on Tuesday, the service company in charge of building the offshore pipeline has said that the cancellation of the project would be subject to the terms of the contract. 

‘Operational activities therefore continue to progress.’ 

Russia’s President Vladimir Putin said on Monday that the project will be dropped. 

“We will not implement anything. Though the company that was supposed to build it is ready to start works already today, or even yesterday, and everything is ready for it” he said during a joint press conference with Turkey’s President Tayyip Erdogan.