Italy's Saipem and Turkey's Rönesans signed a joint venture (JV) agreement for infrastructure construction for the Arctic LNG-2 project, Saipem announced yesterday.

The company said the contract is worth 2.2 billion euros. Both Saipem and Rönesans will hold a 50 percent share in the JV to construct the Arctic LNG-2 project.

At the 22nd St. Petersburg International Economic Forum in May 2018 in the presence Russian President Vladimir Putin and French President Emmanuel Macron, the chairman of the management board of Novatek, Leonid Mikhelson, and Total Chairman and CEO Patrick Pouyanne, signed a binding agreement on the terms to enter the Arctic LNG-2 project.

The project, estimated to cost $25.5 billion, targets producing 20 million tons of liquefied natural gas (LNG) from 2022.