Department of Justice and Securities and Exchange Commission Deferred Prosecution Agreement July 7, 2010

Snamprogetti Netherlands, B.V. (Snamprogetti), a Dutch construction and engineering company, agreed to pay a $240 million criminal penalty to resolve FCPA charges for its role in a ten-year bribery scheme to secure contracts from Nigerian government officials worth over $6 billion. The two-count information charged Snamprogetti with one count of conspiracy and one count of violating the FCPA. Snamprogetti, Technip S.A., Kellogg Brown & Root, Inc. (KBR), and one other company were part of a joint venture that was awarded four contracts by Nigeria LNG Ltd. (NLNG), of which the government-owned Nigerian National Petroleum Corporation was the largest shareholder. These contracts, signed between 1995 and 2004, entailed building facilities on Bonny Island. According to court documents, Snamprogetti authorized the joint venture to hire two agents, including a Japanese trading company, to pay bribes to Nigerian government officials to assist in securing the contracts. The joint venture paid more than $180 million to its agents during the course of the bribery scheme, intending at least some of this money to be used for bribing Nigerian officials.  

The deferred prosecution agreement defers prosecution of Snamprogetti for two years. Snamprogetti, its current parent company, Saipem S.p.A., and its former parent company, ENI S.p.A. (ENI), agreed to ensure their compliance programs satisfied certain standards and to cooperate in ongoing investigations. In the settlement of related SEC charges for violations of the FCPA’s booksand- records and internal controls provisions, Snamprogetti and ENI will jointly pay $125 million in disgorgement and consented to an injunction from future violations, without admitting or denying the SEC’s allegations.