The Australian Competition and Consumer Commission has decided that Saipem S.p.A’s proposed merger with Subsea7 S.A requires an in-depth Phase 2 assessment.

The ACCC said the transaction could substantially lessen competition in the supply of certain subsea infrastructure services used in Australian offshore oil and gas projects.

Saipem and Subsea7 both provide engineering, construction and maintenance services to offshore oil and gas producers in Australia. The companies also supply design, engineering, procurement, fabrication and installation services for subsea infrastructure that connects subsea wells and production systems to surface facilities.

ACCC Commissioner Dr Philip Williams said the regulator would seek more information on the likely competitive effects of the proposed merger during the Phase 2 process.

The ACCC said it has not reached a final conclusion on the issues. It has invited submissions in response to its Phase 2 Notice by 21 July 2026.

Under the Competition and Consumer Act, a Phase 2 assessment can take up to 90 business days unless extended under specific circumstances.