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PDO Awards Larsen & Toubro $150m EPC Gas Contract

Source: 9/22/2011, Location: Middle East

L&T Hydrocarbon has achieved a major breakthrough in the GCC region by bagging a project order valued around `700 Crore (around USD 150 Million) from the Petroleum Development Oman LLC (PDO). The order is for setting up a green field project planned to treat an average of 3 MMSCMD of gas.

The concept for the Lekhwair Gas Field development project is a single train gas plant in the Lekhwair gas plant for exporting treated gas (CO2 removed and dehydrated gas) to the Government Gas Plant in Yibal and unsterilized condensate and water to the existing Lekhwair Production Station. Lekhwair is located approximately 110 km from the Yibal Government Gas Plant and its associated network.

The Project includes Main Gas Treatment plant consisting of Gas Desulfurisation and Gas Dehydration Units with required utilities and supporting facilities as well as Flow Lines Well pad piping, Remote Manifold Station, Liquid and Gas export pipelines.

The order was bagged by L&T Hydrocarbon’s Mid & Downstream Business segment against stiff competition from reputed international EPC bidders. The scope of the contract includes Project Management, Residual Basic Design, Planning & Monitoring, Residual Process Engineering, Detailed Engineering, Procurement, Supply, Fabrication, Manufacturing, Inspection, Transportation, Storage, Construction, Installation, Testing, Mechanical Completion, Pre-commissioning, Commissioning, Performance Guarantee run test.

In the past, L&T has worked for establishing Onshore Gas Processing complexes for Reliance Industries Limited at Kakinada, Cairn Energy at Barmer and is presently executing two Gas Treatment Projects for ONGC at Uran and Hazira. With significant growth potential in the Natural Gas market in the GCC region, this order is strategic from the point of view of L&T’s capability to execute such projects in the GCC region in an extremely competitive environment.

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