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L&T Electromech bags $235m PDO gas work.

Muscat: Larsen & Toubro (L&T) Electromech, a joint venture between India's Larsen & Toubro and the Zubair Corporation, has bagged a $235 million-EPCC contract to build Saih Rawl Depletion Compression project (phase II) for Petroleum Development Oman (PDO).

The scope of work involves engineering, procurement, construction and commissioning (EPCC) of gas depletion compression project for controlling the temperature and pressure before supplying gas to end users.

A source at the L&T Electromech said construction of the project will be carried out by L&T Electromech, while engineering and procurement will be done by L&T India. "It is backed by L&T India," added the source.

The contract was bagged amid stiff competition from eight other international bidders - G S Engineering, Petrofac, ABB, Samsung, S. K. Engineering, T. R. Engineering, Hyundai Engineering and Saipem Engineering. L&T was the lowest bidder of the project.

The Saih Rawl Depletion Compression project's second phase, which will be completed within 32 months, will substantially enhance the capacity of gas supplied to end-users. The first phase of the gas compression plant was commissioned early this year.

L&T India will bring four compressors for implementing the project.

Discovered in 1991, Saih Rawl is the largest gas field in the country. Gas and condensates from the Saih Rawl field are collected and processed at Saih Rawl Central Processing Plant where the depletion compression is located. The treated gas is then transported to key customers such as Oman Liquefied Natural Gas (OLNG), Qalhat LNG, power plants and desalination units, Oman India Fertiliser Company, Sur light industrial area and South Oman Gas Line via a pipeline known as the Interconnector.

L&T Eletromech, which is focusing on oil and gas and power projects in Oman, is also implementing a gas processing plant in Laikhwair for Petroleum Development Oman. The green field project, which is estimated to cost $150 million, is for treating an average of 3 MMSCMD of natural gas. "The work is progressing and the project is expected to be completed by September next year," the source said, adding; "We have experience in building similar plants in several countries."

L&T Electromech last month completed Sohar oiltaking facility, which was implemented in six different phase.

India's L&T has worked for establishing onshore gas processing complexes for Reliance Industries Limited and Cairn Energy.

at Barmer and is presently executing two gas treatment projects for ONGC at Uran and Hazira.

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Publication:Times of Oman (Muscat, Oman)
Geographic Code:9INDI
Date:Aug 28, 2012
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