Indian engineering and construction giant Larsen & Toubro (L&T) announced on Monday that its shares gained following the securing of a significant 'ultra-mega' contract in the Middle East. The project, valued at over ₹15,000 crore (approximately $1.8 billion USD), involves the development of gas compression facilities for a client in the region.
Project Scope and Scale
The contract was awarded to L&T Energy Hydrocarbon Onshore (LTEH Onshore), a subsidiary specializing in hydrocarbon sector solutions. The scope of work encompasses the comprehensive engineering, procurement, and construction (EPC) of new onshore gas compression plants. These facilities are designed to process sour gas, adhering strictly to the client's stringent standards and project requirements.
Key components of the project include:
- Gas inlet facilities
- Advanced gas compression systems
- Condensate and produced water handling systems
- Propane refrigeration systems
- All necessary associated utilities
Integrated Solutions and Expertise
Beyond the core gas compression plants, L&T's Power Transmission & Distribution business will also play a crucial role. This division is tasked with executing the construction of two 230 kV extra-high-voltage substations, essential for meeting the power demands of the new gas compression facilities.
E S Sathyanarayanan, Senior Vice President & Head of L&T Energy Hydrocarbon Onshore, commented on the strategic importance of the deal: “The contract marks the start of a strategically important project that will add significant gas compression capacity and utility infrastructure.”
L&T emphasized that this Middle East gas project leverages its extensive experience in delivering large and complex hydrocarbon facilities. The company highlighted its proven capability to provide integrated solutions for challenging applications, such as sour gas processing, reinforcing its position as a global leader in the EPC sector.
LTEH Onshore is recognized as one of India’s largest EPC businesses, known for delivering Lump Sum Turnkey solutions across upstream, midstream, and downstream hydrocarbon sectors. Its track record includes successful projects in refinery expansions, petrochemical complexes, gas processing plants, LNG terminals, and cross-country pipelines across various geographies.