The Hydrocarbon-Onshore division of Larsen & Toubro’s Energy Business has won an engineering, procurement, construction, and commissioning (EPCC) contract from Indian Oil Corporation Limited (IOCL).
L&T considers the contract to be large, which it defines to be in the range between $312.95 and $625.90m (Rs25bn and Rs50bn).
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As per the EPCC contract, L&T is required to establish a Residue Hydrocracker Unit (RHCU) for the Panipat Refinery Expansion (P-25) project being undertaken by IOCL.
ICOL expects the P-25 project to increase refining capacity from 15 MMTPA to 25 MMTPA to meet the growing demand for petroleum products as well as to boost its profitability and competitiveness in the long term.
RHCU has been licensed by Axens (France) and has a capacity of 2.5 MMTPA.
It will enhance the Vacuum Residue (VR) for high-value commercial products, mostly diesel.
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By GlobalDataThe contract has been awarded through international competitive bidding on a lump sum turnkey (LSTK) basis.
L&T (Energy) whole-time director and senior executive vice president Subramanian Sarma said, “We are very delighted to be part of this large expansion project of IOCL-Panipat. I would like to thank IOCL for having trust in our capabilities. We are fully committed to delivering the complex process units with high standards of HSE and Quality.”
Previously, L&T won an EPCC contract for establishing DHDT Unit, with 5 MMTPA capacity and licensed by Shell, under the same P-25 project of IOCL at Panipat-Refinery.
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Image: L&T is required to establish a Residue Hydrocracker Unit (RHCU) for the Panipat Refinery Expansion (P-25) project being undertaken by IOCL. Credit: David Mark from Pixabay.
