NEW DELHI: The hydrocarbon-onshore division of L&T’s energy business has secured a large contract from Indian Oil Corporation. According to the company, the contract is valued between Rs 2,500 and Rs 5,000 crore. The company said the contract is awarded through international competitive bidding on a lump sum turnkey (LSTK) basis.
“We are 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 health, safety, and the environment (HSE) and quality,” said Subramanian Sarma, whole-time Director and Sr. executive vice president (energy).
IOCL is implementing the Panipat Refinery Expansion (P-25) project to enhance refining capacity from 15 MMTPA to 25 MMTPA to meet the growth in demand of petroleum products and to increase profitability and competitiveness in the long run.
The engineering, procurement, construction, and commissioning (EPCC) contract is for setting up a residue hydrocracker unit (RHCU) for this P-25 project. The RHCU is licensed by Axens (France) with a capacity of 2.5 MMTPA and will upgrade the vacuum residue (VR) to high-value commercial products (mainly diesel).