Home Economy L&T wins Rajasthan oil and gas pipelines contract

L&T wins Rajasthan oil and gas pipelines contract

By IANS

Mumbai : Engineering and construction major Larsen and Toubro Ltd (L&T) has bagged a multi-million dollar contract from petroleum firm Cairn India to build crude oil and gas pipelines from Barmer in Rajasthan to Salaya in Gujarat, a distance of over 600 km.

The project will be commissioned by June 2009.

“The order was secured by L&T against stiff competition to build the unique mega pipeline of this kind for the first time in India,” said K. Venkataramanan, president of engineering and construction projects and board member of L&T.

“Our technical expertise in engineering and construction and a dedicated team will enable us to deliver the job on time,” he told IANS.

However, he declined to comment on the exact value of the deal.

The work involves the laying of a cross-country insulated pipeline to transport crude oil from Mangala terminal in Barmer to Salaya oil export terminal near Jamnagar.

The company will also lay a pipeline to carry natural gas from Raageshwari fields near the Mangala terminal to Salaya.

The second pipeline will have 32 gas generators en route, which will primarily produce electricity.

L&T Gulf, a joint venture between L&T and Gulf Interstate of the US, will provide engineering services for the cross-country pipelines and intermediate facilities for this project.

Cairn has a resource base of 3.6 billion barrels of oil equivalent in place in Rajasthan.