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Oman: PDO hands $370m deal to L&T India subsidiary

L&T Hydrocarbon Engineering will carry out EPC works for the second phases of PDO's Saih Nihaydah and Kauther depletion compression projects

L&T's subsidiary has been awarded two Oman deals. [Representational image]
L&T's subsidiary has been awarded two Oman deals. [Representational image]

L&T Hydrocarbon Engineering (LTHE), a subsidiary of Indian construction giant Larsen and Toubro, has won two orders, worth $370m (OMR142.2m) from Petroleum Development Oman (PDO). 

The first of these is an engineering, procurement, and construction (EPC) deal for the Saih Nihaydah Depletion Compression Phase 2 (SNDC2) project.

An EPC deal has also been awarded for phase two of the Kauther Depletion Compression (KDC2) project.

Saih Nihaydah field is located in the central Oman area. 

The field has thus far been in production through the Saih Nihaydah Gas Plant (SNGP), which was commissioned in 2005. 

Kauther Gas Plant (KGP) is located approximately 120km from Saih Rawl-CPP, Oman.

LTHE said these projects are being implemented by PDO in order to overcome pressure depletion and maintain potential in order to sustain production. 

The company has previously carried out three projects for PDO, which include the $150m Lekhwair Gas Field Development project, the $235m Saih Rawl Depletion Compression project, and the $240m Yibal Third Stage Depletion Compression development, it said in a filing to the Mumbai bourse. 

PDO is owned by the Government of Oman (which has a 60% interest), Royal Dutch Shell (34%), Total (4%) and Partex (2%).  

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Construction Week - Issue 758
Feb 08, 2020