Larsen & Toubro Ltd.

L&T Hydrocarbon Engineering (LTHE), a fully owned subsidiary of Larsen & Toubro (L&T), in consortium with McDermott has bagged an offshore contract from Oil & Natural Gas Corporation (ONGC) valued at Rs 2450 crore for the development of its Vashishta and S1 deepwater fields situated off the East Coast of India. LTHE’s share in the consortium is Rs 640 crore.

The prestigious contract has been won against competitive international bidding, and encompasses complete ‘EPCI’ work - engineering, procurement, construction and installation of major subsea facilities in ONGC’s Deepwater fields. The full scope of the contract includes the supply and installation of subsea structures at seabed in water depths ranging from 200 metres to 700 metres and subsea pipelines interconnecting subsea wells to ONGC’s onshore facilities at Odalarevu in Andhra Pradesh. The project is part of ONGC’s strategy to monetize its Deepwater Oil & Gas fields on the East Coast. Upon final commissioning, the facilities will add about 4.55 MMSCM of hydrocarbon gas per day to India's domestic gas production.

The consortium developed a cost-effective solution which included utilization of LTHE’s strategically located Kattupalli facility in Chennal for fabrication and setting up of a local spoolbase in India and schedule improvements using a combination of reel lay and S lay methods for laying of subsea pipelines by McDermott.