Indian engineering and fabrication player Larsen & Toubro (L&T) has revealed it has won two “significant” engineering, procurement, construction, installation and commissioning offshore contracts for a “prestigious” international client.
L&T did not name the client or the projects involved, but Upstream understands that they confirm our recent report that a grouping of L&T with Subsea 7 was awarded two Saudi Aramco contracts as a part of the Saudi company’s lucrative Long-Term Agreement (LTA) programme with offshore contractors.
L&T termed the contracts as “significant”, which is how it describes contracts valued between $133 million and $332 million and said that the workscope comprises “engineering, procurement, construction, installation and commissioning for the expansion of a marine terminal and replacement of electrical switchgear and protection equipment at existing facilities”.
The two Aramco contracts are described as contract release purchase order (CRPO) 76 and CRPO 78, with the latter being more sizeable in terms of value, several industry sources told Upstream.
CRPO 76 involves work on electrical protection equipment on some offshore facilities, while CRPO 78 is aimed at expanding Aramco’s Ju’aymah natural gas-to-liquids plant, project watchers said.
The CRPO 78 workscope includes one new piled steel platform with NGL offloading facilities for a single tanker and provisions for potential future additional platforms and facilities.
It also comprises work on a new NGL carrier berth to accommodate tankers of between 25,000 and 60,000 deadweight tonnes, one project watcher added.
Aramco is expected to spend between $1.5 billion and $2 billion this year on offshore maintenance projects as a part of its LTA, on the back of higher oil prices.