Larsen & Toubro has secured an ultra mega order in the Middle East for the development of numerous offshore facilities. The order has been bagged by L&T Energy Hydrocarbon Offshore (LTEH Offshore) and is valued at more than Rs 15,000 crore.
L&T: Order details
Under the scope of work, LTEH Offshore will carry out the engineering, procurement, construction, installation, and commissioning work for Middle East offshore facilities. “A significant portion of the fabrication activities will be carried out at L&T’s integrated, world-class manufacturing and fabrication facilities,” the company said in its regulatory filing.
Citing confidence in the order win, the conglomerate said that the contract reinforces LTEH Offshore’s presence in the Middle East and reflects customers’ confidence in the group’s ability to execute large offshore projects.
LTEH said they have delivered challenging offshore projects in Middle East previously as well, and over the past four decades have carried out a different range of offshore contracts.
“Over the past four decades, the business has successfully executed a wide range of offshore projects, including fixed platforms, subsea pipelines and structures, brownfield upgrades and modifications, deep water subsea structures and pipelines, and decommissioning programmes across global markets,” it added in its filing.
L&T management commentary
Commenting on the development, T Madhava Das, Whole-time Director, Senior Executive Vice President & Head – Energy Hydrocarbon Division, Larsen & Toubro, said: “The order represents one of the most significant offshore developments currently underway in the Middle East and underscores the growing investments being made to meet future energy demand.”
He added, “The scale and complexity of the project call for deep engineering expertise, integrated project execution capabilities, and flawless coordination across multiple workstreams. We are proud to contribute to the development of critical energy infrastructure that will support the region’s long-term growth ambitions”.
Speaking on the same, Parthasarathi Chatterjee, Senior Vice President & Head – L&T Energy Hydrocarbon Offshore, said: “With multiple offshore facilities, subsea infrastructure and substantial fabrication requirements, this project exemplifies the scale and complexity of offshore developments that LTEH Offshore is uniquely positioned to deliver.”
L&T share price
L&T’s stock ended Monday’s trade on the NSE at Rs 4,096.70, up nearly 1% from its previous close. Over the past one month, its share price has increased by 7%, while over the past six months it has declined by around 3%.