L&T awards US$ 75 million contract
Larsen & Toubro Limited (L&T) has announced in Chennai the award of critical Phase 1 installation works with an estimated value of US$75 million for ONGC’s prestigious MHN project to Offshore International FZC, a joint venture formed between L&T and SapuraCrest Petroleum Berhad of Malaysia. The equity of the JV is held 60% by L&T and 40% by SapuraCrest Petroleum.
The JV between L&T and SapuraCrest Petroleum was formed in September 2007 to build, own and operate LTS 3000, a derrick lay vessel to undertake installation of platforms and pipelines in offshore India, Middle East and south East Asia. The construction of the LTS 3000 is completed, and she is expected undergo sea trials at the end of January 2010, and delivery to the Owners is expected to take place during mid February 2010.
Work under the MHN project will commence around mid November 2010, and involves the installation of 4 Jackets and associated structures. The entire work scope is to be performed by the LTS 3000, and is scheduled to be completed by end of January 2011.
While the LTS 3000 is scheduled to undertake installation of the structures under the MHN project for ONGC, starting mid November 2010, the vessel is expected to first go to work in Malaysian waters starting mid March 2010.
The commencement of operations of the LTS 3000 will allow the companies a better address the growing demand for oil and gas engineering procurement, installation, construction and services. The 160 metre vessel is capable of lifting heavy loads of up to 3000 tons and lay pipelines up to 60” diameter. She will provide offshore installation services including subsea pipe lay and platform installation opportunities across India, the Middle East, South East Asia, Australia and the Sakhalin region.