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Larsen and Toubro (L&T) has won an engineering, procurement and construction contract valued at Rs 1,500 crore from exploration and production company Petroleum Development Oman LLC (PDO).
The order is for the Yibal third-stage depletion compression project at the Yibal-Natih gas reservoir in Oman, which has recoverable reserves estimated at 90%. The project is scheduled to be completed in 39 months.
PDO, which accounts for more than 70% of the country’s crude-oil production and nearly all of its natural gas supply, is owned by the Oman government (which has 60% interest), Royal Dutch Shell (34%), Total (4%) and Partex (2%).
L&T, which is currently executing two projects – the Lekhwair Gas Field Development Project and the Saih Rawl Depletion Compression Project for PDO, said in a filing to the BSE on Tuesday that with significant potential for natural gas market in the Gulf, this order was strategic and reflected its capability to execute such projects in a competitive environment.
