BHEL wins IOCL contract for sulphur recovery unit at Paradip Refinery

Bharat Heavy Electricals Limited (BHEL) has won an INR4 billion ($54 million) order from Indian Oil Corporation Limited (IOCL) for delivering a sulphur recovery unit for the Paradip Refinery in Odisha.

The lump-sum turnkey (LSTK) contract enables BHEL to foray into the downstream oil and gas process package business. The sulphur recovery unit to be established by the Indian state-owned company will have a capacity of 525 TPD.

BHEL stated: “Notably, the company’s diversification strategy into non-coal based business areas has begun paying dividends and this is a milestone order for BHEL as part of its new growth areas initiative. With the execution of this order, BHEL will establish itself as an LSTK player for process packages in the downstream oil & gas sector.”

BHEL wins IOCL contract for sulphur recovery unit at Paradip Refinery. Photo courtesy of SatyaPrem from Pixabay.

Under the scope in the contract, BHEL will handle project management, detailed engineering, residual process design, procurement, manufacturing, delivery, testing, installation, construction, commissioning, and performance guarantee test run of the sulphur recovery unit at the Paradip Refinery.

The project is slated to be completed in 25 months.