Larsen & Toubro (L&T) said that the hydrocarbon-onshore segment of its energy business has won a contract from Indian Oil Corporation (IOCL) pertaining to the Panipat Refinery Expansion Project (P-25 project).

The company has been awarded an engineering, procurement, construction, and commissioning (EPCC) contract from IOCL for installing a residue hydrocracker unit (RHCU) for the Panipat Refinery Expansion Project.

Larsen & Toubro did not reveal the exact value of the contract but indicated it to be in the range of INR 2,500-5,000 crores.

IOCL is taking up the Panipat Refinery Expansion Project (P-25) to ramp up refining capacity to 25MMTPA from 15MMTPA. The expanded capacity is expected to help IOCL meet the increase in demand for petroleum products as well as boost its profitability and competitiveness in the future.

According to Larsen & Toubro, the residue hydrocracker unit for the Panipat refinery is licensed by Axens (France). It will have a capacity of 2.5MMTPA and will have its vacuum residue (VR) upgraded to high-value commercial products, primarily diesel.

The contract was won via international competitive bidding on a lump sum turnkey (LSTK) basis, said Larsen & Toubro.

Previously, Larsen & Toubro won an EPCC contract for installing a DHDT Unit of 5MMTPA, licensed by Shell under the same P-25 Project.

Subramanian Sarma — Larsen & Toubro Whole-time Director and Sr. Executive Vice President (Energy) said: “We are very delighted to be part of this large expansion project of IOCL-Panipat. I would like to thank IOCL for having trust in our capabilities. We are fully committed to delivering the complex process units with high standards of HSE and Quality.”

  Axens, India, Indian Oil Corporation, IOCL, Larsen & Toubro, Panipat, Panipat Refinery, Subramanian Sarma