Sagar Laxmi $80m award extended

Vol 16, PW 8 (01 Nov 12) News in Brief

Mobile Offshore Production Unit (MOPU) Sagar Laxmi’s name invokes the Hindu goddess of wealth ‘Laxmi’.

And ONGC’s estimated $80m tender to upgrade the MOPU certainly has the potential to make some contractor immensely wealthy. Sadly there seems to be nothing sacred about its contract award deadlines.

“We submitted bids on August 24 but are still waiting for queries,” says an anxious contractor. ONGC, he adds, faxed a letter to all six bidders on October 23, extending the expected award date from October 25 to November 15.

Pipavav Defence and Offshore, Kochi Shipyard, AFCONS with Western India Shipyard, Essar with Singapore’s Sembawang and Chinese companies Daeyang and Dalian with US-based Triune consented to the extension on October 24. Larsen & Toubro agreed on October 26.

Unconfirmed rumours say ONGC is delaying the award because it is uncertain about Essar’s bid. ONGC wants Laxmi upgraded by March 2014.