ONGC issues Tapti-Daman LoA to Swiber

Vol 18, PW 12 (12 Feb 15) News in Brief
     

Singapore-based Swiber has received the LoA for ONGC’s offshore Tapti-Daman gasfield development project.

An industry source says Swiber was issued the LoA on February 10. When ONGC opened price bids on February 3, Swiber quoted $308m, followed by L&T at $449m, McDermott at $458m and Kencana at $512m.

ONGC’s own estimate was $373m. Some suggest Swiber’s low quote reflects its desperation to fill up an empty order book in India.

ONGC is not discouraged about receiving just four bids. “AFCONS didn’t bid as they focus on process platforms,” says ONGC.

“NPCC was uninterested as they have a Middle East order for 34 platforms.” At Tapti-Daman, Swiber must construct and install seven unmanned wellhead platforms, one riser platform and lay 95-km of subsea pipelines by March 2017.

Meanwhile on February 10, ONGC re-opened the sale of tenders for the offshore Mumbai BCPA-3 and C-26 development projects and set February 20 as the new bid deadline.