Foster Wheeler is PMC for Ennore LNG

Vol 16, PW 22 (30 May 13) News in Brief

Despite earlier doubts, IndianOil this month (May) hired UK-based Foster Wheeler as its Project Management Consultant (PMC) for the proposed 5m t/y Ennore LNG terminal.

When IOC opened price bids on November 12, 2012, Foster Wheeler was lowest bidder quoting $10.7m against Spain’s Gas Natural Fenosa quoting $13.5m. But IOC hesitated to award the contract for six months because of doubts over Foster Wheeler's performance as a consultant on the construction of the Paradip refinery in Orissa.

IOC blames delay in commissioning Paradip on Foster Wheeler, saying it took too long to carry out detailed engineering and to line up EPC contractors. IOC says it chose Foster Wheeler as the Ennore PMC because of its low price bid.

"Gas Natural Fenosa's bid is more than 30% higher than Foster Wheeler's," says an IOC source. Foster Wheeler will prepare EPC tenders, invite bids and supervise the project.

IOC wants to commission Ennore by 2016.