Over-stretched Swiber ignores LEWPP-1 tender

Vol 19, PW 5 (05 Nov 15) Exploration & Production
     

Front-runner Swiber has stayed away from ONGC’s re-issued tender to revamp old unmanned platforms in the Mumbai High, earlier known as RUMP-1, but today known as LEWPP-1 or Life Extension Well Platforms Project-1.

On October 30 ONGC received bids from AFCONS and partner Halani Shipping; SapuraKencana with Hind Offshore; and Larsen & Toubro with GOL Offshore and Dolphin Offshore. In September we reported that Swiber or SapuraKencana were favourite to win this job because they own barges and have in-house repair and revamp capability.

“Sapura is keen to expand its presence in India through ONGC projects,” we hear. “In June it won the MHSRD-III project and is competing for several others.

” Why is Swiber absent from this tender? Swiber was unavailable for comment but analysts speculate the company is over-stretched, with several ONGC projects already in hand: the Daman field development, PRP-IV and the C-26 pipeline. Swiber has also been tasked by ONGC to complete work left unfinished by Punj Lloyd such as the B-127 and WO-16 pipeline installation jobs.

“Swiber most likely doesn't have spare barges for more ONGC assignments,” guesses a source. LEWPP-1 has received a weaker response than the original RUMP-1 (Revamp of Unmanned Platforms-1) tender where ONGC received five bids by December 26, 2013 but later scrapped the tender in a knee-jerk reaction to falling oil prices.

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