Mouth-watering EPC contracts imminent at IOC

Vol 20, PW 10 (09 Feb 17) Midstream & Downstream

IndianOil is expected to receive bids by March 21 to set up a Rs400cr ($59m) facility to remove sulphur from diesel produced at its Haldia refinery in West Bengal.

IOC and project consultant Engineers India invited offers on February 6 and will sell tender documents until March 20. It will begin accepting bids from March 14 for the 1.2m t/y diesel hydrotreater at the 7.5m t/y refinery.

Interested contractors include Technip, L&T, Punj Lloyd, ThyssenKrupp Industrial Solutions, Tecnimont, Heurtey Petrochem, Essar Projects and Howe Engineering. This is the first of several IOC refinery EPC projects in the market.

Next, five companies are competing for the EPC plus technology provider contract for a 44,000 t/y facility to generate hydrogen from raw naphtha for an estimated Rs600cr ($89m) contract at IOC's 15m t/y refinery at Panipat. By January 20, L&T, Technip, ThyssenKrupp, Linde and Heurtey had all bid.

Technip, ThyssenKrupp and Linde are the main contenders as all three have in-house hydrogen generating technology unlike L&T and Heurtey who have separately partnered Denmark's Haldor Topsoe. This will drive up costs.

At the 8m t/y Mathura refinery in Uttar Pradesh, IOC wants a project consultant to oversee EPC work for a facility to extract high-end products like diesel and LPG from refinery residue. By January 9, ThyssenKrupp, Toyo Engineering, Technip and Nagpur-based newcomer Indo Engineering had bid.

LNG Summit