Ramunia wins $683m contract for ONGC

Vol 11, PW 18 (24 Jan 08) News in Brief

Ramunia of Malaysia is set to sign its first-ever direct EPC contract with ONGC.

PETROWATCH learns Ramunia emerged the lowest bidder when price bids were opened on (Saturday) January 19 in Mumbai for ONGC’s contract to construct the B-193 well cum process platform, gas compression and power generation facilities as well as modifications required on the 100-km existing pipeline, all in the Mumbai Offshore. We hear Ramunia quoted $683m, well within ONGC’s budget of around $700m for the project.

Next came Larsen & Toubro at $980m and last was Punj Lloyd, which quoted $1.4bn – more than double the winning bid. ONGC’s executive purchase committee has cleared the award of the contract to Ramunia and a LoI will be issued soon.

ONGC wants the project commissioned before the monsoon in 2010. Separately, on February 3, the Mumbai High Court will hear a petition by Ramunia against its disqualification for ONGC’s B-22 contract.