Leighton wins ONGC pipeline contract

Vol 11, PW 22 (20 Mar 08) News in Brief

Leighton Contractors of Australia has emerged lowest bidder for ONGC’s western offshore Pipeline Replacement Project, Phase-II.

Seven bids were opened in Mumbai on March 8. Punj Lloyd was technically disqualified for lacking relevant experience.

Sydney-based Leighton Contractors quoted $715m while another Australian company: Global, came second with $795m. Larsen & Toubro was third quoting $890m.

Leighton should get the contract, even though ONGC estimates this project should cost $640m. ONGC wants 200-km of pipelines replaced by end-2010.

Leighton is currently implementing several high profile projects in India, notably the new, 50-storey ultra-modern personal residence of Reliance boss Mukesh Ambani in the upmarket Malabar Hill area of South Mumbai. Leighton is also the contractor for Reliance’s new refinery and â€کcorporate park’ – both at Jamnagar.

In addition, Leighton is sub-contractor for the revamp and upgrade of the now private Mumbai airport and is laying a 72-km road from Indore to Khalaghat.