Kalpataru Power Transmission received LoI by Aramco to carry out EPC works for third phase expansion of Master Gas System worth USD 10 billion
Mar 14, 2024
Real estate major Kalpataru Projects International Limited (KPIL) has bagged a major order from energy giant Aramco for laying more than 800 kilometres of gas pipeline in Saudi Arabia under the third phase expansion of the Master Gas System (MGS-3) worth USD 10 billion.
A statement issued by KPIL said that it has received the letter of intent (LoI) from Aramco for carrying out the engineering, procurement and construction (EPC) works for MGS-3 in Saudi Arabia.
The scope of EPC work involved laying more than 800 km of lateral gas pipelines, with the value of the contract for three packages to be confirmed upon execution, it added.
The EPC works on the USD 10 billion project have been divided into 17 packages. While the first two packages will focus on upgrading existing gas compression systems and installing new compressors, the remaining 15 will concentrate on laying gas pipelines in the kingdom.
Out of these, Packages number 13, 15 and 17 have been awarded to Kalpataru Power Transmission (part of KPIL).
Under Package 13, KPIL will lay 470 km lateral pipelines in the Riyadh cluster having diameter of 16, 12, 10 and 4 inches. Package 15 requires laying of 192 km lateral pipelines of diameter 20, 16, 12 and 4 inches from Yanbu to Rabigh. Under Package 17, KPIL will lay 169 km lateral pipelines in the Jizan cluster having diameter of 30 and 16 inches.
Expressing his happiness and pride over the order, KPIL MD and CEO Manish Mohnot said the development represented a significant milestone and reaffirmed the global acknowledgement of KPIL’s capabilities. He said the company has been focussing on strengthening its presence in the oil and gas market in the Middle East region over the past few years.
The ‘sizable’ EPC order would further serve as a resounding testament to the company’s commitment to strengthen their presence across the value chain in the global oil and gas EPC business. Moreover, it would strengthen the KPIL’s order book profile and put the company’s oil & gas business on a robust growth trajectory going forward, added Mr. Mohnot.
He said KPIL, having around two decades of experience in cross-country pipelines and other related infrastructure, had commissioned more than 10,000 km of pipelines in the oil, gas and water sectors.
