LTHE-ECS JV Bags $1.6B EPCI Deal from Saudi Aramco for Hasbah Gas Project

India's Larsen & Toubro Ltd. reported Thursday that its subsidiary L&T Hydrocarbon Engineering (LTHE) has partnered EMAS CHIYODA Subsea (ECS) -- a 50:50 joint venture firm between Singapore's Ezra Holdings Ltd. and Japan's Chiyoda Corp. -- in securing a $1.6 billion engineering, procurement, construction and installation (EPCI) contract from Saudi Aramco for second phase development of the Hasbah gas field located offshore Saudi Arabia.

The EPCI contract covers two streams of three wellhead platform topsides, one tie-in platform with flare platforms and bridges tied together by 12.4 miles (20 kilometers) umbilicals and 15.5 miles (25 kilometers) of in-field pipelines. Other works include interconnections of  two 36-inch trunk lines to transport produced gas from the offshore field to Fadhili Gas Plant complete with 68.3 miles (110 kilometers) of fiber optic and power cables for power and communication network with the onshore facilities. Onshore facilities such as beach valve station, sectionalizing valve station, four scraper traps as well as the laying of 21.7 miles (35 kilometers) of fiber optic cable will also be carried out as part of the contract.

When the project is completed three and half years later, Saudi Aramco will be able to supply additional 2,500 million standard cubic feet per day of natural gas through the Fadhili Gas Plant to meet Saudi Arabia’s growing energy demand.

LHTE has a 60 percent share of the Saudi Aramco contract, with the remaining 40 percent going to ECS.

"We are dedicated to providing bespoke EPCI services in this region with our state-of-the art facilities and strong team delivering excellence in execution. We believe that this is the first of many successful results for our consortium and look forward to more accomplishments with our consortium partner EMAS CHIYODA Subsea under the long term agreement, which is for six years extendable by another six years,” Subramanian Sarma, managing director and CEO of LTHE said in the press release.

In a separate announcement Friday, Ezra CEO Lionel Lee said "EMAS CHIYODA Subsea will harness its engineering expertise and utilize its modern fleet of subsea construction vessels to work together with LTHE in the execution of offshore EPCI work in the Arabian Gulf.”

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