L&T Wins ₹15,000 Crore Middle East Gas Contract

Larsen & Toubro (L&T) has announced that it has secured a contract valued at over ₹15,000 crore for a Middle East project involving gas compression facilities and associated infrastructure. The project, awarded through a letter of award issued in FY26, will be executed by L&T Energy Hydrocarbon Onshore (LTEH Onshore) on an engineering, procurement and construction (EPC) basis.

The project involves developing new onshore facilities designed to process sour gas. The scope includes gas inlet facilities, compression systems, condensate and produced-water handling units, propane refrigeration systems and other supporting utilities.

L&T's Power Transmission & Distribution business will undertake additional work under the project, including the construction of two 230 kV extra-high-voltage substations to meet the electricity requirements of the gas compression facilities.

According to E S Sathyanarayanan, Senior Vice President and Head of L&T Energy Hydrocarbon Onshore, the project would add substantial gas compression capacity and utility infrastructure while drawing on the company's experience in executing complex hydrocarbon projects, particularly those involving sour gas.

LTEH Onshore is among L&T's major EPC businesses and provides turnkey solutions across the upstream, midstream and downstream segments of the hydrocarbon industry. Its project portfolio includes refinery expansions, petrochemical facilities, gas processing plants, fertiliser units, LNG terminals and cross-country pipelines across multiple markets.

The latest contract brings together L&T's hydrocarbon engineering expertise with its power transmission capabilities, allowing the group to execute both the core gas-processing infrastructure and the high-voltage power systems required for the project.

L&T categorises orders exceeding ₹15,000 crore as ultra-mega contracts. The company has not disclosed the exact value of the contract or identified the Middle East-based client.

This contract is a significant win for L&T, demonstrating its capabilities in executing large-scale hydrocarbon projects. The project will add substantial gas compression capacity and utility infrastructure, supporting the growth of the energy sector in the Middle East.

The contract also highlights L&T's ability to integrate its various business segments, including hydrocarbon engineering and power transmission, to deliver complex projects. The company's experience in executing sour gas projects will be valuable in this project, given the complexities involved in processing sour gas.

Overall, the contract is a major milestone for L&T, showcasing its expertise in the hydrocarbon sector and its ability to secure large-scale contracts in the Middle East. The project will contribute to the growth of the energy sector in the region and demonstrate L&T's capabilities as a leading EPC contractor.

The significance of this contract for L&T and the energy sector cannot be overstated. It demonstrates the company's ability to compete for and secure large-scale contracts, and its expertise in executing complex hydrocarbon projects. The project will also contribute to the growth of the energy sector in the Middle East, supporting economic development and energy security in the region.

In conclusion, the contract awarded to L&T for the Middle East gas compression facilities project is a significant win for the company, demonstrating its capabilities in executing large-scale hydrocarbon projects. The project will add substantial gas compression capacity and utility infrastructure, supporting the growth of the energy sector in the Middle East.