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PDO expands contractor pool with L&T framework deal

Indian engineering group becomes one of four contractors eligible to compete for future design and EPC work under Petroleum Development Oman’s long-term procurement programme.
The agreement covers future FEED and EPC opportunities across PDO’s upstream oil and gas portfolio.
The agreement covers future FEED and EPC opportunities across PDO’s upstream oil and gas portfolio.
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MUSCAT: Petroleum Development Oman (PDO) has expanded its long-term engineering and construction contractor pool after India’s Larsen & Toubro (L&T) signed a six-year framework agreement covering future front-end engineering design (FEED) and engineering, procurement and construction (EPC) opportunities.


The agreement places L&T Energy Hydrocarbon Onshore among four international contractors pre-qualified to compete for upcoming PDO projects. Individual contracts will be awarded separately as projects move into execution.


L&T did not disclose the financial value of the framework, the number of projects expected to be tendered or the value of future work packages.


The company said the agreement covers future FEED and EPC opportunities across PDO’s upstream oil and gas portfolio, supporting the company’s future project delivery requirements.


The framework itself does not constitute the award of a specific project but establishes a long-term procurement arrangement under which selected contractors will compete for individual engineering and construction packages.


L&T said it would support PDO’s In-Country Value (ICV) programme by creating opportunities for Omani suppliers, subcontractors and service providers while contributing to local capability development. No specific targets for local procurement, Omanisation or subcontracting were disclosed.


“This Framework Agreement marks an important milestone in our long-standing association with Petroleum Development Oman,” said E S Sathyanarayanan, Senior Vice-President and Head of L&T Energy Hydrocarbon Onshore.


He said the company would draw on its integrated engineering, procurement and construction capabilities to support PDO’s future developments while contributing to Oman’s long-term energy objectives.


L&T already has an industrial presence in Oman through its modular fabrication facilities at Sohar Port, which manufacture equipment and engineered modules for energy projects serving Oman and regional markets.


The company undertakes projects across the upstream, midstream and downstream energy sectors, including gas processing plants, pipelines, refineries, petrochemical facilities, liquefied natural gas terminals and fertiliser plants.


PDO has not publicly disclosed the overall project pipeline, procurement schedule or total value of work expected to be awarded under the framework agreement.


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