Punj Lloyd wins Rs 1,094 crore contract from Indian Oil
PTI August 31, 2015
Diversified group Punj Lloyd on Monday said it has won a Rs 1,094 crore turnkey contract from Indian Oil Corporation (IOCL) for work related to its Haldia Refinery.
"The scope of work for the project involves the residual process design... study, engineering, procurement, construction and commissioning of the Sulphur Block comprising the Sulphur Refinery Unit (SRU), Amine Regeneration Unit (ARU), the Sour Water Stripper (SWS) including the Utilities and Offsite facilities," the company said in a statement.
The project falls under IOCL's prestigious 'Aishwariya' project.
"IOCL's Haldia project aims to upgrade black oil, mainly high sulphur fuel oil to higher value products like diesel and LPG which will lead to subsequent improvement in gross refinery margins", the company said.
"It will also produce improved quality diesel, conforming to BS-IV specifications as a measure towards environmental protection", the statement said.
Managing Director and Group CEO, J P Chalasani said: "We are extremely pleased to receive this order as we have a strong track record in Process, particularly in Sulphur Blocks. For IOCL itself, Punj Lloyd has constructed the Sulphur Block of the Mathura, Guwahati and Koyali refineries, taking this relationship with IOCL as far back as 1998. This is a challenging assignment as we need to work in a running refinery."
The company said its expertise in Sulphur Blocks is particularly extensive with the company having built the Sulphur Block for Bharat Oman Refinery grass root Bina refinery, Chennai Petroleum Corporation's Manali refinery, Kochi refinery and Hindustan Petroleum Corporation's Mahul refinery.
Located on the bank of Hoogly at Haldia in East Midnapur district of West Bengal, Haldia Refinery is fourth in the chain of the existing seven refineries of IOCL in the country.
The refined products help meet the demand of the eastern region of India. With this new order, the group's order backlog stands at Rs 20,978 crore.
The Punj Lloyd Group is an international conglomerate offering EPC services in energy and infrastructure along with engineering and manufacturing capabilities in the defence sector.
The shares of the company were trading at Rs 25.50, up 5.37 per cent on Bombay Stock Exchange (BSE) at 2:26 pm.