Crowne Plaza ... to be built by L&T Oman.

Crowne Plaza ... to be built by L&T Oman.

Region-wide success

February 2015

From airports to hotels, Indian firm L&T is bagging huge orders from Gulf countries

Indian engineering and construction major Larsen & Toubro (L&T) has seen significant success in the GCC market over the past year, securing a number of prestigious projects right from Kuwait to Oman.

Its latest contracts in the region include a deal won by its Omani subsidiary to build a new passenger terminal at Duqm Airport in central eastern Oman, following closely on the heels of yet another landmark project in the sultanate, the four-star Crowne Plaza Hotel (see also Oman feature).

L&T Oman’s scope of work on the Duqm Airport project includes constructing a modern passenger terminal building with a capacity to handle 500,000 passengers per year, a 37-m-high air traffic control tower, and an air cargo terminal over 8,000 sq m equipped to handle 25,000 tonnes of cargo per year.

The airport is being built as per international specifications and the 4-km-long runway will be able to receive the Airbus A380 superjumbo aircraft. The client is the Oman’s Ministry of Transport and Communications.

The new airport is expected to provide a considerable boost to the port town of Duqm and surrounding area, which is under significant development by the Duqm Special Economic Zone Authority. Duqm free zone is said to be one of the largest in the Middle East and North Africa (Mena) region and ranks among the largest in the world, with a land area of 1,777 sq km and 80 km of coastline along the Arabian Sea.

L&T Oman has also clinched an order from Oman Tourism Development Company (Omran) for the construction of the Crowne Plaza Hotel at the Oman Exhibition and Convention Centre. The 300-room hotel – the second Crowne Plaza hotel in Muscat – will feature extensive meeting and event facilities with a separate function centre that will include a ballroom with terrace, a boardroom and three large meeting rooms.

The hotel will offer five food and beverage outlets, including a rooftop restaurant. There will be private outdoor relaxation zones with jacuzzi pools for men and women, a 150-sq-m fitness zone, two pools and a children’s playground.

The opening of the Crowne Plaza is planned to coincide with the opening of the convention and exhibition centre in late 2016.

Meanwhile, L&T recently won a contract from Salalah Free Zone Company for infrastructure works involved in the Adhan Phase 1A project. The scope of work comprises installation of potable water, irrigation water, stormwater and sewer networks, irrigation and fire-fighting reservoirs, pumping stations and control rooms.

Among other projects in the sultanate, L&T Oman is also working on the construction of the Adam Air base under an assignment from Oman’s Ministry of Defence.

Elsewhere in the GCC, L&T’s fully owned subsidiary, L&T Saudi Arabia, has bagged orders from the National Grid Saudi Arabia, a subsidiary of Saudi Electricity Company, for the installation of 132 kV cabling and 132 kV double-circuit transmission lines in the Buraidah and Hail areas of the kingdom.

In Qatar too, L&T achieved remarkable success last year, when its heavy civil infrastructure business segment secured a $730-million order from Qatar Railways Company for the design and construction of the Gold Line of the Doha Metro project. To be undertaken with joint venture partners Aktor (Greece), Yapi Merkezi Insaat (Turkey), STFA Group (Turkey) and Al Jaber Engineering of Qatar, the project includes design and construction of twin tunnels extending 11 km and nine underground metro stations, under a 54-month contract.

This followed a $592-million road contract awarded in March 2014 by Qatar’s Public Works Authority (Ashghal) for the design and construction of Al Wakrah Bypass Road. The project involves construction of 11 km of road consisting of 10 lanes and four lane sections with additional roads and ramps. The freeway will provide access to the existing and planned developments via five major interchanges comprising 20 bridges, 13 bicycle overpasses, eight vehicular underpasses, three pedestrian bridges and 736-m-long and 32-m-wide vehicular tunnel work. The project is scheduled to be completed in 32 months.

In Kuwait, L&T Hydrocarbon Engineering won an $823-million contract last year from Kuwait Oil Company (KOC) for setting up facilities to separate gas and water from crude oil. The scope of L&T’s contract includes project management, detailed engineering, procurement, supply, construction, testing, mechanical completion, pre-commissioning, and commissioning assistance including performance testing.

And in the UAE, the company secured a contract against stiff international competition, for works at the new Midfield Terminal building and car-park at Abu Dhabi International Airport.

The scope involves the construction of a multi-storey structure with extended at-grade parking to accommodate approximately 3,400 parking spaces with provisions for future development. The project also includes overall MEP (mechanical, electrical and plumbing) systems comprising heating, ventilation and air-conditioning (HVAC), medium and low-voltage (MV and LV) systems, plumbing, fire-protection, IT, security systems and a decorative PTFE (polytetrafluoroethylene) facade with associated framework.

L&T is one of India’s largest and most respected private sector companies that focuses on technology, engineering, construction and manufacturing. With more than seven decades of history behind it, the company has established an international presence with offices spread around the globe.

L&T’s structure is built around multiple businesses that serve the needs of different industries including hydrocarbons, heavy engineering, construction, power, electrical and automation, machinery  and industrial products, information technology, financial services, shipbuilding, and railway projects.

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