Mumbai, March 19, 2003: Larsen & Toubro Limited has won a prestigious order for a Rs.1,242-crore lump sum turn key contract to engineer, procure, construct and commission a PTA (Purified Terephthalic Acid) plant for Indian Oil Corporation Limited (IOCL). The plant is to be put up in IOCL's Refinery Complex at Panipat in Haryana as part of their Integrated Paraxylene-PTA Project.

The plant is designed for an annual capacity of 553000 tonnes of PTA under technology licence of Du Pont, UK. Engineers India Limited will be the client's Project Management Consultant.
The plant is contracted to be executed in a tight schedule with mechanical completion scheduled for May 2005 with additional two months for commissioning. The PTA plant consists of two major units, namely Crude Terephthalic Acid (CTA) and Purified Terephthalic Acid (PTA). In addition, it will have material handling and storage facilities.

L&T has won this landmark order against stiff international competition and is geared to execute it by mobilizing the best of talent from within the organisation and from industry.
For execution of the project, a dedicated Task Force consisting of Project Management experts and specialists in planning, engineering, procurement, contracts & commercial, construction, commissioning, quality assurance and safety is being formed under the overall leadership of a full-time Project Director.

L&T, under its own engineering management, is planning to utilise the design and engineering services of Kvaerner E&C, UK, supported by Kvaerner Powergas, Mumbai.
"L&T shall use its proven systems for the engineering and project management of the project. These include state-of-the-art planning and scheduling systems coupled with an Enterprise Resource Planning package and completely networked IT facilities which will connect all engineering centres, client's offices and site establishments, to work as a virtual single office," stated Mr K. Venkataramanan, L&T's Member of the Board and President (Operations). "L&T's knowledge management system, which is designed to incorporate all past learning in the area of project execution, shall add to the effective execution of the project," he added.

To achieve the objectives of reliability, quality and the challenging completion schedule, L&T shall utilise its network of offices situated in India and abroad. Critical and proprietary equipment for the project will be globally sourced from reputed manufacturers. L&T will put to use its own e-commerce platform for procurement of supplies and services and also utilize satellite tracking systems on critical consignments.

"The E&C Division will use the services and resources of L&T's Construction Division, ECC, for construction management and execution. The construction team of ECC shall ensure mobilisation of experienced engineers and a large fleet of construction equipment to meet the committed completion schedule with a high degree of safety, quality and speed, " explained Mr A. Ramakrishna, L&T's Deputy Managing Director and Head of L&T's construction business.
The expertise gained through L&T's experience in large-scale, process-intensive projects in India and abroad will be brought to bear for successful execution of this prestigious contract.