L&T Hydrocarbon Engineering (LTHE), a wholly-owned subsidiary of Larsen & Toubro (L&T), has secured a contract worth more than INR70bn ($958.1m) for setting up a dual feed cracker unit (DFCU) at the Rajasthan Refinery Project in Rajasthan, India.

The engineering, procurement, construction and commissioning (EPCC) contract has been awarded by HPCL Rajasthan Refinery Limited (HRRL), a joint venture between Hindustan Petroleum Corporation (HPCL) and the state government of Rajasthan.

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The contract, which also includes EPCC-07 Package (capacity: 890 KTPA), is claimed to be the biggest EPCC contract awarded to date in the country in the refinery and petrochemical sector.

The DFCU helps to convert refinery naphtha and off-gases to produce polymer grade Ethylene and Propylene by the thermal cracking process.

The produced ethylene and propylene is utilised as feedstock for downstream polyethylene unit and polypropylene unit.

L&T said that this process also helps to produce by-products such as butadiene, benzene, toluene and gasoline.

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LTHE managing director and CEO and Larsen & Toubro whole-time director and senior executive vice-president (energy) Subramanian Sarma said: “We are very delighted to be part of this mega development project in Rajasthan and I would like to thank HRRL and HPCL for having trust in our capabilities to deliver such complex process plants with high standards of HSE and Quality.”

L&T unit also won a contract to build a petrochemical fluidised catalytic cracking (PFCC) unit at Rajasthan Refinery Project.

The order is valued between INR25bn ($342m) and INR50bn ($684m).

It also includes setting up a Propylene Recovery Unit and EPCC-03 Package for Rajasthan Refinery Project located at Barmer, Rajasthan.

Licensed by TechnipFMC, the PFCC unit will help to convert the heavy hydrocarbons from the vacuum distillation unit to produce gasoline, diesel, propylene and lighter products by the process of catalytic cracking.

Commenting on the PFCC unit contract, Sarma said: “This is another package that LTHE has won from HRRL amid stiff global competition.

“It will be our endeavour to live up to the trust reposed by HRRL and HPCL in our execution capabilities and quality assurance.”

The two contracts have been awarded following international competitive bidding on lump-sum turnkey (LSTK) basis.

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LTHE secures two contracts from HRRL at Rajasthan Refinery Project in India. (Credit: Batmaniacs/ wikipedia.)