Daily Newsletter

31 October 2023

Daily Newsletter

31 October 2023

L&T Construction secures domestic and global contracts

The orders have been categorised as 'large', as per L&T's order classification system.

Upasana Mukherjee October 31 2023

India-based Larsen and Toubro (L&T) Construction’s Power Transmission and Distribution (PT&D) business segment has obtained contracts both in India and internationally.

The announcement comes after L&T Energy Hydrocarbon obtained a letter of intent for an onshore project in the Middle East, earlier this month.

The company’s PT&D unit has been awarded a contract in Chhattisgarh, a state in India, to set up 400kV and 220kV transmission lines.

The lines will be constructed to alleviate congestion in the state's electricity transmission network.

The segment also secured a contract for the construction of a 380kV substation along with corresponding overhead transmission lines in Saudi Arabia.

In Kuwait meanwhile, the business received a contract to construct five substations for a future residential development.

The project will be built to deliver a dependable and efficient power supply to the residential community.

In Malaysia, the company (as part of a consortium) won an order to build a 275kV underground cable system.

This development’s aim is to double the power transmission capacity within the current network.

The company has secured further contracts within its ongoing substation projects in Qatar.

The orders were won by the business in the current quarter, according to L&T.

L&T has categorised the orders as 'large', meaning they are valued between Rs2.5bn and Rs5bn ($304m-$607m).

South-East Asia Construction Market Dynamics

Per GlobalData analysis, the South-East Asia construction industry in 2023 is dominated by Indonesia, though the country will see a slowdown compared to 2022 due to elevated building material prices, weak commercial property demand, high interest rates and a softening of external demand. The construction industry in the Philippines is estimated to register a AAGR of 7.2% between 2024 and 2027, supported by the government’s focus on the development of the country’s rail and road transport and energy infrastructure.

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