India's Kalpataru gets LoI from Aramco for gas pipe project

Mumbai-listed Kalpataru Projects International has received a Letter of Intent (LoI) from Saudi Arabia’s energy major, Aramco, for carrying out engineering, procurement, and construction (EPC) work on a major gas pipeline project in the country, it said on March 5.

The EPC contract encompasses three packages integral to the third expansion phase of the Master Gas System Network (MGS-3). This involves laying over 800 km of lateral gas pipelines, contributing to the expansion and enhancement of the existing gas infrastructure in the region. The exact contract value for the three packages will be disclosed upon formal contract execution, the company stated.

“This is a sizable EPC order, representing a significant milestone and reaffirmation of global acknowledgement of our capabilities,” said Manish Mohnot CEO of Kalpataru Projects. 

State-backed Saudi Aramco is continuing to build out its gas capabilities. In 2022, the company announced it would bring on stream the $100bn Jafurah onshore unconventional gas project in 2025. Last month, it announced an increase in reserves at the Jafurah.