Petrojet bids low for gas pipeline work in Qatar

29 August 2008
Egypt’s Petrojet is understood to be low bidder for the estimated $600-700m contract to build the gas pipeline between Ras Laffan and Mesaieed.

Bids for the engineering, procurement, installation and construction contract were submitted in July. The bid rankings are only now coming out (MEED 6:7:08).

The second-ranked bidder is believed to be India’s Punj Lloyd. Italy’s Saipem, India’s Larsen & Toubro and Dubai-based Dodsal also priced the lump-sum work.

Although Petrojet is low bidder, sources close to the project say Punj Lloyd is also in a good position as it is already working on pipeline projects in Qatar.

Most notably, it is working on the Ras Laffan-Mesaieed ethylene pipeline, which effectively means it is already mobilised along the route of the proposed gas pipeline scheme.

The project, known as the strategic gas pipeline, involves the installation of a 32-inch-diameter carbon-steel twin pipeline over a distance of 140 kilometres.

The scheme is the second of three major gas pipeline projects in Qatar. L&T is in line for a smaller gas pipeline project after submitting the low bid earlier this year. L&T’s offer of QR450m ($123m) was enough to beat the three other bidders (MEED 21:5:08).

The work involves the installation of 25km of carbon-steel pipeline and the construction of several booster stations within Ras Laffan Industrial City.

The consultant on both pro-jects is the UK’s Mott MacDonald. The client is Qatar Petroleum.

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