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L&T Secures Contract to Build 2.3 Million Tonne Urea Plant in Australia

Asia Manufacturing Review Team | Tuesday, 22 August 2023

 Asia Manufacturing Review Team

On Aug 21, L&T announced a "significant" order from Perdaman Chemicals & Fertilisers to build a 2.3 million tonne urea plant in Australia. According to the company, when completed, this facility will be the largest urea plant in Australia and one of the largest in the world.

L&T stated that it was a "significant order" without disclosing the deal value. Significant order generally denotes a value between Rs 1,000 and Rs 2,500 crore.

"We've adopted a policy of not disclosing commercial details of contracts because the value can change by the time of completion," said SN Subrahmanyan, Chairman and Managing Director-Designate of L&T Group.

The contract was awarded by the Italian firm Saipem & Clough, which is Perdaman's Engineering, Procurement, and Construction (EPC) contractor.

The Energy Hyrdocarbon contract awarded to L&T includes the fabrication and supply of process and piperack modules for a 2.30 MT per annum urea plant as well as a 1.3 MT ammonia unit.

L&T Heavy Engineering has received orders for the project's urea equipment packaging.

The facility will be built on Western Australia's Burrup Peninsula and, when completed, will be the largest urea plant in Australia and one of the largest in the world, Perdaman Chairman Vikas Rambal told reporters here.