Larsen & Toubro (L&T) just landed an ultra-mega contract worth over ₹15,000 crore for building gas compression facilities in the Middle East. This win pushes L&T even deeper into the region’s hydrocarbon infrastructure market.
The deal goes to L&T Energy Hydrocarbon Onshore. They haven’t named the client or published the exact contract value yet, but an “ultra-mega” order—a term L&T uses—means anything above ₹15,000 crore.
So, what’s L&T actually building? They’ll handle everything: engineering, procurement, and construction of new onshore plants designed to process sour gas. That’s gas tainted with hydrogen sulphide, so the work demands extra-tough equipment, strict safety systems, and tight client standards. The scope covers gas inlet facilities, compression systems, systems for handling condensate and produced water, propane refrigeration, and all supporting utilities and infrastructure.
There’s a power twist too. L&T’s Power Transmission & Distribution arm will set up two 230 kV extra-high-voltage substations to power the new compression plants. By involving several business units, L&T gets to offer an all-in-one package—hydrocarbon processing and the power infrastructure to back it up.
L&T Energy Hydrocarbon Onshore brings plenty of experience in large oil and gas projects. This contract adds big gas compression capacity and utility support to the Middle East.
E S Sathyanarayanan, Senior Vice President and Head of L&T Energy Hydrocarbon Onshore, said this project kicks off a key strategic phase. He pointed out that L&T’s track record with complex hydrocarbon jobs will help them handle the demanding requirements of sour-gas applications.
These gas compression systems keep the pressure up, making it possible to move processed gas through gathering, treatment, and transmission. Projects like this rely on specialized materials, corrosion protection, gas detection, emergency shutdown systems, and strict operating rules, especially when dealing with sour gas.
This contract isn’t a standalone win. August has been busy for L&T. Earlier this month, their offshore unit snagged another ultra-mega order—over ₹15,000 crore—from ADNOC Offshore for a major offshore development in the same region.
As of June 30, 2026, L&T reported a record consolidated order book of ₹7,78,954 crore—a 5% jump since March and 27% year-on-year. International business now makes up more than half (52%) of that order book, showing just how much overseas work means to them.
In the first quarter of FY27, L&T pulled in group orders worth ₹1,08,014 crore, a 14% increase from last year. With this steady stream of wins, especially international contracts, L&T’s revenue pipeline looks solid.
All told, this new Middle East project expands L&T’s hydrocarbon energy business and strengthens their presence in high-tech, challenging gas processing and compression.
