L&T, Kalpataru Projects lowest bidders for Aramco's gas system project: Reports

Larsen & Toubro Ltd. and Kalpataru Power have emerged as the lowest bidders for Saudi Aramco's Master Gas System project, according to reports from the Middle East Business Intelligence.

The reports state that Saudi Aramco, the world's largest oil company has selected contractors to execute EPC works.

L&T and Kalpataru Power are among the ten companies that have been selected for the $10 billion MGS-3 project.

While Kalpataru has emerged as the lowest bidder for three packages, L&T is the lowest for one of them, the report said.

L&T was in the news earlier this week after reports had suggested that Saudi Aramco has deferred the bidding process for orders worth over $10 billion in the Safaniyah Oilfield projects.

This news development impacted L&T as it was likely in the race to acquire a major EPC order with regards to the concerned oilfield.

L&T had earlier told CNBC-TV18 that the company had participated in tenders with regards to the Safaniyah Oilfield.

In response, L&T had mentioned that their bidding pipeline in West Asia remains strong and that there are many prospects which remain very active. The management also said that L&T Energy enjoys a healthy order book in the gulf with orders at an all-time high.

Shares of L&T are currently little changed, trading 0.2% higher at ₹3,369.55. However, shares of Kalpataru have jumped to the day's high, currently trading 6.5% higher at ₹998.75.