L&T-Toyo Consortium wins IOCL naphtha cracker contract

The L&T-Toyo Engineering Corporation consortium has won Indian Oil Corporation''s Rs2,600-crore turnkey project management contract for the naphtha cracker complex at IOC''s Panipat petrochemical unit in Haryana.

Toyo, the consortium leader, will undertake work for the cracker plant section on and overall project management, while L&T will undertake work for the cracker heaters and associated units such as C4 hydrogenation, pyrolysis gasoline hydrogenation, and benzene extraction units. The share of L&T''s petrochemical business unit in the contract is valued at Rs900 crore.

Once operational, this naphtha cracker would be one of the largest and world-scale capacity plants in India. IOCL would process naphtha from its Panipat, Mathura and Gujarat refineries to produce ethylene, propylene and benzene at this naphtha cracker.

The technology for the cracker is licensed by IOCL from ABB Lummus of the US.