Kalpataru Projects International Limited (KPIL), an India-based engineering, procurement and construction (EPC) company, has received a letter of intent (LoI) from Saudi Aramco to carry out EPC work for three packages of the third expansion phase of the Master Gas System Network (MGS‐3) in the kingdom.

The EPC scope covers laying over 800 kilometres of lateral gas pipeline, the Bombay Stock Exchange-listed company said in a statement on Tuesday.

The contract value of the three packages will be confirmed upon contract execution.

"This is a sizable EPC order," said CEO Manish Mohnot without giving further details.

The MGS‐3 aims to expand the existing network to provide gas supply to various regional industrial consumers. This expansion is expected to replace liquid fuel burning, contributing to Saudi Arabia’s drive towards a diverse energy mix.

KPIL has commissioned over 10,000 km of oil, gas and water pipelines.

Last month, Gas Arabian Services Company (GAS) received two non-binding LoIs from Saudi Aramco for EPC contracts at a combined value of $202.87 million.

(Writing by P Deol; Editing by Anoop Menon)


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