Oil India to go into 100% EPC or LSTK mode-I: What will that entail?
Oil India Ltd has announced that it will take the 100% EPC or LSTK route for its E&P projects. 8For E&P projects, therefore, the company would move away from dealing with individual equipment and service suppliers and instead go to EPC and/or LSTK contractors 8Equipment and service suppliers will have to go the EPC contractor for business or line up with him so that the contractor can submit reasonable and competitive bids 8EPC contractors, in turn, are likely to give out sub contracts or place orders for equipment and services. 8OIL has framed a set of rules for such EPC work, including how much business can a contractor bid for, how many members will be allowed within a consortium as well as turnover and qualification criteria along with compulsory MSME purchase conditionality. 8A pre-tender bids will be a condition for all high value EPC or LSTK contracts. Click on Details for more on the new set of rules which will now come into force