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The company has entered into EPC Contracting of Cross Country Gas & Oil Pipelines since 2004.

After the Oil & Gas sector has been opened up in India, and the demand of energy per capita has been rising steadily with the growth in economy, the demand of Pipelines for natural gas and petroleum products in India has been witnessing a spurt. The phenomenon has been replicated in many parts of world and as a result, more and more pipelines are being set up in various parts of the world to facilitate transport connectivity between farthest point to the source.

Natural gas has emerged as the dominant source of additional energy in world. There exists a huge deficit of natural gas based on current production and demand data in India. While additional gas quantities, almost equal to existing gas production in the country, are in an advanced stage of preparation to be made available through LNG and new gas finds, the infrastructure to transport this gas to demand centers is required to be augmented and partly built afresh. It is projected that an estimated 5,000 kms of big-inch gas pipelines will be set up in next 3-5 years in India.

Although almost 4,000 Kms of new pipelines have been built in India in the last 3-4 years, the pipeline network available in India today is still inadequate to transport the natural gas & petroleum products to demand centers in an efficient, safe and environment friendly way. To meet the growing demand and in view of the awareness of people towards environment, it is projected that over 2,000 kms of product and crude oil pipelines will be built in next 4-5 years.

Kalpataru has over the last 5 years built a full-fledged organization to take forward our Pipeline business, led by highly experienced and competent persons, who are well-respected in the pipeline industry in India. More & more internationally experienced & qualified professionals are joining the division regularly making it a formidable contender in the industry.

Along with a well experienced team, the company has made large investments in specialized pipeline equipments to sieze the opportunity available in the EPC contracting of Oil & Gas pipelines for clients such as GAIL, IOCL, HPCL, BPCL, GSPC, Reliance, HMEL etc in India and for PDO, OGC, ADNOC, DEPA, ARAMCO & Petronas etc. internationally.

Kalpataru lays down very high emphasis on health, safety and environment aspects besides high standards of quality to be maintained in accordance with company’s Safety & Quality Policy and manuals. Due to continued training and unabated surveillance of implementation of safety practices at site, Kalpataru has clocked over 15 Million man-hours at various projects in the last 5 years without a single Lost time Injury (LTI).

As a strategy, we have set up a Welders’ training center at Gandhinagar, where we bring qualified young welders and train them up for cross-country operations and down-hill welding. They form a reserve pool for us to draw from for our various projects. These welders are trained for zero defect welding. We have on our rolls a large number of other skilled personnel from other pipeline disciplines, who are also regularly trained and kept in reserve.

BREAKTHROUGH ACHIEVEMENTS

In 2006 we completed our first contract for the construction of 16” dia x 386 Kms and 8” dia x 56 Kms product Pipeline from Laban (near Kota) to Bijwasan (Delhi) for Bharat Petroleum Corporation Ltd. (BPCL) worth Rs. 830 Million (USD 17 Mn). The contract was secured by the company’s International Pipeline partner, who bid for the Project with our support and was executed on EPC basis by Kalpataru as back to back contractor.

We have also completed a 18" x 110 kms gas pipeline from Vijaipur to Kota from GAIL in Feb, 2007, followed by a prestigious Rs 1.8 Bn (USD 36 Mn) project from Panvel to Dabhol (Part B) of 30" x 74 kms Pipeline running through a hostile rocky & mountainous terrain from GAIL, which was successfully completed on schedule in 2007. Both these projects were executed on EPC basis in consortium with our International partner.

Kalpataru is at an advanced stage of completion for an EPC contract of 427 kms, 24" crude oil pipeline in Madhya Pradesh for the Vadinar-Bina Pipeline Project of Bharat Oman Refinery Ltd. having estimated contract value of Rs.1.40 Billion (USD 28 Mn). This project is scheduled for completion by April, 2009.

The company has also completed another contract of Rs. 270 Mn (USD 5.5 Mn) from Reliance for its 28" Spur gas pipeline in Gujarat.

Currently, Kalpataru has four ongoing projects – A prestigious 48” dia high pressure gas pipeline project of GAIL running through rocky terrain over 165 Kms at an estimated contract value of Rs. 2.40 Billion (USD 48 Million) scheduled to be completed in Oct.2009; A prestigious 48”/28”/30” dia crude oil pipeline of Hindustan Petroleum-Mittal Energy Limited running through marshlands of Gujarat and desert lands of Rajasthan over 550 Kms. At an estimated contract value of Rs.3.85 billion (USD 77 Million), scheduled for completion in Sept., 2010; A 30” gas pipeline of Indian Oil Corporation Limited from Dadri to Panipat over 130 Kms, at an estimated contract value of Rs.520 million (USD 10 Million), scheduled for completion in June 2009; A 12”x 145 kms product pipeline from Chennai to Bangalore for IOCL at an estimated contract value of Rs.287 million (USD 6 Million), scheduled for completion in Nov. 09.

The company has created a large pool of specialised pipeline equipment consisting of Pipe layers, multiple Boring Machines, Bending Machines, Dozers D8/D7/D6, Excavators, Welding Machines, etc., which augmented by readily available equipment on rent from local sources, can be deployed to carry out Pipeline Construction work in 8-10 spreads on 5-6 concurrent projects. The professional manpower pool with the company is today ready to simultaneously implement several EPC cross country pipeline projects with full competence and desired deliverability.

Cheers to our Pipeliners for having completed over 1,000 kms of challenging pipeline jobs in less than 4 years of operations.
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Pipelines Division
 
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