Fabtech wins orders worth Rs. 734 cr.

Fabtech Projects and Engineers Ltd., a Pune-based company that provides EPC services to the oil and gas industry among others, is eyeing more than double the current turnover on the back of higher engineering, procurement and construction contracts.

The company that posted a turnover of Rs. 700 crore in the last fiscal has bagged orders valued at Rs. 734 crore, including an export order worth Rs. 100 crore for supply of static equipment mainly from the Dangote Refinery being set-up in Nigeria, and a Rs. 433 crore lumpsum turnkey order from Oil India for constructing a secondary tank farm at Duliajan.

Fabtech has seen a CAGR of 24% for the last five years is targeting a turnover of Rs. 2,000 crore in the next three years, mainly on higher revenues from the EPC business as well as exports.

“We have bid for projects worth Rs. 1,500 crore in Nigeria and are confident of bagging contracts worth Rs. 1,000 crore,” R A Rupnar, one of the promoters and managing director, EPC division, said.

Production from the company’s recently commissioned plant in Vasuli, its third in Maharashtra, is totally booked for one year, and Fabtech will look at expansion at the same location to meet the demand, he added.

Fabtech gets 80% of its top-line from the EPC business while the remaining comes from equipment and is the market leader in moulding bullets for bulk storage of LPG. It has recently forayed into the nuclear space and is supplying electrical penetration assemblies to the Nuclear Power Corporation of India.

HBL