Larsen & Toubro 's Hydrocarbon Onshore business secures major order from BPCL for engineering, procurement, construction and commissioning of India's largest LLDPE/HDPE Swing Unit at Bina, Madhya Pradesh.

Project Overview

The comprehensive project involves engineering, procurement, construction and commissioning of a Linear Low-Density Polyethylene/High-Density Polyethylene (LLDPE/HDPE) Swing Unit at Bina in Madhya Pradesh. The facility will comprise two trains with a combined capacity that positions it as India's largest LLDPE/HDPE Swing Unit.

Strategic Importance

This project forms an integral part of BPCL's Bina Petrochemicals Refinery Expansion Project, which aims to establish a petrochemical complex and enhance refinery capacity from 7.8 MMTPA to 11 MMTPA. The initiative aligns with the Government of India's Aatmanirbhar Bharat vision by strengthening domestic manufacturing capabilities and achieving self-sufficiency in polymer production.

The project will set a new benchmark in polyethylene production capacity, contributing significantly to India's petrochemical manufacturing landscape and reducing dependence on imports.

Management Commentary

Subramanian Sarma, Deputy Managing Director & President-L&T, emphasized the order's significance: "This is a major order that will not only strengthen our balance sheet but also provide impetus to our demonstrated credentials in downstream hydrocarbon EPC space."

E S Sathyanarayanan, Senior Vice President & Head of L&T Energy Hydrocarbon-Onshore, highlighted the company's commitment: "In the ever-evolving landscape of the hydrocarbon and petrochemicals sector, this win for L&T Onshore is a testament to the trust that customers repose in our execution and delivering capabilities. We are fully committed to delivering the project with high standards of HSE and quality."

Business Vertical Capabilities

L&T Onshore operates as one of India's largest EPC businesses, delivering comprehensive Lump Sum Turnkey solutions across multiple sectors:

• Upstream, midstream and downstream hydrocarbon sectors
• Refinery expansions and petrochemical complexes
• Gas processing plants and fertiliser plants
• LNG terminals and cross-country pipelines

The business vertical maintains a strong execution track record across various geographies, demonstrating its capability to handle complex industrial projects.

Company Background

Larsen & Toubro is a USD 30.00 billion Indian multinational engaged in EPC Projects, Hi-Tech Manufacturing, and Services, operating across multiple geographies. The company has maintained leadership in its major lines of business for eight decades through a strong, customer-focused approach and constant quest for top-class quality.

Larsen & Toubro has announced a comprehensive postal ballot notice dated December 8, 2025, seeking shareholder approval for seven critical resolutions through electronic voting. The engineering and construction major is proposing significant board changes and material related party transactions that will shape its operational framework.

Board Appointments and Re-appointments

The company seeks approval for three key directorial appointments. Mr. Amitabh Kant (DIN: 00222708) and Mr. B. Santhanam (DIN: 00494806) are proposed as independent directors for five-year terms effective October 29, 2025. Additionally, Ms. Preetha Reddy (DIN: 00001871) is up for re-appointment as independent director for five years commencing March 1, 2026.

Mr. Amitabh Kant brings extensive governance and policy expertise, having served as G20 Sherpa to the Prime Minister of India and CEO of NITI Aayog. Mr. B. Santhanam contributes 45 years of experience with Saint-Gobain Group, including leadership roles across glass, construction materials, and industrial sectors. Ms. Preetha Reddy, Vice Chairperson of Apollo Hospitals Group, continues her association with the company's board.

Material Related Party Transactions

The postal ballot includes approval for substantial related party transactions totaling ₹57,950.00 crores across four subsidiary companies. These transactions are essential for the company's Carbon Lite Solutions business and international operations.

Power Equipment Subsidiaries

The transactions with LT-MHI Power Boilers Private Limited and LT-MHI Power Turbine Generators Private Limited support the company's thermal power projects. These joint ventures with Mitsubishi Heavy Industries provide critical components for Engineering, Procurement and Construction (EPC) contracts in the power sector.

International Operations Support

Larsen Toubro Arabia LLC requires parent company guarantees up to ₹14,000.00 crores for project performance in Saudi Arabia. The company will charge a fee of 0.35% per annum for performance guarantees, generating guarantee income while supporting subsidiary operations.

LT Modular Fabrication Yard LLC in Oman provides specialized fabrication services for offshore energy projects. The facility handles structures for oil & gas and offshore wind farm projects, with annual capacity to deliver modules up to 100,000 MT.

Voting Process and Timeline

The e-voting process will be conducted exclusively through NSDL's electronic platform, with no physical ballot forms accepted. The voting schedule provides clear timelines for shareholder participation.

Shareholders registered as of the cut-off date December 13, 2025, are eligible to participate in the voting process. The company has appointed Mr. S.N. Ananthasubramanian and Mrs. Aparna Gadgil as scrutinizers to ensure fair and transparent conduct of the postal ballot.

Business Rationale

The proposed related party transactions align with the company's strategic focus on Carbon Lite Solutions and international expansion. The power equipment subsidiaries leverage Mitsubishi Heavy Industries' technology to enhance the company's competitiveness in thermal power projects. International subsidiaries enable compliance with local regulations and facilitate project execution in Middle Eastern markets.

All transactions are proposed to be conducted at arm's length basis and in the ordinary course of business, with appropriate approvals from the Audit Committee and Board of Directors. The company's Related Party Transaction Policy governs these arrangements, ensuring compliance with regulatory requirements and shareholder interests.