This Civil Construction Major Secures Major Large Contract for Automated People Mover System at Dubai's Al Maktoum Airport; Check Details

On Thursday, Indian equity benchmark indices traded higher, with the Nifty 50 rising 0.55 per cent to 24,210.35. Amid the market movement, Larsen & Toubro shares were trading at Rs 4,054.00, up Rs 12.70, reflecting a gain of around 0.31 per cent. The company announced that its Transportation Infrastructure business, in consortium with Japan's Mitsubishi Heavy Industries (MHI), has secured a large order for the Automated People Mover (APM) System at Dubai's Al Maktoum International Airport.

L&T Wins Large Order for Dubai Airport Project

L&T, along with Mitsubishi Heavy Industries, has secured the contract to design and build the Automated People Mover System for Phase 1 of Al Maktoum International Airport in Dubai. The project is being developed by Dubai Aviation City Corporation and implemented through Dubai Aviation Engineering Projects.

The company has classified the contract as a Large order. Under L&T's order classification, a Large order falls in the Rs 2,500 crore to Rs 5,000 crore range. However, the company has not disclosed the exact contract value in the filing.

Scope Includes Integrated Automated People Mover System

The MHI-L&T consortium will undertake turnkey delivery of the fully integrated APM System, covering design, Construction, supply, testing, commissioning and operational readiness of the associated infrastructure and systems.
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Under the Design-and-Build contract, L&T will be responsible for the design, procurement, delivery and integration of critical infrastructure and systems, including guideways, DC traction substations, power distribution, signalling and telecommunications, onboard communication systems, platform screen doors and depot equipment.

Al Maktoum Airport Expansion

Al Maktoum International Airport is part of Dubai's long-term airport expansion programme. According to the company, once fully developed, the airport is expected to become the world's largest airport, with a planned capacity of 260 million passengers and 12 million tonnes of freight annually.

The latest project further strengthens L&T's presence in the Railway and transit infrastructure segment in the GCC region, where governments continue to invest in next-generation mobility and sustainable transportation infrastructure.

Management Commentary

Ramkumar S, Executive Vice President and Head – Transportation Infrastructure, L&T, said, “With challenging execution milestones, advanced technologies and multiple system interfaces including guideway, power supply, state-of-the-art telecom, platform screen doors and depot equipment, this project exemplifies the scale and complexity of integrated APM Rail Systems that L&T is uniquely positioned to deliver.” He further highlighted the combination of MHI's APM Systems and L&T's integrated systems experience and engineering capabilities, with a focus on safety and quality.

L&T's Transportation Infrastructure Business

L&T has established itself as a provider of turnkey Design-Build and EPC solutions for railway and metro projects, with capabilities spanning design, engineering, procurement, project planning, quality control and execution. The company is currently executing integrated rail systems projects across the Mumbai Metro, Dhaka Metro and Jakarta MRT networks.

About Larsen & Toubro

Larsen & Toubro Ltd is an Indian multinational engaged in EPC projects, hi-tech manufacturing, products and services, with operations across multiple sectors and geographies. The company has a presence across diverse business segments and has maintained leadership in its major lines of business for eight decades.

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Disclaimer: The article is for informational purposes only and not investment advice.