Four firms to build Middle East pipe plant

Offshore staff

RAS Al-KHAIR, Saudi Arabia – Four companies from four countries (Saudi Arabia, Germany, the Czech Republic, and India) have formed an alliance to build a plant to manufacture seamless pipe in Ras Al-Khair, Saudi Arabia.

In the first stage of the project, the production capacity is expected to reach 600,000 tons of steel.

The plant (believed to be at the final stage of contract signing, which is set for the beginning of 2015) will be the first one in the Middle East to produce seamless pipes with diameters of 19 mm to 137 mm (0.75 in. to 5.4 in.). The facility will manufacture drill pipes, oil and gas well covers, pipeline steam boilers, heat exchangers, petroleum furnaces, construction pipelines, mechanical equipment, and small pipelines.

Salama Al-Enizi, chairman of Gulf Tubing Co. GTC and the owner and developer of the project, says that cooperation deals have been reached in advance with Saudi Aramco and Saudi Basic Industries Corp. (SABIC), as well as the Royal Commission in Jubail and Yanbu to supply these companies with certain products produced in the plant.

The plant is estimated to cost $1 billion. The project will be financially managed by Alinma Investment.



Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now


Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...

Reduce Engineering Project Complexity

Engineering document management presents unique and complex challenges. A solution based in Enter...

Revolutionizing Asset Management in the Electric Power Industry

With the arrival of the Industrial Internet of Things, data is growing and becoming more accessib...