TMK and Corinth Pipeworks S.A. set up joint venture
Seversky Pipe Plant (SPP), part of TMK, and HUMBEL Limited, the 100% subsidiary of Corinth Pipeworks S.A., the largest pipe manufacturer in Greece, have registered a joint venture (JV) named ZAO “TMK-CPW” in Polevskoy town (Sverdlovsk region, Russia). SPP owns 51% of the shares in the JV, with HUMBEL owning the remaining 49%.
The JV involves the installation of high-performance pipe welding equipment presently owned by the Greek partners at a production site of SPP. This equipment is designed for the production of longitudinal welded pipes with a diameter of 168 to 530mm, wall thickness of 4.8 to 12.7mm, and lengths up to 18m with hollow sections complying with the international quality standards.
JV “TМК-СPW” is scheduled to start production in the second quarter of 2007 and is expected to reach sales of over 200,000 tonnes of pipes annually.
The JV will satisfy the growing needs of the largest Russian and CIS oil and gas companies for pipes used in the production and transportation of oil and gas, as well as the growing needs of the construction industry.
The creation of the JV is another strategic move for TMK towards ensuring a larger share of high value products in the Company’s product mix.CPW’ s participation is part of its global strategy for presence in the major markets of technically sophisticated energy solutions.