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Bonnets ready for assembly at the AVK SVMC plant

Bonnets ready for assembly at the AVK SVMC plant



Saudi firm to make new valves

AVK Saudi Valves Manufacturing Company has upped production in view of high investments being made in the water and oil and gas sectors

March 2014

AVK Saudi Valves Manufacturing Company (AVK SVMC), which recently opened its new factory expansion in Jeddah, Saudi Arabia, announced it will launch this year new valves and fire hydrants developed with local clients such as Saudi Aramco.

The company is part of the global Denmark-based AVK Group, one of the world’s largest valve manufacturing groups for the water, wastewater and several other industries with more than 30 factories globally.

AVK SVMC has a wide portfolio of products and approximately 30 per cent of sales is accounted for by overseas markets mainly the GCC but also the Netherlands, Italy, Germany, Singapore and Malaysia.

Valves make up half of its output while fire hydrants contribute 30 per cent and accessories 20 per cent. AVK SVMC is the only valve and fire hydrant manufacturer in the Middle East with a UL/FM approval. Valve components are shipped from AVK feeder factories in Europe but the company also sources an increasing number of castings locally in Saudi Arabia.

The new factory extension includes a brand new fusion epoxy coating line and wet epoxy coating line for special coatings according to Saudi Aramco specification. It will increase the local manufacturing capacity with more than 80 per cent, making sure AVK SVMC can meet future market demands for valves, fire hydrants and fittings in Saudi Arabia and the GCC region. 

 “In recent years AVK SVMC has seen a steady growth in sales of locally manufactured products, both for Saudi Arabia and for export. Local manufacturing was slowly coming to maximum capacity, so the choice was between changing the supply chain, utilising capacity at other AVK factories around the world or investing in increasing local capacity,” said managing director Ole Hedegaard.

“AVK SVMC wanted to ensure an excellent service offer to our customers and remain flexible, therefore we chose to increase our local capacity. Investment in the kingdom also supports the Saudi Government’s drive to create more work for Saudis in the private sector.

“We expect to continue to see growth in Saudi Arabia with the high level of Government spending and investments in the water and oil and gas sectors and we want to be prepared and able to provide the service our customers deserve.”

Local production in 2013 was 75,000 of finished items.”

Hedegaard said the top three products were gate valves, butterfly valves and fire hydrants. “We’re coming out with new valves and fire hydrants in 2014 that are developed together with local clients such as Saudi Aramco,” he added.

Other valves AVK SVMC makes are socket valves, check valves, air valves, float valves and service connection valves.

 

QUALITY TOP PRIORITY

The official said quality was a top consideration for the company. “We might not be the cheapest but I have no doubt we are leading on quality and this is one of the main reasons for AVK’s success. Niels A Kjaer, who started valve production in 1969 and is still the group CEO and owner, has never compromised on quality, which has given AVK an excellent name in the industry.”

Kjaer was present at the opening of the expansion. Also present were the Danish Ambassador to Saudi Arabia and other members of AVK Group management.

The company complies with all major standards including ISO, DIN, BS and AWWA and has approvals from Aramco, SWCC, Sabic, the Royal Commission of Jubail and Yanbu, Maaden, Civil Defence and the Ministry of Housing.

Among contracts it has received are ones from Yanbu and Jubail Export Refinery for Saudi Aramco, Al Lith and Hafer Al Baten under the Ministry of Water and recently the Haram Utilities in Makkah.




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