

Interpipe, a global producer of steel pipes, plans to set up a representative office in Jebel Ali Free Zone (Jafza).
The company views the Middle East as an important market as it is the region of high consumption of oil and gas products with a relative lack of local producers. Last year the company achieved a 50 per cent increase in sales in the Middle East and North Africa prompting it to have a new office in the region.
It is also looking at opening a warehouse and cited the presence of a number of customers in Jafza as one of the main reasons for setting up an office there. The company considers Dubai as a strong trading platform for the ME region.
Two of the Ukraine-based company’s mills have recently gained pre-qualification from two leading oil producing companies – Kuwait Oil Company (KOC) and Abu Dhabi National Oil Company (Adnoc) – and views this as an opportunity to extend its customer base and improve its sales in the regional market.
Interpipe Niko Tube has been approved for inclusion in KOC’s approved list of manufacturers for oil and gas pipes produced in accordance with API 5CT. Interpipe Niko Tube and Interpipe NTRP have gained pre-qualification from Adnoc (UAE) and been approved for inclusion in the list of manufacturers for oil and gas pipes produced in accordance with API 5L.
Interpipe’s product range comprises seamless and welded steel pipe products both hot and cold rolled. The seamless steel pipes range includes oil and gas pipes, line pipes, mechanical pipes, and pipes for industrial application. The welded steel pipes range includes large diameter tubes and line pipes for oil and gas transportation and structural purposes. Its production facilities correspond with ISO 9001: 2001 and API Q1.
The company has also recently commenced the upgrade of its finishing lines at the Interpipe Niko Tube facility as part of its ongoing programme of investment in its production facilities. This investment involves replacement of existing finishing lines with two higher productivity lines that will be equipped with state-of-the-art NDT units, according to Andrey Korotkov, Interpipe director for production and investments.
“Interpipe has designated the increase of pipe production at the Interpipe Niko Tube mill as a key part of its overall business development programme. Investment in new finishing lines is crucial to be able to deliver this upswing in productivity, and this investment will increase the production levels of finishing lines at the mill to 525,000 tonnes per year.”
The first line is scheduled for launch in October 2008, the second in December 2008.
Interpipe is one of the fastest growing producers in Eastern and Central Europe. With an annual turnover in excess of $1.4 billion, it produces 2 per cent of the world’s seamless pipes and 12.8 per cent of railway wheels. The company has a rapidly growing global business in 76 countries around the world and a network of sales offices in Russia, Kazakhstan, Europe and the USA.
Interpipe’s key market is the oil and gas industry. In 2006, approximately 65 per cent of its revenues from the pipe segment were derived from sales to customers operating in the oil and gas industry. In 2006, around 78 per cent of Interpipe’s revenues in the pipe segment were derived from sales of seamless pipe products.
According to 2006 results, Interpipe is the ninth largest producer of seamless pipes worldwide, the third largest producer of seamless pipes in the CIS region and the largest producer in Ukraine.
In sales structure by pipe products, pipes for oil and gas industry make up nearly 59 per cent; pipes for industrial application around 38 per cent and pipes for mechanical applications approximately 3 per cent. Products are in compliance with API 5CT, API 5L, EN (DIN), ASTM, GOST and customer specifications. The quality management system is in compliance with ISO 9001 and API Spec Q1. The company mills have ISO 14001 certification.
Its industrial assets are based in four Ukrainian mills in the Dnepropetrovsk region. In March 2007 Interpipe signed a contract to build a 1.3-million-tonne turnkey electric steel melting plant.