SAUDI Steel Pipe Company (SSP), one of the leading steel pipe manufacturers in the region, is looking at expanding its existing production facilities and investing in new plants so as to meet growing demand and also to enhance its product offering.
The company recently issued an initial public offering (IPO) towards this end.
Riyad Al Rabea, vice-chairman and managing director of SSP, comments that these projects will not only strengthen SSP but will also create job opportunities for Saudi nationals.
Meanwhile, SSP recently opened its new induction bending facility in the Second Industrial City of Dammam, adjacent to its pipe mill facility. The new facility will enable SSP to supply larger volumes of hot induction bends to local and overseas markets.
“With the new facility, bends in sizes from 2 inches to 48 inches and maximum thickness of 100 mm can be produced” said SSP official Mohammad Al Shaheen.
SSP is looking to expand its sales of such bends in the Middle East and North Africa (Mena) region by adding new clients to its existing customers’ list.
Long-term contracts with major customers had made the market more stable for SSP’s induction-bending business. The new facility is very versatile and includes, in addition to the existing bending machine, a new one with greater capacity, a heat treatment furnace, two bevelling machines, and a hydro-testing facility.
Occupying an area of 35,000 sq m, the facility is really a one-stop shop for all requirements of induction bends, says Al Shaheen.
The process utilises localised heating generated through high-frequency induction power to bend pipes to different radiuses and shapes. Applications for products emerging from the facility are numerous in the oil and gas, petrochemical, and power generation industries as they serve as a substitute for welded elbows and fittings. They are also used frequently in architectural structures for making creative shapes.
Saudi Steel Pipe Company, which produces galvanised and non-galvanised steel pipes and square and rectangular pipes, has been a pioneer manufacturer of ‘high-frequency induction (HFI) welding’ carbon steel pipes since 1980 and is known as a versatile manufacturer of that product in the region.
Annual capacity is 240,000 tonnes of HFI steel pipes produced through four distinct production lines for sizes from half an inch to 16 inches. It is currently upgrading its capabilities to include 18-inch and 20-inch categories by the end of 2009.
SSP is approved for ISO 9000, ISO 14000, API 5L, API 5CT and UL and has a remarkable list of accreditations from prestigious customers such as Saudi Aramco, Shell, Qatar QP, Bapco, KOC, KNPC, Gasco, Adnoc, Adco, and PDO plus many other oil and gas companies and contractors around the region. SSP is a joint venture between Saudi Arabia’s Rabiah & Nassar Company, Al Khorayef Sons Company, Fahd Al Saja and Korea HuSteel Pipe Company.