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Essar Steel has bagged two orders cumulatively worth Rs 400 crore for supply of steel pipes to West Asia and Africa. This takes the total order book of the pipe mill to about Rs 1,000 crore.
The company will supply 4,000 tonnes of API (American Petroleum Institute) grade line pipe for use by Chevron to construct offshore pipeline in Africa. Essar Steel will also ship out 45,000 tonnes of 48 inch high grade coated pipes to West Asia in the second quarter of this fiscal.
Dilip Oommen, Managing Director, said the company’s pipe mill has full-fledged inspection and testing facility to ensure production of high quality pipes.
Essar Steel pipe mill has the capability to manufacture 600,000 tonnes comprising 275,000 tonnes a year of API-grade HSAW (helical submerged arc welding) line pipes.
API grades of steel pipes require a fine grain structure for maximum impact resistance – an important performance feature for line pipe applications, preventing any crack in the steel from propagating down the line.
The company’s products have been accorded API certification besides recent approvals from Shell Global, ENI, Saipem, Occidental-Qatar and Ecopetrol, Pacific Rubilaes in Columbia.
“Our aim is to become a preferred supplier of quality steel to all domestic and global companies,” said Oommen.
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