Vitaly Sadykov, general director of ChTPZ Group, indicated that
Russia's steel
pipe market would expand in 2006-2007 due to increased demand from the oil sector.
Sadykov said that the oil industry's 5-7 percent growth in
consumption would help drive demand for large-diameter pipes up more than 15 percent.
Sadykov also indicated that ChTPZ Group's Pervouralsk Novotrubny Works (PNTZ) is expected to cut
pipe output in 2006 due to the restrictions on exports to
Europe. On the other hand, he added that Group's Chelyabinsk
Pipe Rolling Plant would increase
pipe output 20 percent.