Vyksa Steel Works (Vyksa), a subsidiary of Russian steel and pipe producing holding United Metallurgical Company (OMK) has announced the completion of the tender aimed at choosing suppliers for the modernization of its electro-welded pipes workshop No. 5 in 2008-2009. The total volume of investment is Ruble 1.2 billion (about $49 million).
The reconstruction of electro-welded pipes workshop No.5 , which produces casting pipes used in development of oil and gas fields, involves the modernization of the entry section of electro-welding mill TECA 114-245, installation of two new coupling-cutting devices and also the completion of a third pipe cutting line.
The modernization of the entry section of the mill, which is planned to be completed in October 2008, comprises the replacement of the slitting unit, which will be produced by Ukrainian company Starokramatorsk Engineering Plant, the replacement of the high-volatile cutting-off machine and the knife package of the butt-welding machine, which is to be supplied by Japanese firm Kusakabe, and also the replacement of the looper, the supplier of which is the Central Scientific and Research Institute Burevestnik, Nizhny Novgorod.
Meanwhile, German plantmaker EMAG will supply Vyksa with two new coupling-cutting devices, the first of which will be delivered in November 2008 with production being commissioned in February 2009, whereas the second device and a new pipe cutting line is scheduled for commissioning in the middle of 2009.
The completion of the third pipe cutting line will be finished in April 2009, while the commission of this line is planned for June 2009.
The implementation of this modernization project will allow Vyksa to increase the annual production volume at its electro-welded pipes workshop No. 5 from the current 290,000 metric tons to 400,000 metric tons.
In addition, this modernization project will allow OMK to strengthen its position in the booming Russian as well as world market for small and medium diameter pipes used in the development of oil and gas fields and also in the construction of pipelines.