One of the largest Russian pipe producers, Chelyabinsk Tube Rolling Plant (ChTPZ), has concluded an agreement with SMS Meer for the supply of equipment to its new pipe workshop.
Under the terms of the contract SMS Meer will supply equipment worth €160 million ($214 million) to ChTPZ, starting from October 2008.
The new workshop will produce single seam large diameter pipes with diameter of 508-1,420 mm, with internal and external coating. The new workshop with its capacity of 700,000 mt a year will start production in the middle of 2009.
ChTPZ's investment in the project totals about $500 million.