Russia-based pipe producing company United Metallurgical Company (OMK) held a ribbon-cutting ceremony to open its new pipe-manufacturing facility in Houston, Texas, US. The $100 million investment was made in response to rising demand for oil country tubular goods (OCTG), especially driven by strong demand in North America’s shale plays.
Starting in March 2012, construction was completed in December of the same year. The facility’s first pipe run took place on December 19 last, and the plant is expected to reach full capacity by July this year.
The new mill will produce line pipe with outside diameters of 2 3/8"-3 1/2", and casings in an outside diameter range of 4 1/2"-7", in a thickness range of 0.118"-0.5". Pipe lengths produced will vary in the range of 20-65 feet. Hot rolled coil (HRC) steel to feed the plant will be sourced from local suppliers.
The pipe mill is designed to produce about 200,000 mt of OCTG per year. API certification is expected by early April 2013. Pipes from the facility will service OCTG markets across the US.