Russian pipe producer TMK Group and leading Russian oil company TNK-BP have extended their agreement on global cooperation till 2012, thus making the current agreement the largest single contract ever concluded between Russian pipe producers and oil and gas companies.
According to the terms of agreement, over the next five years TNK-BP will buy various tubulars from TMK for an amount of $2 billion.
The success achieved under the previous terms of cooperation between TMK and TNK-BP has led to the expansion of the cooperation between the two companies to cover a number of areas including product development and the provision of regional tubular repair services to TNK-BP.
TNK-BP president and CEO Robert Dudley expressed no doubt regarding the success of his company's cooperation with TMK, adding "Through our joint efforts over the last three years, we have achieved excellent results in quality enhancement, extension of the product range, and the introduction of new tubular technologies. Our new agreement is not only the logical development of our strategic partnership, it opens a new page in the technical and economic cooperation between our two companies."
Commenting on the agreement, TMK CEO Konstantin Semerikov stated, "TMK's strategy is based on long-term partnership with oil and gas companies. We do our best to provide them with an innovative and broad range of products and services. Our cooperation agreement with TNK-BP relies on the best Russian and international practices of supply chain development for the energy sector, enhanced with additional expertise acquired throughout the implementation of the company's Strategic Investment Programme and TMK's expansion into oil and gas services."