TMK (Pipe Metallurgical Company) will hold 51%, and Corinth Pipeworks S.A. will own 49% of the shares of the authorized capital of the TMK-CPW joint-venture.
Under the project, Corinth Pipeworks S.A. will install high-grade pipeline welding equipment at the Seversk Pipe Factory in the Sverdlovsk Region, in the Urals.
The joint-venture will produce electric-weld longitudinal pipes with a diameter of 168-530 mm, used for oil and natural gas exploration, and shaped tubes, used in construction and machinery-building.
Production is expected to start in the second quarter of 2007, with an estimated output of 300,000 tons of pipeline annually.
Established in 2001, TMK accounts for about 44% of Russia's pipe output. In 2005 the company produced 2.86 million metric tons of pipes, 750,000 metric tons of which was exported.
TMK supplies products to more than 60 countries, with clients including oil majors Royal Dutch Shell and Total, and Spanish energy company Repsol. Domestically the company produces pipes for the natural gas monopoly Gazprom, crude producers Rosneft, TNK-BP, Lukoil, Gazprom Neft, and others.
In addition to the oil and gas industries, TMK supplies pipes to the chemical and petrochemical, machine-building, power, and construction sectors.
