In early December 2006, the plant, which specializes in producing components for oil and gas drilling devices and pump tubes, was excluded by a presidential decree from the list of strategic enterprises.
"TMK has acquired 100% of the plant's common registered non-documentary shares, which represents 75% of the enterprise's charter capital. The powers of the sole executive body of the Orsk machine-building plant have passed over to TMK as of February 1, 2007," TMK said in a press release.
The company said the purchase is part of a strategy to increase TMK's share of oil and gas services in its sales, and to expand output of high-tech products.
Established in 2001, TMK accounts for 42% of Russia's steel pipe output. It 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 sectors, TMK supplies pipes to the chemical and petrochemical, machine-building, power, and construction industries.
