Welspun bags $112-million Indonesian order for onshore pipes
03 October 2005
Mumbai: Welspun Gujarat Stahl Rohren Limited, the flagship company of the $500 million Welspun Group of India, has bagged a prestigious order for the supply of coated line pipes to the South Sumatra-West Java gas pipeline's phase II project, located in the Grissik Pagardewa region of Indonesia.
This order was awarded to Welspun by the premier company PGN of Indonesia. Earlier Welspun had bagged another prestigious order from Ameradahess, Indonesia for the supply of 42km of 18" sour service pipes.
PGN has awarded a total contract of $132.4 million to three companies. The major share of $112 million is bagged by Welspun Gujarat Stahl Rohren Ltd, while the balance is distributed to two local state-owned companies. The delivery has to be made between February and July 2006 and the project is expected to be complete in October 2006.
Commenting on the order, BK Goenka, vice chairman and managing director of the Welspun Group, said, "This is a significant order of considerable value from a reputed international player, as has been the case with Welspun this past year where we have obtained large international orders from global giants."
Welspun is a niche player globally in the high pressure oil and gas segment and has supplied very large diameter (56" O.D.) pipes, with heavy wall thickness to Iran.
According to a company press release, Welspun enjoys a global order book position of over $455 million including its current execution of the deepest ever offshore line pipe project in the world located in the Gulf of Mexico.