Saudi SeAH Gulf Special Steel has entered into an agreement for the construction of a pipe plant

Saudi SeAH Gulf Special Steel has signed an agreement for the design and construction of its stainless steel seamless pipe plant with the local Sendan International Company. Sadi Gulf Projects reports about it.

The value of the contract with Sendan International Company is $69 million. The company will have a production capacity of 20,000 tons of pipes per year. Its products to be used in the oil and gas sector and will be exported.

SeAH Gulf Special Steel also signed an agreement with the King Salman Energy Park (SPARK) project to lease industrial land for the enterprise.

Commercial operation of the plant is expected to begin by 2025. It is planned to create 240 workplaces here. According to the company’s message, the operation of the new pipe plant will help reduce Saudi Arabia’s dependence on the import of strategic goods.

As GMK Center reported earlier, according to the Minister of Industry and Mineral Resources of Saudi Arabia, Bandar Al-Khorayef, the government is convinced of the need to invest in the country’s steel production. It was recently announced, that three steel plants to be built in Saudi Arabia for $9.3 billion. The total production capacity of the new enterprises will be about 6.2 million tons.

As GMK Center wrote before, India’s largest steel company, Tata Steel, has received permission from the Punjab state government to build a new EAF plant in Ludhiana.