Tata Steel has signed a series of contracts with Subsea 7 – one of the world’s leading contractors in engineering, construction and subsea services to the offshore industry – to supply undersea pipes to four separate North Sea projects.
The four contracts, signed over the past year and worth an estimated £10 million in total, will see Tata Steel supply in excess of 55km of pipe weighing more than 9,000 tonnes.
To mark the strengthening relations between the two companies, Tata Steel and Subsea 7 have also signed a global framework agreement. This agreement cements and formalises the companies’ long-standing partnership, which first began 25 years ago.
Tata Steel is a leading supplier of products and services to the oil and gas industry. Under the contracts, the company will supply around 28km of carrier pipe, more than 27km of sleeve pipe, girth welding and triple jointing and the application of Glass Flake Epoxy pipe coating. The pipes will be manufactured at the company’s Hartlepool pipe mills in the UK, before being welded and coated at its offshore processing centre, also in Hartlepool.
Richard Broughton, Commercial Manager Exploration and Production, Energy & Power, said: “Our work with Subsea 7 over the years has been extensive, particularly in the North Sea oil and gas industry, which has become an increasingly important market for us. The new framework agreement will extend the work our companies already do together on a global scale, demonstrating the value of Tata Steel in today’s oil and gas industry.
“We have the ability to provide the carrier and sleeve pipe and carry out the coating work in-house, demonstrating the customer-focused approach Tata Steel takes. Subsea 7 is an important supply chain partner and our relationship with the company continues to grow.”
There is forecast to be high growth in the coming years in the subsea, umbilicals, risers and flowlines markets that the two companies serve.
Richard Broughton added: “This latest series of contracts further demonstrates the breadth of our offering to the Energy & Power sector. Over the last 25 years we have provided more than 83,000 tonnes of pipe to Subsea 7 for 37 projects worldwide. From production to engineering, our ability to consistently add value to the services we provide is what sets us apart in the market place.”
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About Tata Steel’s European operations
Tata Steel is Europe's second largest steel producer, with steelmaking in the UK and Netherlands, and manufacturing plants across Europe. The company supplies products and services to the most demanding markets, including construction, automotive, packaging, rail, lifting & excavating, energy & power and aerospace. The combined Tata Steel group is one of the world’s largest steel producers, with a steel capacity of 29 million tonnes and 80,000 employees across four continents.