TPT May 2007

Industry News

Socotherm establishes new JV in Saudi Arabia

GIMME the best for metals manufacturing in China The Guangzhou International Metal & Metallurgy Exhibition (GIMME) will take place for the 8 th time from 21-24 June 2007. Taking place at the Guangzhou International convention and exhibition centre, China, it is reported that 70 per cent of 1,800 exhibition stands have already been booked. Covering 40,000m 2 of exhibit space, 30 per cent of exhibitors have also requested larger exhibit areas. The event consists of five exhibit areas, including processing equipment (wire, bar,

Socotherm Middle East, subsidiary of Socotherm, has established a new joint venture in Dammam, called Socotherm Arabia Ltd, in order to enter the Saudi market. The new JV has been established between Socotherm Middle East with a participation of 56.65 per cent and 14.5 per cent each for three important local industrial partners: the Global Suhaimi Group, the Al Shoaibi Group and the Al Khalaf Group. Although the new plant will be installed in Dammam by the end of 2007, during the interim period, Socotherm Middle East will support Aramco from their Qatar operation on any critical projects. The coating facility will be a highly advanced plant with a capacity to coat pipe from 6-60" with fusion bond epoxy, 3 layer PE and internal fusion bond epoxy or liquid epoxy, as well as a double joint facility. The plant will serve the local oil and gas market together with the water market. Saudi Arabia, the world’s biggest oil supplier, has announced the plan to increase its

crude oil production capacity by nearly 40 per cent by 2009 with a total investment of US$80bn. This would consequently increase its crude production capacity to 12.5 million barrels a day from the current figure of 9 million barrels. “The Middle East market has been dominated for over 20 years by our North American competitor but after only two years of operation in Qatar, Socotherm Middle East has received over 70 per cent of the Middle East market share outside of Saudi Arabia,” says Mr Zeno Soave, chairman and CEO of the Socotherm Group. “Therefore the managing director of Socotherm Middle East, Mr Bo Crawley, has been charged to carry out this new initiative in Saudi which expects a total investment of approximately US$50 million,” concludes Mr Soave.

fi GIMME will take place at the Guangzhou International convention and exhibition centre

Socotherm Group – Italy Fax : +39 0426 901 055 Email : info@socotherm.com Website : www.socotherm.com

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M ay /J une 2007