Last month meeting of representatives of RUE “BMZ”, DUFERCO S.A. (Switzerland), and Pisec Group GmbH (Austria) was held to establish a joint-venture in the form of a limited company named BMZ TUBULARS. During the meeting articles of incorporation and minutes of the supervisory council were signed and a certificate of registration of the new facility for OCTG pipes finishing was issued by Gomel Regional Executive Committee.

Mr. John V. Blomberg, vice-president of the Swiss company, Mr. Karl J. Pisec, director of the Austrian company, and Mr. A.N. Savianok, general director of Byelorussian Steel works signed the new project which implementation will allow BMZ to increase pipe mill output and start the production of products with a higher added value. RUE “BMZ” share in the authorized capital of the new company is 51%. It is planned that BMZ TUBULARS will purchase green pipes from the plant and finish them against API 5CT standard.

The new finishing facility will produce OCTG pipes diameter 60,3-168,3 mm with wall thickness 4,24-22,22 mm up to 15 m long as well as couplings for them. The planned sales volume of BMZ seamless pipes may reach 100 thousand tons per year depending on the product mix.

Implementation of the project will allow the plant to extend pipe processing and develop production of a high- tech product of a principally new quality. It will bepossible to extend sales markets, gain additional earnings from the sales of pipes with bigger added value and increase pipe mill production output in general.

The next steps in establishing of BMZ TUBULARS will be selection of a construction site and design and construction works. It is planned to complete the project implementation in 2014.