Inerco Global International and PT Artas Energi Petrogas begin construction of Southeast Asia’s first seamless pipe manufacturing facility at Cilegon in Banten. The project is expected to increase domestic steel pipe production and reduce dependence on imports, especially to meet the needs of the gas network in Indonesia.
Nov 11, 2024
Construction began at Cilegon in Banten, the westernmost province of Java Island in Indonesia, to build Southeast Asia’s first seamless pipe manufacturing facility.
Two Indonesian companies, which include a leading seamless pipe manufacturer and a well-established steel pipe supplier, had entered into a strategic partnership in September this year, to establish Southeast Asia’s first seamless pipe manufacturing facility on the picturesque islands of Java.
Inerco Global International entered into a cooperation agreement worth around USD 325 million with PT Artas Energi Petrogas to set up a seamless pipe production plant within the Krakatau Steel industry complex in Banten.
The plant would be able to address the growing demand for seamless steel pipes in Indonesia’s oil and gas sector, which currently stood around 500,000 tons per annum.
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The project was expected to increase domestic steel pipe production and reduce dependence on imports, especially to meet the needs of the gas network in Indonesia.
