TUBACEX will construct a new tube and thread manufacturing plant in Abu Dhabi, which would be operational by 2024. It will be the first-ever facility for OCTG manufacturing in the Middle East.
TUBACEX Group has won its largest-ever project with Abu Dhabi National Oil Company (ADNOC) worth in excess of 30,000 tonne over ten years. The order is about the supply of comprehensive solutions for gas extraction in the Middle East.
Within the project, TUBACEX will construct a new tube and thread manufacturing plant in Abu Dhabi, which is expected to be operational by 2024. It will be the first-ever facility for Oil Country Tubular Goods (OCTG) manufacturing in the Middle East. This order is an addition to other recent multi-annual awards for the manufacturing of umbilical, nuclear, and aerospace tubes, giving TUBACEX a total backlog of more than EUR 1.5 billion. Backlog of orders, here, refers to the money amount of the product which was ordered by a customer and is not shipped yet.
The agreement signing took place during the “Make it in the Emirates” forum held in Abu Dhabi which brought together the largest industrial companies and investors in the UAE to share their development strategies and boost local manufacturing investment.
About the said order, Mr. Jesús Esmorís, CEO of TUBACEX, said that this agreement strengthens their long-term positioning in the Middle East market, boosting and consolidating their operational structure in the region.
After the inauguration of the new facility, the company will have three production plants in the region, that is, in Abu Dhabi, Saudi Arabia, and Dubai, where the service centers and sales offices are also situated.
With this agreement, TUBACEX has boosted its diversification plan, in line with the trend of decarbonisation and the energy transition towards green power and lower carbon.