The Hindu Business Line : Welspun-Gujarat bags Rs 301-cr order from Algeria

WELSPUN-Gujarat Stahl Rohren Ltd has received a Rs 301.5-crore order from Stroy Transgas (Canadian gas major) as the EPC contractor of Sonatrach, Algeria.

The company had received a Rs 500 crore order from PGN, Indonesia a fortnight ago.

With these orders, Welspun has an outstanding order book position of over Rs 2,200 crore globally. The company is supplying pipes for the oil and gas sector.

"The maiden foray into Algerian gas grid is a testimony of the relationship that Welspun enjoys in world markets. The Algerian order also is of strategic importance since Northern Africa is a hub for supplying gas to European markets. These orders will also be a shot in the arm, since Algeria has proposals for laying more than 2,000 km of pipelines in the next few years," the company said quoting Mr B.K. Goenka, Vice-Chairman and Managing Director, Welspun Group.

The Stroy Transgas order requires Welspun to supply 163 km of 3LPE Coated onshore pipelines with outside diameter of 42 inch and wall thickness of 14.3 mm for the Gazoduc Sougueur-Hadjref Ennous project in Algeria. The pipe supplies are expected to be done between February and July 2006.

The company is expanding its pipe making capacity to 1.4 million tonnes of coated pipes per annum from 0.4 million tonnes by November 2005 at its Anjar facility.

Shares of Welspun Gujarat Stahl moved up by Rs 2.45 to 101.35 on the BSE.

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