Khartsyzk Pipe may participate in Central Asian tender

Khartsyzk Pipe (HRTR UK), a producer based in the Donetsk region, is a possible participant in a tender for suppliers of large diameter pipes for a Chinese-financed pipeline project through central Asia that was launched this month in Tajikistan, Metal Courier reported on Sept. 15. Other possible competitors in the October-scheduled tender are Russia’s Chelyabinsk Pipe Plant and several Chinese companies. Tajikistan’s section of the pipeline is 400 km, out of a total length of around 1,000 km.

Roman Topolyuk: A 400 km project corresponds to a possible order totaling 280-320 kt of large diameter pipes, we estimate, which is 15-31% higher production than Khartsyzk achieved in 2013 (244 kt). As usual, the total order will be divided among several producers, so the Ukrainian plant can receive an order for some portion of the project, which would be a good addition to the company’s orders backlog. However, since Khartsyzk Pipe is idling due to the local warfare, its participation in the tender is questionable at the moment.