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Khartsyzk Pipe output recovers 5.8x mom in September

Khartsyzk Pipe output recovers 5.8x mom in September

2 October 2012

Khartsyzsk Pipe (HRTR UK) increased its production of large diameter pipes 5.8x mom to 32.3 kt in September, Interfax reported yesterday. The company’s 9M12 pipe output was still down 27% yoy at 324 kt. 

Roman Topolyuk: September brought about a restoration in production volumes for Khartsyzsk Pipe, though it was still somewhat lower than our expectation of more than 40 kt (corresponding to its quantity of semi product purchased from Azovstal (AZST UK)). As previously reported by Metal Courier, the increase occurred because Khartsyzsk Pipe is working on a large Central Asian contract. Demand for large diameter pipes on the Russian market remain low and is being satisfied by local producers.

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