Jindal SAW, Hunting Energy unveil $25 million OCTG plant in India

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Jindal SAW, Hunting Energy unveil $25 million OCTG plant in India

Jindal SAW, Hunting Energy unveil $25 million OCTG plant in India

Industry News
Sep 20,23

Jindal SAW, a homegrown company, officially inaugurated a state-of-the-art facility worth $25 million in Maharashtra, through a joint venture with the US-based Hunting Energy Services. This partnership, which began in 2019, enabled Jindal Saw to access Hunting's patented connections technology for producing finished seamless casing and tubing within India.

In the framework of this collaboration, the joint venture entity, known as Jindal Hunting Energy Services (JHESL), has invested more than $25 million to establish an Oil Country Tubular Goods (OCTG) threading plant located in Nashik. Neeraj Kumar, Group Chief Executive Officer and Whole-Time Director of Jindal SAW Ltd, shared this information during an interaction with PTI.

JHESL's facility stands as the sole establishment in India that manufactures and supplies pipes and tubes with premium connections to the OCTG market within the domestic oil and gas sector. The plant boasts an annual production capacity of 70,000 metric tonnes.

Explaining the motivation behind this strategic move, Kumar emphasised that the investment represents a substantial business opportunity within the current domestic market context. India currently imports millions of dollar worth of OTGC products. By offering domestically manufactured products at competitive prices, domestic players in the oil and gas sector will benefit significantly.

The ownership structure of the joint venture will see Jindal SAW holding a majority 51% stake, with Hunting Energy owning the remaining 49%.

PR Jindal, Chairman of Jindal SAW Ltd, noted that this initiative aligns with the government's AatmaNirbhar (self-reliant) initiative. The cutting-edge facility will supply world-class products to businesses that previously relied on imports.

Jim Johnson, CEO of Hunting PLC, expressed enthusiasm for introducing more advanced connection technology in the future. He expressed confidence that this Joint Venture Manufacturing Hub would bring substantial advantages to the local oil and gas industry while contributing to India's ongoing energy transition.

Jindal SAW is a renowned manufacturer and supplier of steel pipe products, fittings, and accessories, with manufacturing facilities located in India, the US, Europe, and the UAE.

Source: ETEnergyworld