Tenaris, a global tubular products supplier based in the US, plans to upgrade its Koppel facility with an investment of $11mn. The steelmaker is upgrading a melt shop at its Koppel, Pennsylvania that was acquired from TMK in January. This plant has a capacity of 544,000tpy of round billets. With this investment, the company targets to expand its steel bar sizes to various capabilities and improve safety.
The expansion of IPSCO facility will enable the steelmaker to add 8.465 inches (215 mm) and 10.630 inches (270 mm) sizes to its product mix. The mill currently produces 6.500 inches (165mm) tubular products. It is estimated that the project will be completed by the end of Q2 2021. Also, Tenaris will upgrade its caster line to improve safety, IT and automation systems at the mill.
A sharp slump in oil prices early this year due to COVID-19 spread had halted the production of pipes at this facility. The steelmaker now expects demand to recover in 2021. In H1 2020, Tenaris reported losses amid weak demand and unfair imports of lower-priced pipe that have flooded a saturated market. These upgrades will help consolidate the company’s market position as an efficient supplier with a full range of made-in-America tubular products soon.