Vallourec has signed a new agreement with Saudi Aramco aimed at strengthening commercial, industrial and technological ties between the two companies. The agreement was signed during the France-Saudi Arabia Investment Roundtable held in Paris.
The commercial relationship between the two companies dates back to 1962. That year, Vallourec and Aramco signed an agreement for the supply of the first generation of VAM® connections used in oil country tubular goods (OCTG).
Vallourec expands production activities in Saudi Arabia
Over nearly 65 years, Vallourec has expanded its presence in Saudi Arabia. In 2011, the company established Vallourec Saudi Arabia (VSA) and launched its facility in Dammam. The facility enabled the local heat treatment of pipes and threading of premium VAM® connections.
In 2022, Vallourec signed a long-term agreement with Aramco for the supply of locally produced premium OCTG pipes. In 2023, the company received the “Best Improved Quality Performance” award as part of the Aramco Local Manufacturers Quality Excellence Awards.
Vallourec stated that it continues to invest in Saudi Arabia through R&D projects and initiatives aimed at expanding its production capacity. The company also said it is working to localize the production of products required for new projects in the country.
Vallourec Chairman and CEO Philippe Guillemot said the new agreement reflects the relationship between the two companies that has continued since 1962. Guillemot stated that Vallourec’s local industrial presence in Saudi Arabia enables the company to serve Aramco and help ensure the country’s security of supply despite current logistical constraints.
Comments
No comment yet.