OREANDA-NEWS. On September 25, the Nord Stream Shareholder Committee resolved to sign an agreement with Europipe and OMK for a supply of 1.1 million tonnes of pipes for the first strand of the Nord Stream subsea section. According to the Nord Stream shareholders  evaluation, both producers proved to have the required competence and capacity for the production and supply of pipes for this Europe's largest project. Among the bidders there were manufacturers from three countries: Germany, Japan, and Russia. Based on the bidding results, pipes for Nord Stream will be supplied by Europipe, Germany, and OMK, Russia.

According to the OMK press office, pipe shipments for the first strand of the gas pipe line will start in 2008 to be completed in 2009. Under the agreement, Vyksa Steel Works will supply pipes of the most sophisticated segment (diameter: 1,220 mm; wall thicknesses: 30.9 mm, 34.6 mm, and 41.0 mm).

" We believe that this success was achieved not only by our company, but also by the entire Russian pipe industry,"  OMK's President Vladimir Markin said.  As early as last April, OMK became Russia's and the CIS' first and the only qualified producer of subsea pipes to DNV-OS-F101. Back then, Nord Stream specialists noted a high technological capacity of Vyksa Steel Works and a high proficiency of its personnel. Based on the bidding results, the company will supply 280,000 tonnes of pipes for the first strand of the gas pipe line. In a technological sense the pipes are unique, with their wall thicknesses of up to 41 mm.

The successful bidding results were due to OMK's large-scale investments in the modernization of its large-diameter pipe-rolling facilities. In 2007-2008, the Company plans to allocate an additional amount of over 5 billion rubles for its further upgrading. Vyksa Steel Works will also be engaged in the largest domestic pipeline projects during that period. 

United Metallurgical Company (OMK) is one of Russia's largest producers of pipes, railroad wheels, and other metal products for energy, transport, and industrial companies. OMK comprises six largest enterprises in the metallurgical sector. The OMK Pipe-Rolling Division comprises Vyksa Steel Works (Nizhni Novgorod Region), Almetyevsk Pipe Plant (Republic of Tatarstan), and Trubodetal (Chelyabinsk Region); the OMK Steel Works Division comprises Chusovoy Metallurgical Works and Gubakha Coke (Perm Territory), and Shchelkovo Steel Works (Moscow Region). In 2006, OMK products accounted for 20% of pipes consumed in Russia, including 41% of large diameter pipes, 63% of railroad wheels, and more than 70% of automobile springs.