OREANDA-NEWS. On 15 July 2009 was announced, that Vyksa Steel Works (VSW, Nizhni Novgorod Region), part of United Metallurgical Company (OMK), had reported its operating results for April and the 5 months of 2009.

In May, VSW produced 66,741 tonnes of large-diameter pipes (LDP), which is 38.2% more than in May 2008 (48,282 tonnes). Its LDP output reached 383,232 tonnes from the beginning of 2008, or 28.3% more than during January-May 2008 (298,817 tonnes).

VSW’s total output in May was 115,519 tonnes of pipes of various grades, which is 3.1% lower than in the equivalent period in 2008 (119,238 tonnes). From the beginning of 2008, VSW manufactured 606,330 tonnes of pipes, or 2% less than in the equivalent period in 2008 (618,515 tonnes).

The VSW Wheel Rolling Facility produced 39,172 railroad wheels in May 2009 (as compared with 60,123 wheels in May 2008). From the beginning of the year, it produced 187,539 wheels (as compared with 341,765 wheels in the equivalent period in 2008).

“The significant increase in LDP output in May was largely due to OMK’s participation in several megaprojects for the construction of long-distance pipelines,” said VSW Executive Director Vladimir Kochetkov. “Last month, VSW manufactured another large LDP batch for the construction of the subsea gas pipeline Nord Stream, including the world’s unique pipes – ones with a wall thickness of 41 mm, which is maximal for pipes of 1,219 mm in diameter. We continued with our LDP production under the gas pipeline projects Central Asia – China and Dzhubga-Sochi for Gazprom, Transneft and other companies.”

According to VSW Executive Director, VSW’s lower, as compared with last year, output of small- and medium-diameter pipes and railroad wheels is due to the market instability caused by the global economic crisis.

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 2007, OMK products accounted for 18% of pipes consumed in Russia, including 34% of large diameter pipes, 62% of railroad wheels, and 75% of automobile springs. In 2007, the OMK enterprises produced 1.8 million tonnes of pipes of various sizes and 820 thousand railroad wheels. The main consumers of OMK products include such leading Russian and foreign companies as Gazprom, Russian Railways, LUKOIL, Transneft, Surgutneftegas, Rosneft, TNK-BP, ExxonMobil, Royal Dutch/Shell, General Electric, and Samsung. OMK supplies its products to 20 countries.