NATIONAL Pipe Company (NPC), a leading manufacturer of large diameter steel pipes in Saudi Arabia, will be launching a new production line next year, to meet the anticipated increase in market demand.

The Al Khobar-based company has been producing to full capacity, according to Nader Al Baadi, an executive at the company’s commercial department.

NPC manufactures two types of submerged arc welded (SAW) steel pipes: helical (also known as spiral) pipe; and longitudinal seam (or straight).

It annually produces 430,000 tonnes of pipe ranging from Grade B to X70 conforming to API 5L standards. This includes 250,000 tonnes of helical pipes in diameters ranging from 20 to 84 inches, thickness of 0.250 to 0.875 inches, and in lengths ranging between 40 to 80 ft; and 180,000 tonnes of longitudinal pipe in diameters ranging from 24 to 60 inches, thicknesses of 0.250 to 1.200 inches and in lengths of up to 40 ft.

Al Baadi says the construction sector in Saudi Arabia is witnessing a high level of buoyancy due to the support extended by the government to national companies, as well as the international appeal of the Saudi market in attracting foreign investment. This is evident in the number of projects launched in various sectors such as construction, water, gas and oil transport.

As such, NPC’s planned new production line will fulfill market needs and create more job opportunities for Saudis, he says.

The company has been involved in key projects in the country including the Ras Al Khair project for the Saline Water Conversion Corporation (SWCC), which will carry water from Ras El Khair to Riyadh and other regions in the kingdom. It is also currently working on the Shaybah and Waset projects for Saudi Aramco.

In the UAE, NPC has recently supplied to the Liwa project in Abu Dhabi.

The global financial downturn did have an effect on the company in common with a lot of companies, according to Al Baadi. “For us, its effect was reflected in the change in the prices of raw materials, whether local or imported. But we managed to overcome this crisis and showed good overall performance,” he adds.

Established in 1978, NPC manufactures steel pipes for various applications such as the transmission of oil, natural gas and water, and for structural use.

Its helical pipe facility started commercial production in December 1980, and since then, the company has been supplying quality pipes to Saudi Aramco, SWCC and many other prominent clients in Saudi Arabia and other GCC countries.

Its longitudinal pipe mill, which launched commercial production in September 2001, aims at meeting the growing demand for pipes with heavier wall thicknesses especially for natural gas transmission lines required for the development of non-associated gas fields and the construction of gas refinery plants in Saudi Arabia as well as other GCC countries.

NPC employs 500 people, 40 per cent of whom are Saudis in line with the company’s Saudiisation policy. It has a technical and management partnership with Sumitomo Metal Industries of Japan, a leading manufacturer of steel and steel products and a major shareholder in the company.