2013-01-09 08:34:34 -
Vallourec pursues its long-term collaboration
with Petrobras in Brazil
Belo Horizonte / Boulogne-Billancourt, 9 January 2013 - Vallourec, world leader
in premium tubular solutions, announces the renewal of its main frame agreement
with Brazilian national oil company Petrobras. Vallourec's Brazilian subsidiary
V & M do BRASIL and Petrobras have signed a 5-year-contract to supply Petrobras'
operations with premium OCTG products, including seamless pipes, steel grades
and connections using state-of-the art technology. These products
will be used
for Petrobras' offshore Oil & Gas exploration and production wells, including
the huge reservoir of the pre-salt fields. With proven reserves of up to 16
billion barrels, pre-salt should represent about 30% of Petrobras' production by
2020. The Brazilian national oil company is engaged in one of the largest
investment plans in the world, amounting to US$ 236.5 billion between 2012 and
2016, including US$ 141.8 billion for exploration and production, according to
the Business Plan announced by the company in 2012.
With this contract, Vallourec consolidates its worldwide leadership in the
supply of premium OCTG products for the Oil & Gas industry. Philippe Crouzet,
Chairman of Vallourec's Management Board, declared: "The renewal of the main
frame agreement with Petrobras is an important step in our long-term
collaboration, dating back to 60 years. We are honored to be trusted by
Petrobras, who is renowned for its technological excellence, to supply our most
advanced premium tubular solutions, and support them with our best innovation
capability in order to tackle the unequalled challenges of the pre-salt
Huge technical challenges ahead
The Brazilian pre-salt fields combine several additional challenges besides the
salt layer itself: well depths up to 7,000 meters, ultra deepwater conditions
with up to 2,000 meters between surface and seabed, acid corrosion caused by
H(2)S and CO(2) contaminants, temperatures and pressures tending toward High
Pressure/High Temperature conditions in certain areas. Associating all these
parameters together has an important impact on the exploration models, and on
the requirements for OCTG material able to withstand such a combination of
mechanical, corrosive and thermal constraints. Vallourec, through its sustained
innovation capability, is able to meet all these technological needs and will
supply Petrobras with the most advanced seamless pipes for sour service using
high alloyed material as well as the latest and unequalled advanced premium
connection VAM(®) 21.
Anticipating new demands for the pre-salt and growing challenges in the still
unexplored equatorial margins, Vallourec will open in 2013 a new R&D Center in
the State of Rio de Janeiro, located next to Petrobras' research center CENPES
in the Technological Park of Rio de Janeiro, and will expand its current R&D
facilities located in Belo Horizonte, Minas Gerais.
Vallourec is a world leader in premium tubular solutions primarily serving the
energy markets, as well as other industrial applications.
With over 22,000 employees, integrated manufacturing facilities, advanced R&D,
and presence in more than 20 countries, Vallourec offers its customers
innovative global solutions to meet the growing energy challenges of the 21(st)
Listed on NYSE Euronext in Paris (ISIN code: FR0000120354, Ticker VK) and
eligible for the Deferred Settlement System, Vallourec is included in the
following indices: MSCI World Index, Euronext 100 and CAC 40.
In the United States, Vallourec has a sponsored Level 1 American Depository
Receipt (ADR) program (ISIN code: US92023R2094, Ticker: VLOWY). The ratio of
Vallourec ADR to ordinary shares is 5:1).
VAM(®) is a registered trademark of the Vallourec group.
FOR FURTHER INFORMATION, PLEASE CONTACT
Tel: +33 (0)1 41 03 77 50
Tel: +33 (0)1 49 09 35 58
130109_PR Vallourec Petrobras_ENG_(pdf):
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Source: VALLOUREC via Thomson Reuters ONE