JFE Steel Corp. has decided to increase production capacity for seamless 13% chromium oil country tubular goods (13%Cr OCTG) by approximately 30% at its Chita Works’ small diameter seamless pipe mill in Japan. Demand for natural gas is rising steadily as it is a clean source of energy. Amid active development of gas fields, demand for OCTG for drilling has risen sharply, especially for high-Cr OCTG products, which are highly corrosion resistant and can withstand the high temperatures and pressures in the many deep-well projects (to depths of approx. 4,000m) currently moving forward. JFE Steel has seen orders grow to around 8,000 tons/month. To meet this growing demand, JFE Steel decided to boost the capacity of the small-diameter seamless pipe mill. In the future JFE Steel aims to expand sales and development of higher grade HP13Cr, UHP15Cr and other high-Cr pipes as demand increases for pipes that can withstand the high temperatures and pressures in wells deeper than 5,000m.
