Power of Siberia to use Severstal pipes

Alexey Mordashov, Severstal’s CEO, announced that OAO Severstal’s St. Petersburg-based operations, the Izhora Pipe Mill and Mill 5000 at the Cherepovets Steel Mill’s 3rd Sheet-Rolling Shop, is ready to supply pipes for Gazprom’s new Power of Siberia gas transmission project.

The Yakutia-Khabarovsk-Vladivostok pipeline, recently renamed the Power of Siberia project, runs from the Chayandinsky oil and gas condensate field to Vladivostok and is expected to be completed by 2017. The area of land covered by the system is highly seismic, and requires specialty pipes that will ensure safe and reliable gas transmission.

The pipes for the project were developed as part of Severstal’s long-term development program running from 2012 to 2016. The program has been focused on the manufacturing of pipe products for deep-sea pipelines as well as the establishment of production facilities for metal-rolled products and sulphurous gas pipes and pipes spanning active tectonic faults.

The Izhora Pipe Mill is among Russia’s and the CIS’ foremost commercial producers of ultra-strength pipes from high-strength grade K65 steel. These pipes are being supplied for the construction of the Bovanenkovo-Ukhta section of the main gas pipeline system. This section is notable for the harsh weather conditions it endures including extreme low temperatures.

Mordashov commented, “The Izhora Pipe Mill has a history of successful cooperation with Gazprom in developing innovative, leading-edge products, including supplying the Power of Siberia mega-project. Severstal’s technological excellence has allowed us to efficiently design and implement bespoke pipe product manufacturing technology for this major project.”