August 2012, Vol. 239 No. 8

Projects

Gazprom Cutting Back On Pipe Suppliers

The reduced demand from Gazprom, one of Russia’s largest pipe buyers, is a disappointment to pipe plants that invested heavily in new technology to position themselves as its suppliers of choice. Gazprom reached a record last year, buying 2.2 million tons of big-diameter pipes.

Purchases will decline 40% this year with demand from the company hovering at around 1.4 million tons for the next few years. However, Gazprom insist that its investment plans remain strong despite the global economic uncertainty.