Essar to supply hot-rolled coil to Iran pipe firm

Essar Steel has signed an agreement with Ahwaz Pipe Mill of Iran to supply 100,000 tonnes of API grade hot-rolled coils.

Ahwaz is largest manufacturer of line pipes in Iran. It was set up under the aegis of the National Iranian Oil Company for manufacture of API grade line pipes.

The company can make 560,000 tonnes a year.

The agreement was signed during a recent visit to India by M.T. Soleimani Ashtiani, managing director of Ahwaz and S.H. Ghorbani, commercial director.

They also visited Essar Steel's plant at Hazira on the west coast of India. This order will be executed over a year from January.

Essar Steel is part of the Essar Group, which has interests in steel, shipping, power, telecom and construction. According to director Prashant Ruia, Essar Steel is executing an order of 70,000 tonnes of API grade hot-rolled coils for Ahwaz, which will be completed in December.

In four years Essar has supplied 100,000 tonnes of hot rolled coils to Ahwaz Pipe Mill.

Essar Steel has a base in Dubai to explore opportunities in the booming Middle East. It exports large quantities of steel products to Saudi Arabia, Iran and the UAE.

On average, Essar sells 20 per cent of its exports in the Middle East, or approximately 200,000 tonnes worth $60 million.

Essar Steel's modern 2.4 million tonnes per annum hot-rolled coil plant at Hazira, Gujarat, is the first and largest of India's new generation steel mills. World class equipment and high automation at the facility ensure international quality products.

According to Ruia, Essar is a versatile manufacturer with customised products, competing against top-of-the-league international steel producers.

For instance, only a few other world-class manufacturers can make higher API grade and low sulphur AI grade steel suitable for sour product applications.

Essar Steel is India's first integrated steel plant to receive both ISO 9002 and ISO 14001 certification for best environment management practices.

The products of Essar Steel have quality certifications from TUV Rhine-land, Lloyds Register (UK), RDSO Lucknow (Rail-ways) and BIS OITC among others.