Austrian firm sets up oil industry equipment plant

Austria's Klinger group has tied up with the Abu Dhabi Oilfield Services (Ados) to set up a factory here. The Ados-Klinger gasket factory, with an initial investment of Dh7.34 million, officially opened last month to manufacture a wide range of gaskets and fluid sealing devices for regional markets.

Dr. Thomas Klinger-Lohr, chairman of the Austrian group, said they are focussing on the GCC markets in view of the growing demand for products needed by the oil, gas and petrochemical industries and the power sector. "Oil prices have stabilised, encouraging a lot of activity in the oil and gas sector in the region, creating a demand for products such as ours," he said.

Klinger set up a gasket factory in Kuwait two years ago and last year set up another in Iran. Encouraged by the success of these two factories and the growing demand for gaskets, Klinger ventured into the UAE.

The investment in this plant was made by Ados. "It is not a joint venture but a 100 per cent locally owned company. Klinger will provide the technology and raw material," Ados Managing Director Zuhair Shehada said.

The product range of the plant includes asbestos-free soft cut gaskets, spiral wound maxiflex gaskets, exotic material half-inch to 60-inch and metal jacketed gaskets in a wide range of designs and materials for heat exchanger and process vessel applications.

Set up in 1886, the Klinger Group has 11 factories and 18 trading companies worldwide. Ados has been serving the oil industry since 1972.