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U.S. Steel enters spiral welded tubular product agreement
- April 4, 2007
- News Release
- Metals/Materials
United States Steel Corp. has announced that it has entered into a definitive agreement to form a joint venture with POSCO, a Republic of Korea steel producer, and SeAH Steel Corporation (SeAH), a manufacturer of tubular products in the Republic of Korea, to design, engineer, and construct a manufacturing facility capable of producing 300,000 net tons of spiral welded tubular products annually in 24 in. to 64 in. O.D. The newly formed joint venture will be named United Spiral Pipe, LLC.
Under the terms of the agreement, U. S. Steel and POSCO each will hold a 35-percent ownership interest in the joint venture, with the remaining 30-percent ownership interest being held by SeAH. The joint venture investment will total approximately $93 million, and profits of the joint venture will be shared between the partners based upon their respective ownership interests. The new spiral welded facility, which is expected to begin production in 2008, will be located adjacent to the USS-POSCO Industries (UPI) facilities in Pittsburg, Calif., on land currently owned by UPI.
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