Welspun Corp Signs MoU with Saudi Aramco for LSAW Plant in Saudi Arabia

Homegrown global pipe manufacturer Welspun Corp Ltd (WCL) has taken a major step in advancing its international operations. The company announced the signing of a Memorandum of Understanding (MoU) with Saudi Aramco, the world’s leading integrated energy and chemicals company, to establish a state-of-the-art Longitudinal Submerged Arc Welded (LSAW) line pipe manufacturing facility in Saudi Arabia. 

The share price of Welspun Corp has surged by over 5% as of 9:30 AM on January 15, 2025.

Announcement at Aramco IKTVA Forum and Exhibition 2025

The MoU was signed during the Aramco IKTVA Forum & Exhibition 2025, underscoring Welspun’s strategic alignment with Saudi Arabia’s localisation and industrialisation initiatives. This greenfield facility is planned under Welspun Corp’s wholly-owned subsidiary in Saudi Arabia and is expected to become operational by mid-2026.

A High-Capacity Manufacturing Facility

The proposed facility will boast an annual production capacity of 350,000 metric tonnes, solidifying Welspun’s leadership in the global line pipe market. Strategically located in Dammam 3rd Industrial City, the plant will cater to Saudi Aramco’s diverse and evolving requirements, including:

• Oil and gas pipelines
• Hydrogen transmission infrastructure
• Carbon Capture, Utilisation, and Storage (CCUS) projects

Welspun Corp’s Long-Standing Relationship with Saudi Aramco

Welspun Corp has been a trusted supplier of line pipes to Saudi Aramco for nearly two decades, contributing to many landmark oil and gas pipeline projects in Saudi Arabia. This partnership reflects mutual trust and Welspun’s commitment to delivering high-quality solutions for the Kingdom’s energy infrastructure needs.

A Key Milestone for Localisation and Industrial Growth

Welspun Corp’s foray into Saudi Arabia aligns with the country’s Vision 2030 initiative, which focuses on economic diversification and localisation. The facility will not only boost Saudi Arabia’s industrial capabilities but also contribute to the creation of skilled jobs and the development of advanced technologies in the region.

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