Group Five Pipe secures $1.2bn Saudi contracts

07/06/2024 06:53 AST

Group Five Pipe Saudi Company has inked significant contracts worth SAR4.48 billion ($1.2 billion) with two major Saudi entities-Aramco and the Saline Water Conversion Corporation (SWCC)-to supply spiral-welded steel pipes for key projects, reports Trade Arabia.

Under the SAR1.48 billion deal with Aramco, Group Five Pipe will manufacture and supply spiral-welded steel pipes for one of Aramco's crucial projects. The contract, detailed in a filing to the Saudi bourse Tadawul, will be executed over 12 months. The financial impact of this agreement is expected to be reflected starting from the third quarter of the fiscal year 2025.

This contract follows closely on the heels of a SAR3 billion order from SWCC for the Ras Al Khair Water Transportation System Project. This project involves the supply of spiral-welded steel pipes to transport water from Ras Al Khair to Riyadh. Group Five Pipe announced that the work on this contract will be completed within 22 months, with financial effects beginning to show from the third quarter of the fiscal year 2024.

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