Hunting forms JV with Jindal SAW Ltd
Published by Nicholas Woodroof,
Hunting PLC has announced an agreement to form a new 49:51% joint venture with Jindal SAW Ltd.
The agreement formalises a closer working partnership between the two businesses, following the formation of a strategic alliance in 2019 when Hunting and Jindal began cooperating to develop their presence in the rapid growth Oil Country Tubular Goods (OCTG) market in India.
Under the terms of the joint venture agreement, Hunting and Jindal will build a dedicated premium connection threading facility in Nashik province, near to Jindal’s existing steel mill operations, with a proposed 130 000 ft2 manufacturing footprint. The facility is targeted to be operational by the end of 2022, with three threading lines being commissioned over time with an annual capacity of 50 000 t.
The facility will be utilised for all such manufacturing work once built and it is anticipated that the venture will employ circa 100 staff once fully operational.
The joint venture provides a mutual platform for significant growth in India, with Hunting’s connections being designated local content, as they will be manufactured domestically.
As part of the commercial agreement with Jindal, Hunting will provide a premium connection threading licence to the joint venture.
Jim Johnson, Chief Executive of Hunting, commented: “The Indian OCTG market provides significant growth potential for Hunting. We are delighted to have entered this joint venture agreement with Jindal, which leverages our excellent working relationship which we have built since 2019.”
Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/23122021/hunting-forms-jv-with-jindal-saw-ltd/
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