Overseas Payouts
Hyundai Steel, after its belated entry into the steel plate market, is getting a host of orders from its overseas projects.
The steel company announced on April 17 that the company is scheduled to supply 25,000 tons of steel products by June 30, including 12,000 tons of steel plates, to be used for the Satah Al Razboot (SARB) project under an order placed by United Arab Emirates (UAE)’s state-run Abu Dhabi Marine Operating Company (ADMA-OPCO).
The SARB project, headed by Hyundai Engineering and Construction, is to build a large-scale oil field including oil platforms, bridges, and facilities, and is costing about 2 trillion won (US$1.9 billion). It is an extremely challenging project, since the platforms are to be built in the deep sea. High performance steel plates that are used for marine structures and oil production facilities are tricky to make, since they are hard to roll and work with.
The quenching & tempering materials that the steel company is providing for the water tanks involved in the project provide a lot of extra value to the project. The water tanks are not simply storage for water. They are special tanks to store crude oil and byproducts that are extracted from the sea.
A company associate said, “We are trying to lead the market by focusing on developing strategic products such as the ones that can sustain their physical traits regardless of the surroundings. We are planning to secure the global number one spot in product competitiveness by beefing up overseas project orders amidst the steel market recession.”
The company manufactured tanks for GS Caltex Yeosu Production Facility in December 2013 and provided thick steel plates to be used for Istanbul’s third bridge on the Bosphorus, Turkey, in January 2014.
The company grabbed the Bosphorus project one year after it ventured into developing high-performance steel plates. The company is to forge ahead in its effort to strengthen profitability and exploring new markets by developing new strategic technology products.