December 04, 2008

V&M Brazil to invest up to USD 170 million in 2008

BNamericas reported that V&M Brazil a subsidiary of French steel tube maker Vallourec is due to invest some BRR 250 million to BRR 300 million (USD 170 million) in 2008 in the South American country.

Disbursements will target the refurbishment of a blast furnace in addition to the construction of a steel treatment unit where the metal is cooled off rapidly from high temperatures.

In other future investments, Vallourec and Japanese group Sumitomo Metals formed earlier this year a JV to produce seamless pipes in Brazil's Minas Gerais state, expected to require USD 1.6 billion. Some infrastructure and drainage works are scheduled to occur by year end.

Vallourec also has pipe manufacturing plants France, Germany and the US.