PV GAS, PV PIPE, Steel Flower Co., Ltd. and Busan City held the signing ceremony of the Memorandum of Understanding (MOU)
The Steel Pipe Plant Project with PV PIPE as the Investor has the total invested capital of VND 2,175 billion; its construction was started on 25/10/2010. The Plant invested in LSAW (Longitudinally Submerged Arc Welded) and 3-Roll Bending technology and production line, with all synchronous equipment imported from Germany, Switzerland and EU. The Plant capacity reaches 100,000 tons/year under one-shift working mode and 200,000 tons/year under two-shift working mode. The construction of steel pipe plant project has been completed on schedule and ready for production in support of projects as planned.
To implement the Resolution of PV Gas’ Board of Directors on approving the signature of the MOU with Busan city and Steel Flower Co., Ltd. (SFC) of South Korea on October 11, 2012, the parties including PV Gas, PV PIPE – the affiliate of PV Gas, SFC and Busan city organized the MOU signing ceremony at PV Gas’s headquarter fully attended by representatives from the parties’ leaders. The basic contents of the signed MOU are to further enhance the partnership among the parties (including PV GAS, PV PIPE, Busan Metropolitan City and Steel Flower Co., Ltd.) in production and trading of steel pipe businesses and other business activities. SFC is the Production Management Consulting Company (PMC) of PV PIPE for Nam Con Son II project; a provider of operation training for PV PIPE’s managers and operating engineers in preparation for the plant production. It has successfully advised PV PIPE in obtaining API’s certificates such as API Spec 5L, API Spec Q1 and ISO/TS 29001.
With the attention and close support from PV GAS; the support and facilitation of Busan city government, the signing of this MOU will further tighten the partnership between the parties in production and business activities. SFC will actively support PV PIPE in the development of international trading activities, information exchange on market and foreign customers; supporting PV PIPE in engineering and production line management tasks to constantly improve product quality and reduce production costs.
At the same time, SFC will consider sharing some orders with PV PIPE in the field of product processing (SFC provides steel plates and fuels and feedstock; involved in quality monitoring and control during the production process at PV PIPE’s plant) in case PV PIPE has no orders yet. On the contrary, SFC will be a backup supplier in case PV PIPE plant cannot fulfill all the orders. This cooperation will reduce risk in business for all parties and enhance mutual support, especially in the world economy’s deterioration conditions and the possibility of extending or halting big projects causing disadvantages to PV PIPE.