Welspun Corp likely to invest $100 million in Canada to set up pipe plant

By PTI | 17 Oct, 2014
MUMBAI: Welspun Corp is likely to set up an industrial pipes plant in Canada's largest and richest province British Columbia at an estimated investment of over $ 100 million.

According to a source, the British Columbia premier Christy Clark today visited the headquarters of the Rs 18,000-crore Welspun Group in central Mumbai.

A company spokesperson, however, refused to confirm the visit and investment plan.

The source said Clark is leading a trade mission, and is visiting the country to expand international trade and investment, accompanied by advanced education minister Amrik Virk along with other delegates.

The investment is likely to be upwards of $ 100 million for setting up a pipe plant supported by coating and double jointing facility primarily targeting oil & gas transportation in the Canadian region, the source said, adding that a pact will soon be inked with the Columbia administration.

The group's flagship Welspun Corp, which is the largest pipes maker in the country, had reported sales turnover of Rs 1,146.67 crore in the June quarter while its net profit dropped marginally to Rs 105 crore from Rs 109.5 crore a year ago.

Canada is looking at building a large pipeline network from their oil & gas basins to the Eastern and Western ports to service Asian and European energy needs.

Welspun, already one of the largest suppliers of large diameter pipes to the Canadian market, is likely to be benefited the most through this upcoming pipeline network.

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