Russia’s Magnitogorsk Iron and Steel Works (MMK), together with Chelyabinsk pipemaking group ChTPZ, known as ChelPipe, and Kazakhstan’s KazTransOil have agreed to cooperate scientifically and technically. This means they will share information, and meet regularly to improve the quality and environmental performance of Russian-made pipe and tubes.

"One of the main objectives of [our] memorandum is to develop common standards within the framework of the Customs Union [between Russia, Kazakhstan and Belarus] and to allow for the reliable and environmentally safe movement of oil and gas products,” says MMK’s general director Pavel Shilyaev in a statement sent to Kallanish.

“We need to work together […] to fulfil the most stringent environmental requirements,” he adds: The group will set new product criteria and quality standards, with the help of specialist science institutions.

ChelPipe, via its oilfield services division Rimera supplies Kazakhstan with “virtually all manufactured grades of pipe:” From January to August, it delivered roughly 15,000 tonnes and next year plans to deliver over 30,000t to KazTransOil, says ChelPipe general director Vitaly Sadykov. By the end of 2013, ChelPipe accounted for 16.2% of all Russian steel pipe shipments. As well as Rimera, and ChTPZ, the group combines Pervouralsk New Pipe Plant, scrap company META, and trading division, Uraltrubostal.

Last year, MMK produced 11.9 million t of steel, and supplies ChelPipe with pipemaking feed material.

Meanwhile, KazTransOil, founded in April 1997 operates a network of trunk pipelines spanning 5,500km, and water mains covering 2,100km. The company carried about 57% of Kazakhstan’s total oil production, and by late 2013 its consolidated volume of oil carried was 67.2mt, according to the MMK statement.