Tube Distributor to Build Welded Tube Mill in Texas
According to the company, the electric resistance welding (ERW) mill, to be located next to its existing heat-treat, threading and inspection facility in Robstown, Texas, USA, will make 350,000 tons of API and structural products annually. It will produce diameters ranging from 2.375 inches to 8.625 inches.
Most of its annual output, about 250,000 tons, will be destined for the oilfields. But the company said it plans to also produce 100,000 tons of structural tube to meet demand in the rapidly growing Corpus Christi and south Texas regions.
"A pipe mill is the natural progression of our long-term strategic plan, which started over a decade ago,” said Tex-Isle president Chris Kayem.
“Once complete, the new mill will dive a level deeper into our cost structure as we continue our crusade against inefficiencies in the supply chain. Having these facilities, along with private ownership and a strong balance sheet, allows us to deliver customer first service and flexibility, which I'm certain will pay dividends to our clients, our community, and our company for years to come."
The company said the Robstown site offers several advantages, one of which is its proximity to Steel Dynamics Inc. (SDI)’s new flat-rolled mill in Sinton, Texas. Both SDI’s sheet mill and the Tex-Isle ERW mill are a short drive from the Port of Corpus Christi.
“We feel this is an ideal manufacturing footprint which tightens our supply chain,” said Billy Sias, Tex-Isle's business development manager.