Niles, Illinois - The Perma-Pipe subsidiary of MFRI, Inc. says it has received over $21 million in new orders for its Auto-Therm, glass syntactic polyurethane, (GSPU) pre-insulated piping systems.
These new orders from major multinational and independent oil companies will be installed in the Gulf of Mexico and offshore Brazil, the firm said in a 1 Dec press releasse.
Insulating sub-sea oil flow lines is a common practice to assure continuous flow and prevent paraffin or hydrate buildup on the internal pipe surfaces, the firm explained, adding that its GSPU process has been used for over 100 miles (160 km) of subsea pipelines at water depths of up to 9600 feet (about 3000 m).
These new orders will be produced at Perma-Pipe's facility in New Iberia, Louisiana. The work is expected to begin in the first quarter of 2011 and be completed before year end, Perma-Pipe said.
"We believe these orders demonstrate the confidence major multi-national and independent oil companies have in the quality of our process and our products," said Fati Elgendy, president of Perma-Pipe.
"We are very pleased to receive these new orders and anticipate the requirement for insulated sub-sea flow lines will continue as oil companies tie-in sub-sea producing wells to new and existing platforms," said David Unger, chairman and ceo of MFRI. "We also note that some of this business will be exported to Brazil, demonstrating the competitiveness of Perma-Pipe's US-based production," he added.
Perma-Pipe claims to be the largest manufacturer of such products in North America.
MFRI, Inc. is a leading manufacturer of specialty piping systems, industrial filtration products and industrial process cooling equipment. For more information visit the Company's website www.mfri.com or contact the company directly."