Venus Pipes & Tubes plans capacity expansion of Rs 50 cr

22 Sep 2022 , 09:16 AM

Venus Pipes & Tubes has approved a capacity expansion of Rs. 50 crore for bigger diameter Tube Mill to manufacture stainless steel welded pipes. This new line will increase the existing welded pipes range to maximum 20? inch (508mm) diameter and thickness up to SCH80s with a capacity by 700 mt per month. The project will be funded through a mix of Debt (Term loan) & internal accruals and commercial production is expected to start by Q1 FY24. The proposed expansion will include tube mill along with entire finishing infrastructure i.e. Annealing furnace, Pickling and Passivation setup, high end testing etc. to support the higher dia. welded pipe process. This capacity expansion will be in addition to an on-going expansion of 600 MT per month of welded pipes upto 48 inches. Post completion of both these capacity expansion projects the total Welded capacity will increase by almost 3 times from current 700 MT per month to 2,000 MT per month by FY24. Apart from this, the additional 500 MT per month (on existing capacity of 300 MT per month) for seamless pipes/tubes is on track. So the total Welded (2000 mt per month) & Seamless (800 mt per month) capacity post planned capex will be 2800 mt per month.Powered by Capital Market – Live News