East Pipes completes construction of new production line, begins operations

East Pipes said the project will add approximately 100,000 metric tons of incremental annual capacity

East Pipes Integrated Co. for Industry (East Pipes) announced the completion of construction and installation works of its new Helical Submerged Arc Welded (HSAW) pipe production line at its factory in the Dammam 2nd Industrial City.

In a statement to Tadawul, the company said operations have officially begun in line with the approved operational plan.

The move is part of the company’s strategic plan to enhance production capacity and improve operational efficiency.

The project will add approximately 100,000 metric tons of incremental annual capacity, increasing East Pipes’ total nominal production capacity from 400,000 metric tons to about 500,000 metric tons, with the potential to reach up to 600,000 metric tons, depending on project specifications.

The expanded capacity is also expected to improve operational efficiency and asset utilization, further supported by the company’s fully integrated business model.

The financial impact of the project is expected to reflect on the company’s results in Q4 of the fiscal year ending March 2026, the statement added.

According to data available with Argaam, East Pipes signed, in February 2025, several contracts to establish a new spiral-welded steel pipe production line at its factory in the Dammam 2nd Industrial City, with a project cost of about SAR 48 million.