Tubular solutions provider Vallourec has won a long-term deal to supply oil country tubular goods (OCTG) and associated services for Petrobras' offshore operations, starting from next year through 2029.
The deal, potentially worth up to $1bn (€853.32m), constitutes the largest volume and revenue contract since Petrobras implemented its open tender strategy.
The agreement encompasses a comprehensive range of OCTG supplies including pipes and VAM premium connections, catering to the needs of Petrobras' 4.5–18in offshore wells.
The contract scope extends to both carbon and stainless steel tubulars, as well as related accessories.
Vallourec will also provide a suite of value-added services, ranging from desk engineering and material coordination to rig preparation and offshore supervision, to enhance Petrobras' operational efficiency. The contract also encompasses rig return repairs and restocking.
The move strengthens the presence of VAM premium connections and Vallourec Tubular Services (VTS) in Brazil.
Vallourec Group CEO and board of directors chairman Philippe Guillemot said: “This achievement is a powerful demonstration of Vallourec’s ability to meet customers’ complex and evolving requirements. It confirms the strength and consistency of our positioning, built on technical excellence, an integrated industrial presence in Brazil and a long-standing partnership with Petrobras based on mutual trust."
This contract win follows Vallourec's earlier success in July, when it secured two significant contracts with China National Offshore Oil Corporation and PetroChina.
Valued at more than $130m (926.03m yuan), these contracts will see Vallourec supply a variety of carbon steel and Super-13Cr steel OCTG products fitted with VAM premium connections for drilling operations in Iraq.
