Sumitomo Corp Develop High Grade Steel Pipe Supply in Azerbaijan

Sumitomo Corporation plans to develop Supply Chain Management, SCM, in Baku, Azerbaijan. This SCM is twelfth in the world following Sakhalin 2 project in fiscal 2006 at the ended of March 2007. Sumitomo Corp will conclude long-term contract with BP, Oil Major, fro 5 years and supply high-grade oil well tubular at 30,000 tonnes per year and local service under technology support of Sumitomo Metal Industries. Sumitomo Corp already builds up SCM with BP in England, Norway and USA which will enhance partnership with BP by this contract in Azerbaijan. Sumitomo Corp is enhancing partnership with major Oil Major, which is spreading SCM from 1990’s for the expansion of high-grade steel pipe sales steadily. The firm’s SCM in 10 countries and 11 bases, England, Norway, Equatorial Guinea, Nigeria, Republic of Chad, Angola, Malaysia, Australia, Huston and Alaska in USA、Sakhalin. Operators in the world are ordering SCM to Sumitomo Corp. Steel pipe department of Sumitomo Corp actively invested to SCM business in AG plan for fiscal 2005－2006 at the ended of March 2007 and culminated prime assets. Consolidated department sales increased to about 400 billion yen by about 25% in fiscal 206 from last year due to increased sales rate of high-grade products and increased selling price in domestic market and export. The firm started GG plan to target reinforcement of business framework. The firm will enhance established SCM.