Shawcor and LKAB Minerals have signed a contract for the delivery of several hundred thousand tonnes of MagnaDense for the Sur De Texas-Tuxpan natural gas pipeline.
- Sur De Texas-Tuxpan natural gas pipeline is an 800 kilometre project. It begins offshore in the Gulf of Mexico, at the border near Brownsville, Texas and ends in Tuxpan, Mexico.
- Shawcor Ltd. will coat the pipeline with a high density concrete (concrete weight coating) containing MagnaDense to ensure optimal anti-buoyancy an seabed stability.
- LKAB Minerals will supply MagnaDense (made from magnetite, an iron ore product) to Shawcor’s pipe coating facility in Altamira, Mexico.
Starting February LKAB Minerals will supply MagnaDense on regular basis to match the production schedule at Shawcor’s production facility.
“We selected MagnaDense because of its outstanding performance characteristics, track record in similar offshore applications and confidence in the LKAB Minerals logistics capabilities and team” says Henri Tausch, Group President Shawcor Pipeline Performance.
Market leader in pipe coating
LKAB Minerals CEO Leif Boström and Peter Mörtlund, President of LKAB Minerals Inc. finalised the agreement. Peter Mörtlund says “We are proud to have a long standing relationship with Shawcor. Having supplied them in numerous projects around the world. It has been confirmed time and again that MagnaDense is a high quality and consistent product that meet the demands of the offshore industry. Our customers use MagnaDense for both loose ballast and as an aggregate in high density concrete.That we again can supply a project on another continent proves that we are competitive on a global scale. It confirms that our services and supply capacity matches the high quality of our product. A product we believe to be a benchmark in the industry.”
Large scale concrete weight coating projects
LKAB Minerals will not disclose the value of the contract, but is substantial. The company’s CEO Leif Boström commented “There are only a few of these large scale projects available on a yearly basis. For LKAB Minerals it proves that our focus on finding non-steel applications for magnetite is successful. It clearly adds value in a number of industries. We will continue to work hard to ensure we carry out all deliveries with excellence. And, of course supporting Shawcor’s operations and schedule. We are also proud to be engaged in the construction of one part of an extensive system to supply Mexico with its future energy needs.”
MagnaDense is an iron ore product which we produce from the mineral magnetite. LKAB processes the product to match the needs of the end user industries. Its size distribution, high iron content and density makes it ideal for use as loose ballast or as an aggregate when producing high density concrete.
Shawcor Ltd. is a global energy services company. It specializes in products and services for the pipeline and pipe services segment of the oil and gas industry. And offers related products for petrochemical and industrial markets. It operates through eight divisions, with fixed and mobile manufacturing and services facilities located around the world.
The Tuxpan natural gas pipeline will be 800 km in length, mostly offshore. 690 km pipe will be coated. Infraestructura Marina del Golfo (a joint venture with TransCanada and IEnova) will operate the gas pipeline. They will do so on behalf of the owner, Mexico’ state-owned power company, Comisión Federal de Electricidad.