Other official partners are the government of Oshun State and the Ukrainian industrial construction companies Nafto Gas Service, DAK+ and Plast-65, which provide construction of production buildings, supply of production lines, creation of an assembly unit for laying polyethylene pipes and will create training centers for training local specialists.
Pressure pipes up to 1.6 MPa are made of low pressure polyethylene in accordance with regulatory documentation produced by SDR standards.
The outer diameter of the pipes produced can be from 16 to 1200 mm. Pipes with a diameter of more than 110 mm are produced in straight lengths – up to 12 m, and with a diameter of not more than 110 mm are produced in bays up to 2000 m long
The total volume of the polymer pipes market in the world in 2013 was 83 billion dollars. At the same time, the total population in the same year was at the level of 7,125 billion people. This means that with a population of 190,000 Nigeria, the volume of the polyethylene pipe market in Nigeria is more than two billion US dollars. The market is constantly growing at the rate of 8% to 13% per year.
In second place – water transport companies that provide water supply.
This trend is also evident in the oil and gas industry, where polyethylene pipes are rapidly replacing steel pipes for natural gas transportation.
If in the world as a whole polymer pipes occupy up to 70% of the total pipe market, in Nigeria they are less than 1%.
Initially, the first plant for the production of pressure polyethylene pipes is created, primarily intended for water supply and laying of electrical systems and telecommunications means – fiber optic communication cables.
The total capacity of the pipes produced is estimated at 120,000 tons of polyethylene with the creation of 3,200 workplaces. The total cost of the project is about 150 million US dollars and will be implemented in a number of stages, listed below.
To implement this program, external financing is attracted at the level of bank loans, loans, loans worth $ 28 million for an optimal period of up to 5 years.
And at the first stage, the investment volume is 2.0 million US dollars. The remaining funds are the funds of the company’s shareholders, leasing and reinvestment of profits received in the course of the company’s activities.
As a result, a group of companies is created:
– Supply the optimal raw materials and dyes for the production of polyethylene pipes and fittings;
– Produce a high-density polyethylene pipe:
– Supply and partly produce fitting and connecting parts, couplings and adapters;
– Train personnel in welding work, foremen, designers;
– Supply, produce and repair welding machines for polyethylene pipes;
– Perform construction and installation work on the underground laying of polyethylene pipes;
– Perform work on excavating trenches and trenchless laying by means of vibro stackers and horizontal directional drilling (HDD) installations;
– Deliver any product to any point in Nigeria with its own specially equipped transport;
– Have trading warehouses and all necessary assortment of production in each state of Nigeria