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Along with the sustained and stable development of China’s economy as well as the accelerated industrialization, China’s demand for oil and natural gas has kept rising rapidly in recent years. In 2013, China’s oil and natural gas consumption reached 498 million tons and 167.6 billion cubic meters respectively, up 4.5% and 14.6 % year-on-year.
Amid the jumping demand for oil and natural gas, China has enhanced the construction of oil and gas pipeline networks. In 2013, Chinese oil and gas pipeline network pattern initially formed with the total mileage of 106,200 kilometers. In accordance with “Twelfth Five-Year Plan”, the total length will be about 150,000 km by 2015, which will boost the development of oil and gas transmission steel pipes and other related materials to a certain extent.
Welded pipes and seamless steel pipes, especailly SSAW (Spirally Submerged Arc Welding) and LSAW (Longitudinally Submerged Arc Welding), are required in the construction of oil and gas transmission pipeline networks. As of the end of 2013, China had been building and proposed to set up six trunk oil and gas transmission pipelines; CNPC and CNOOC had been establishing and planned 10 gas pipelines which will be completed successively in 2014-2016. The above 16 pipelines need about 11.19 million tons of SSAW (70%) and LSAW (30 %).
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