May 27, 2011
Company Overview
Company Overview Tenaris 2 May 27, 2011
Global Industrial System
• Annual manufacturing capacity of six million
tons of steel pipes
- 3.3 million tons of seamless pipes
- 2.7 million tons of welded pipes
• Manufacturing facilities in 16 countries
• R&D centers in four countries
• Service and distribution network in 25 countries
• 25,500 employees (2010)
• Annual net sales: US$ 7.7 billion (2010)
• Stock exchange listings:
New York, Buenos Aires, Italy and Mexico
2010 Sales by Region
Serving the world’s energy industry and other industrial applications
Company Overview Tenaris 3 May 27, 2011
Worldwide Operations
Company Overview Tenaris 4 May 27, 2011
A History of Industrial Enterprise • 1930s Agostino Rocca, Techint’s founder, is Managing Director at Dalmine
• 1954 Tamsa and Siderca begin operations
• 1980s Siderca expands capacity for export markets
• 1986 Siderca acquires Siat, an Argentine welded pipe manufacturer
• 1993 Siderca and Tamsa form strategic alliance
• 1996 Dalmine joins the strategic alliance
• 1998-2000 Further expansion through the incorporation of Tavsa, Confab, NKKTubes and AlgomaTubes
• 2001 Launch of Tenaris brand
• 2002 Tenaris becomes a listed company following exchange offer
• 2004 Tenaris integrates Silcotub
• 2006 Tenaris expands in USA, Canada and Colombia through Maverick Tube Corp.
• 2007 With Hydril, Tenaris expands its offer of products and services for the oil & gas industry
• 2009 Tenaris extends presence in the Far East through the integration of SPIJ, an Indonesian OCTG processing operation. Venezuela acquires control over TAVSA
• 2010 Inauguration of new threading facility in Saudi Arabia.
• 2011 Tenaris opens its new rolling mill in Mexico
Company Overview Tenaris 5 May 27, 2011
Integrated Industrial Management
• 4 electric steel shops
• 16 seamless rolling mills
• 32 welded tube mills
• 54 heat treatment lines (28 in hot
rolling mills)
• 94 premium threading lines
• One Quality Management System
(ISO 9001:2000)
• One Health, Safety and
Environment Management System
(OHSA 18000 and ISO 14000)
Company Overview Tenaris 6
OCTG
Leading global manufacturer and supplier of tubular products and services used in:
Drilling, completion and production of oil and gas
Transportation of oil and gas
Process and power plants
Specialized industrial and automotive applications
May 27, 2011
Market Segments
Hydrocarbon Processing
Offshore Line Pipe
Power Generation
Onshore Line Pipe
Premium Connections
Industrial & Automotive
Company Overview Tenaris 7 May 27, 2011
OCTG
• Tenaris supplies a full range of high
quality casing and tubing, drill pipe,
premium connections, pipe accessories,
sucker rods and coiled tubing for use in all
types of oil and gas drilling and well
completion activities.
• We accompany our products with
services, based on our expertise of
material selection and pipe handling
• Our products for oil and gas operations
include: casing & tubing, premium
connections, drill pipe, coiled tubing
and oil tools
Company Overview Tenaris 8
Wedge 523TM BlueTM
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Premium Connections A full range of products and services for ever more demanding E&P applications and environments
TenarisHydril • Deepwater
• Deep directional
• Sour gas
• Geothermal
• Arctic
• Horizontal and extended reach
• Drilling with casing
• Shales - Tight Gas
Connections available with Dopeless® technology
Company Overview Tenaris 9 May 27, 2011
Offshore Line Pipe
The offer includes:
• Top tensioned and steel catenary risers
• Export lines and flowlines
• Bends
• Corrosion Resistant Alloys
(clad, lined and solid)
• Coiled line pipe
• Umbilical tubing
• Coated pipes
Tenaris designs and manufactures high-quality line pipe products for even the most demanding offshore projects
Company Overview Tenaris 10
Tenaris delivers a wide range of seamless
and welded tubes for onshore line pipe to
be used in the most demanding conditions
meeting the specifications of each particular
project.
Onshore Line Pipe
Main markets:
• Oil and gas pipelines
• Water and sewage pipelines
• Mineral slurry pipelines
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Company Overview Tenaris 11
Hydrocarbon Processing
• Tenaris provides a wide range of seamless
steel tubes and pipes for refineries,
petrochemical and gas-processing plants.
• Superior and reliable performance,
manufactured according to different
international standards.
• Supplying of a full range of tubular products
in different steel grades to support large and
complex HPI projects worldwide.
• Dedicated Tenaris teams are on hand during
the entire project life to ensure quality
delivery, reliable products and services
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Company Overview Tenaris 12 May 27, 2011
Power Generation
• Tenaris provides tubular products that satisfy
the stringent quality requirements of the power
generation industry.
• For coal and gas-fired, nuclear and renewables power
plants Tenaris offers a complete range of seamless
tubes and pipes in carbon, special alloy and stainless steels (like TEMPALOY AA-1).
• Tenaris seamless tubular products satisfy all the
material requirements for high temperature and high pressure applications.
• Tenaris's laboratories conduct extensive studies and
research on creep resistance.
• All Tenaris products are designed according to the
most stringent quality standards and manufactured under the certified quality system (ISO 9001).
Company Overview Tenaris 13 May 27, 2011
Industrial & Automotive Services
• Tenaris provides seamless tubular products
and components for industrial applications such
as hydraulic cylinders, gas cylinders, structural
cranes and mechanical uses.
• The fully-integrated manufacturing process
includes steelmaking, hot-rolling, cold-drawing,
heat treatments, NDT testing and tubular parts
processing, focused on designing tailor-made
products to meet the needs of customers and
ensure a longer product life, weight reduction, better mechanical properties and reductions
in costs.
• Tenaris provides a wide range of
seamless tubes and tube-based
components for car manufacturers and
their suppliers.
• Cold-drawn and hot-rolled seamless
tubes produced for application in safety,
steering, chassis and suspensions, heavy
trucks and trailers, transmission and
power train components.
• Three automotive service centers in Argentina, Mexico and Romania that
work with teams able to perform high
added-value operations.
Automotive Services Industrial & Mechanical Services
Company Overview Tenaris 14 May 27, 2011
An Integrated R&D Network
Four dedicated research centers specializing in:
Argentina Steel making processes OCTG products
Italy Rolling processes Mechanical and power generation products
Japan Products with high chrome steel level
Mexico Welding technology Linepipe products
• Full-scale testing and finite element analysis of new products
• More than 200 scientists and engineers staffing the research facilities and nearly half hold Master or Doctoral degrees
• Collaboration with selected external R&D laboratories, product testing centers and universities
Company Overview Tenaris 15 May 27, 2011
• QHSE standards and objectives integrated
into all management processes
• Principles of sustainable development
integrated into all operations
• Employee health and safety, customer
satisfaction and protection of environment
are absolute and integrated priorities
• QHSE policy encompasses suppliers and
the entire supply chain
• IT tools and continuous training to enhance
awareness of Quality and HSE issues
• Constant investment in plants, people and
processes to improve QHSE performance
Pursuing the Highest Standards in QHSE
Values consider own personnel until 2006. Since 2007, figure is showing own personnel plus contractors.
Methodology: World Steel Association Facilities covered: Dalmine, Siderca, Tamsa, Silcotub
Accidents per million man/hours
tn CO2/tls
Company Overview Tenaris 16 May 27, 2011
Investing in Human Resources
Personnel employed by country 25,500 employees (Dec. 2010)
• Corporate university to align knowledge
and oversee training
• 67 hours of training per salaried employee
in 2010
• Global Trainee Program: 2-year program
for recent university graduates
• International, culturally diverse team
• Working environment that fosters
creativity, initiative, teamwork and
professional growth
• Compensation system designed to ensure
external and internal quality and reward
performance
Company Overview Tenaris 17
• Conviction that industry contributes to
lasting and equitable economic growth
• Working together with local authorities
and non-governmental organizations to
promote and obtain support for the
company’s industrial values within the local communities
• Programs include Roberto Rocca
Education Program, employee home ownership in Argentina, district heating in
Italy, social inclusion in Mexico and Toni El
Suizo’s global bridge building activities
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Community Development
Investment in Community programs US $12.9 million (2010)
Company Overview Tenaris 18
• Code of Conduct applicable to all employees
• Guiding principles of integrity and transparency
for relations between employees, suppliers,
customers and third parties
• Transparency lines open for employees, suppliers,
customers and shareholders
• Rigorous international standards for corporate
governance, financial reporting and information
disclosure
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Integrity and Transparency
Company Overview Tenaris 19 May 27, 2011