Group Five signs SAR 114 mln supply contract with Al Yamama Trading

Logo of Group Five Pipe Saudi Co.

Group Five Pipe Saudi Co. signed today, Oct. 18 a contract with Al Yamama Company for Trading and Contracting to supply spiral-welded steel pipes. The contract is valued at SAR 113.92 million inclusive of value-added tax (VAT).

In a statement to Tadawul, the company said the contract is valid for 308 days from the date of signing, expecting to complete the project implementation before the end of Q3 2023.

Under the contract, Group Five will supply spiral-welded steel pipes to Dammam’s strategic water network project, which is fully owned by National Water Co. (NWC). The project will improve the quality of desalinated water and reduce the current use of water from wells.

The company’s production capacity and capacity of its production lines – 550,000 metric tons –will help accelerate the completion of the project.

The financial impact is expected to reflect in the second quarter of the fiscal year 2023, Group Five said, noting that there are no related parties to the deal.