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Last updated : 12/10/2026 - 10h51
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Vallourec Secures TotalEnergies Contract for Gas Field in Azerbaijan

Vallourec announced on October 12, 2026 that TotalEnergies has awarded it a contract for the supply of tubular solutions intended for the development of an offshore gas field in Azerbaijan. The order covers the two main product families of the group, well tubes (OCTG) and line pipes, for a total of more than 16,000 tonnes.


Vallourec Secures TotalEnergies Contract for Gas Field in Azerbaijan

Well Tubes and Line Pipes for the Absheron Field

The contract concerns the supply of tubular solutions for the development of the Absheron gas field, located in the Azerbaijani sector of the Caspian Sea. It combines an OCTG component, for well equipment, and a line pipe component, for hydrocarbon transportation.

For the OCTG section, Vallourec will supply premium tubes equipped with VAM connections, including the VAM SLIJ-3. The group presents this semi-flush connection as its latest generation, designed for the most demanding offshore environments.

Accessories, Grease-Free Technology and 159 Kilometers of Line Pipes

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The package also includes a range of accessories manufactured at the group's various industrial sites worldwide. Added to this is Cleanwell, Vallourec's grease-free solution, which according to the group improves operational efficiency while reducing environmental impact.

The line pipes component represents approximately 159 kilometers of tubes delivered with anticorrosion coating, for both onshore and offshore applications. Vallourec also indicates that it is ready to support TotalEnergies in its operations throughout the project, thanks to its local presence through its VAM Caspian entity.

A Field Aimed at Producing 6 Billion Cubic Meters of Gas per Year

The Absheron field is located approximately 100 kilometers southeast of Baku, at depths of around 500 meters. It is being developed to produce up to 6 billion cubic meters of gas per year and 47,000 barrels per day of condensates. The gas will be destined for both the Azerbaijani domestic market and for export.

According to Vallourec, this award is due to its technical and commercial offering as well as its ability to meet the project's delivery schedule. Philippe Guillemot, Chairman and Chief Executive Officer, emphasized that this choice illustrates the group's ability to provide complete solutions for both OCTG and line pipes, as well as its global industrial presence and local capabilities in the Caspian region, in response to growing gas demand in Azerbaijan and the region.



Sector Métaux et mines › Acier / sidérurgie


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Context

Period
  • Period: S1 2026
Key reported figures
  • Revenue: 1 860 millions de dollars
  • Quarterly revenue: 1 860 millions de dollars
  • Revenue growth: -8 %
  • EBITDA: 409,4 millions de dollars
  • EBITDA margin: 22 %
  • Net income: 131,5 millions de dollars
  • Free cash flow: 303 millions de dollars
  • -183,1 millions de dollars
Risks mentioned
  • Baisse de 15 % des volumes vendus de Tubes au premier semestre 2026
  • RBE Mines & Forêts en recul à 71 M$ contre 107 M$, effets de change défavorables du réal
  • Fermeture du détroit d'Ormuz affectant les délais de livraison à l'international
Opportunities identified
  • RBE du segment Tubes en hausse à 372 M$ grâce aux prix et au mix produit
  • Position de liquidité très solide de 2,0 milliards de dollars au 30 juin 2026
  • Produit d'environ 307 M€ encaissé le 8 juillet 2026 après exercice des bons de souscription
Outlook / guidance
  • Expected EBITDA: 190 millions de dollars

The information presented in this article is provided for informational purposes only and does not constitute an investment recommendation, an incentive to buy or sell a financial asset, or investment advice. Readers are invited to conduct their own research before making any decision.

Investments in the stock market involve risks, including the risk of capital loss. Past performance of an asset or market is no guarantee of future results. Any investment decision should be made taking into account your personal financial situation, objectives and risk tolerance.

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