Investor Presentaiton
TMK
Resulting in OCTG Consumption Growth...
OCTG consumption per rig has nearly doubled
since January 2013, allowing for significant
recovery in the sector despite having fewer than
half of the rigs in operation
Seamless pipe has increased its share of total U.S.
pipe volume as the result of increased horizontal
and directional drilling as well as longer laterals
According to Preston Pipe, seamless pipe
represented approximately 57% of total U.S.
OCTG shipments during the nine months ended
September 30, 2018
U.S. consumption of OCTG is expected to reach
5.4 million metric tonnes in 2018E vs. 4.6 million
metric tonnes in 2017
OCTG consumption per rig
U.S. rig count
2 500
2 000
1 500
1.000
500
0
Jan-13
May-13-
Sep-13
Jan-14
May-14
Sep-14-
Jan-15
May-15
Sep-15-
Jan-16
May-16
Sep-16
Jan-17
May-17
Sep-17
Jan-18
May-18
⚫U.S. Rig Count
Source: Preston Pipe, Baker Hughes
Sep-18
550
500
450
400
350
300
250
200
OCTG Consumption per Rig (tonnes/month)
25
OCTG shipments mix
100%
80%
37%
48% 51%
48%
47% 42%
53% 55%
54%
60%
40%
63%
52%
49% 47%
52%
53% 58%
45%
46%
20%
0%
2010 2011 2012 2013 2014
■ Seamless
Source: Preston Pipe, Baker Hughes
2015 2016 2017 2018
■ Welded
Consumption per rig (tonnes/month)View entire presentation