Investor Presentaiton
TMK
Our Take on the US Market
Power generation, fuel and feedstock and LNG exports main drivers behind long-term growth in Natural
Gas demand
Gas/coal switching for electricity generation already happening with additional catalysts from improving
air standards (MATS) and CO2 emission reductions (US EPA)
We are forecasting rig count to remain stable in 2015, with growth in demand coming from longer
laterals and better rig efficiencies (i.e. more wells per rig).
■ Longer laterals are key demand driver for higher steel-grade OCTG and premium connections
Our OCTG products are key
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Best premium connections
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Best gas-tightness in the industry - key for gas
-
TMK products carry premium pricing advantage
US Electricity Generation from Natural Gas and Coal, 1991 – 2018E
Million kW per year
5,000
4,000
1993
3,000
2013
i 1%
40%
4%
2,000
53%
19%
13%
19%
1,000
11%
27%
i 13%
0
1991
1994
1997
2000
2003
2006
Natural Gas
■Renewables*
■Nuclear
2009
■ Coal
2012
2015E
2018E
■Oil and other liquids
Source: EIA Annual Energy Outlook 2014 Early Release
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