HIGHLIGHTS 2 THE TECHINT GROUP IN BRIEF 4 TECHINT GROUP COMPANIES 14. Techint Engineering & Construction 34 Tenova 48

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2 Six main companies with worldwide operations, all global or regional leaders in their fields, with deep roots in the countries where they are established, each with its own objectives and strategies, but all partaking an original philosophy of long term presence, commitment to local development, and a passion for quality and technology: this is the Techint Group, which in 2012 had total revenues of USD 25.5 billion and 59 thousand permanent employees worldwide. The companies are: Tenaris, a leading supplier of steel tubes and related services for the world s energy industry and certain other industrial applications, with an integrated worldwide network of steel pipe manufacturing, research, finishing and service facilities, with industrial operations in North and South America, Europe, Asia, the Middle East and Africa and a direct presence in most major oil and gas markets; Ternium, an integrated supplier of flat and long steel products and a leading steel producer in Latin America, with steel manufacturing and processing facilities located in Mexico, Argentina, Brazil (through a managing stake in Usiminas), Colombia, the southern United States and Guatemala, and with a network of service and distribution centers in Latin America serving its core markets; Techint Engineering & Construction, a group of companies providing engineering, procurement, construction, operation and management services for projects of great importance in several locations worldwide, in such market segments as oil & gas, energy, industrial plants, oil refineries and petrochemical plants, mining, and infrastructure & architecture civil works; Tenova, a worldwide supplier of advanced technologies, products and engineering services for the iron & steel and mining industries providing innovative, integrated solutions for complete process areas through companies located in 5 continents; Tecpetrol, active in oil and gas exploration and production in several countries of the Americas, which also promotes, develops, operates and manages natural gas transportation networks in the region; Humanitas, holder of a number of research-committed health care institutions of high complexity in Italy, managed through a patient oriented approach relying on state-of-the-art management model and integrated information technology systems. Techint Group companies aim for competitiveness in international markets, invest in human resources and scientific research, promote health and safety among employees, are careful of the impact of operations on the environment, establish transparent and constructive relations with local communities and foster long-term relationships with clients and suppliers. In respect of its founding philosophy, the Techint Group does not engage in purely financial activities. HIGHLIGHTS 2 THE TECHINT GROUP IN BRIEF 4 Origins and Expansion 4 Activities 8 Values 12 TECHINT GROUP COMPANIES 14 Tenaris 16 Ternium 26 Techint Engineering & Construction 34 Tenova 48 Tecpetrol 66 Humanitas 72 TECHINT GROUP COMPANIES IN THE WORLD 78 Addresses 80

3 The Techint Group 2012 This publication serves the purpose of presenting the Techint Group and its main activities in the year It is based on information available as of February 28, 2013

4 Highlights TECHINT GROUP CONSOLIDATED COMPANIES HIGHLIGHTS USD Million Revenues Capital Expenditures * 25,962 1,600 17, ,092 1,544 24,105 1,918 25,477 2,282 Total Assets 28,208 26,539 28,039 31,364 33,755 Permanent Employees 53,075 48,895 54,205 57,359 59,196 * Increase before depreciation of tangible and intangible assets gross of divestitures. REVENUES PERMANENT EMPLOYEES USD MILLION 28,000 HEADCOUNT 60,000 24,000 50,000 20,000 40,000 16,000 12,000 8,000 30,000 20,000 4,000 10, Tenaris SHIPMENTS OF TUBES SALES BY REGION IN 2012 USD million SEAMLESS WELDED & OTHER TOTAL 10,834 THOUSANDS OF METRIC TONS 5,000 4,000 3,000 FAR EAST & OCEANIA 483 EUROPE 1,093 MIDDLE EAST & AFRICA 1,272 2,000 1, NORTH AMERICA 5,270 SOUTH AMERICA 2,717 Ternium SHIPMENTS OF STEEL PRODUCTS* SHIPMENTS BY REGION IN 2012* TOTAL 8,768 THOUSANDS OF METRIC TONS THOUSANDS OF METRIC TONS 10,000 8,000 6,000 OTHER MARKETS 1,371 MEXICO 4,952 4,000 2, SOUTHERN REGION ** 2,445 *Sidor shipments included up to March '08; shipments of pig iron not included. **The Southern Region encompasses Argentina, Bolivia, Chile, Paraguay and Uruguay. 2

5 COMPANIES PERFORMANCE USD MILLION WORK PERFORMED BACKLOG OF ORDERS* 5,000 4,000 3,000 BACKLOG OF ORDERS BY REGION AS OF 12/31/12 USD million TOTAL 4,115 EUROPE, MIDDLE & FAR EAST, AFRICA 1,038 ARGENTINA 1,545 Techint Engineering & Construction 2,000 1, OTHER AMERICA 402 MEXICO 472 BRAZIL 658 *At end of period. TENOVA PERFORMANCE WORK PERFORMED BACKLOG OF ORDERS* BACKLOG OF ORDERS BY REGION AS OF 12/31/12 USD million Tenova USD MILLION 3,000 2,500 TOTAL 2,741 NORTH & SOUTH AMERICA 1,038 EUROPE & CIS 393 2,000 1,500 1, AFRICA 352 MIDDLE, FAR EAST & OCEANIA 638 CHINA 320 *At end of period. PRODUCTION* PROVED RESERVES* Tecpetrol E&P OPERATIONS SERVICE CONTRACTS E&P OPERATIONS SERVICE CONTRACTS MILLION BBL OF OIL EQUIVALENT MILLION BBL OF OIL EQUIVALENT * Working interest. HUMANITAS GROUP: TOTAL ADMISSIONS 0 6/30/08 06/30/09 6/30/10 6/30/11 6/30/12 * Working interest. HUMANITAS GROUP: OPERATIVE BEDS* Humanitas 120, ,000 1,400 1,200 80,000 1,000 60,000 40,000 20, Highlights *Inpatient, at end of period. 3

6 Origins and Expansion Agostino Rocca ( ), founder of the Techint Group. Compagnia Tecnica Internazionale - soon named TECHINT after the original telex code - was founded as an international corporation in The founder, Agostino Rocca, was an innovative engineer, manager and entrepreneur, and a key force behind the development of the Italian steel industry in the 1930s. The company began providing engineering services to a growing number of clients in Latin America -to where Agostino Rocca had traveled after World War II- and Europe. Construction activities soon followed: the first major Techint engineering and construction (E&C) project was a network of large diameter pipelines in Argentina and Brazil. After building the southern gas pipeline in Argentina (inaugurated in 1949) and completing other pipeline projects, the E&C activities of the company extended during the 1950s to the field of power infrastructure. In those early years, the company started the production of steel structures and heavy mechanical parts and equipment near Buenos Aires in order to support the industrial ventures which soon followed. Fueled by Mr. Rocca s vision, the company expanded and diversified its original activities by building and then operating two seamless steel tube plants, one in Veracruz, Mexico and the other in Campana, Argentina. Both plants began production in In the late 1960s, a flat steel cold-rolling facility was built in Ensenada, Argentina, which was meant to be the first step of a planned fully integrated operation. Steel manufacturing was now the main industrial activity of the Techint Group. In the 1960s and 1970s, the E&C activities were developed further and farther, establishing Techint as one of the world s major pipeline builders, and a supplier of turnkey plants for productions ranging from steel to petrochemicals. In the 1980s important projects were undertaken in Argentina, Brazil, Ecuador and Mexico, and the company diversified into new fields of activity, building the first nuclear facilities and offshore platforms. In 1980 Techint Engineering & Construction was among the first companies to adopt computer aided design (CAD) systems. During the 1990s, the company made key contributions to energy integration in the Mercosur region, building the pipelines linking Argentina and Chile, Bolivia and Brazil, and Brazil and Argentina. In the early 2000s Techint Engineering & Construction undertook simultaneously two of the most challenging pipeline projects ever: the OCP crude oil pipeline in Ecuador and the Camisea gas and LNG pipelines project in Peru. The company also developed projects in Egypt and Nigeria, where it carried out electromechanical assembly of power generation facilities and natural gas liquefaction plants. Currently, Techint Engineering & Construction is engaged in large projects in Argentina, Brazil, Mexico, Bolivia, Canada, the Caribbean, Chile, Egypt, Italy, Peru and other countries (see detailed references in the Techint Group Companies section of this publication). In over sixty five years of activity, Techint Engineering & Construction has successfully completed more than 3,500 projects in more than 45 countries, and remains engaged in large industrial and infrastructure projects worldwide. 4

7 The Techint Group s steel pipes business also continued to grow. In the mid-1980s it undertook a major, export-oriented expansion of the Campana mill and acquired Argentine welded pipe maker Siat. In the 1990s it also acquired control of the Veracruz mill in Mexico and the Dalmine seamless pipe mill in Italy. Steel pipe manufacturing facilities were also, in time, acquired in Brazil, Venezuela, Japan, Canada and Romania. Tenaris, the company under which all the manufacturing and service activities in the steel pipe business are grouped today, went public at the end of With the acquisition of Maverick Tube Corp. in 2006 Tenaris became a leading North American producer of welded oil country tubular goods (OCTG), line pipe and coiled tubing for use in oil and natural gas wells. Aiming for leadership in the premium market, Tenaris in 2007 acquired Hydril, a renowned producer of premium OCTG connections in the USA with a solid international presence. Two years later Tenaris acquired control of Seamless Pipe Indonesia Java (SPIJ), an OCTG processing business with heat treatment and premium connection threading facilities; shortly thereafter, Tenaris completed its new premium threading facility in Saudi Arabia in order to supply customer Saudi Aramco with TenarisHydril premium connections. From left to right: Gianfelice, Agostino ( ), Roberto ( ) and Paolo Rocca. On November 19, 2010 Tenaris rolled out the first pipe at its new rolling mill in Veracruz, a major investment meant to complement the integrated global manufacturing network and accompany the development of the oil and gas industry in North America. With a similar aim, in February, 2013 Tenaris announced it that it will build its first US seamless pipe mill in Bay City, Texas. The new facility will have an annual production capacity of 600,000 tons of high quality seamless pipe and is expected to begin operations in Today, Tenaris is the leading supplier of tubes and related services for the world s energy industry and certain other industrial applications. It has an integrated worldwide network of steel pipe manufacturing, finishing, service and research facilities with industrial operations in North and South America, Europe, Asia, Middle East and Africa and a direct presence in most major oil and gas markets. Tenaris continues to strengthen its competitive position investing heavily in research and the continuous improvement of its talented workforce. Cold rolling and downstream processing of flat steel in Argentina continued to grow through the 1980s. In 1992, the Group acquired from the state a majority share of Somisa, the largest integrated flat steel plant in Argentina, and brought it up rapidly to international production standards through a major investment program. THE TECHINT GROUP IN BRIEF 5

8 Steel coating and processing capacities were also expanded in the 1990s through investments and acquisitions. All Argentine flat steel facilities were then integrated in Siderar. In 1997, the Group participated in a consortium that acquired a controlling share of Sidor, the largest steel company in Venezuela. In 2005, Ternium was born, with the integration of Siderar, Sidor and Hylsa: acquired in August of that year, Hylsa was the largest steel manufacturer in Mexico, and the one with the highest level of vertical integration, from the extraction and processing of iron ore to the manufacturing of high value added steel products. In February 2006, Ternium closed its IPO on the New York Stock Exchange. In 2007, Ternium took control over Grupo Imsa, a company with a strong presence in Mexico and processing facilities in Guatemala and the United States. In 2008 the Venezuelan government nationalized Sidor. In 2010, Ternium completed the acquisition of Colombia-based Ferrasa, a leading long and flat steel products processor and distributor. That same year, Ternium and Nippon Steel Corporation formed a joint venture in Mexico for the manufacturing and sale of hot-dip galvanized and galvannealed steel sheets to serve the local automotive market. The joint venture will operate under the name of Tenigal and is expected to commence production in the third quarter of The new facility, built in the proximity of Monterrey City, Mexico, will include a new cold rolling mill with an annual processing capacity of 1.5 million tons. In January 2012, Ternium, together with its subsidiary Siderar and Tenaris company Confab, completed the acquisition of a stake in Usiminas joining its control group. Usiminas is the largest flat steel producer in Brazil, with 9.5 million tons of crude steel capacity. The company has strategically located facilities near the main consumers of steel in Brazil and iron ore mines in the Serra Azul region. Ternium, which is now one of the most significant and dynamic players in the Americas, has the potential to ship to market nearly 11 million tons of steel products per year. The company continues to invest in its steel mills and in mining in order to increase production, improve quality and draw synergies from process integration and product specialization. The Techint Group experience and skills in plant making have, since the beginning, been accompanied by the in-house manufacture of heavy equipment and industrial machinery. Starting in the 1980s, a series of acquisitions and expansions in Italy had multiplied the portfolio of products and leading technological solutions, particularly for the metals and raw materials industries. Recent acquisitions under the Tenova brand have increased the scope and global presence of the business, whose product lines today include innovative technologies for the iron & steel and mining & minerals industries. In the iron & steel industries these include direct reduction plants; melt shops; secondary steelmaking facilities; reheating and heat treatment furnaces; cold rolling mills and strip processing lines; roll grinders and roll shops. In the mining & minerals industries, Tenova s engineering and fabricating skills have long been applied to bulk handling and advanced mining technologies. In 2012, through the acquisition of a leading global mining engineering house and equipment supplier, 6

9 Tenova has strengthened its offering, presence and operations, covering most of the mining and metals value chain. Tenova now provides engineering and EPCM services; equipment for open pit mining and underground solutions; bulk handling; beneficiation equipment including process technologies; hydrometallurgy and pyrometallurgy plants; modular plant solutions and solid/liquid separation plants. During the 1990s the Techint Group invested in oil and gas blocks in Argentina through exploration and production company Tecpetrol. Tecpetrol has acquired operations in Venezuela, Bolivia, Ecuador, Mexico, Peru, Colombia and the United States. Through Tecpetrol, the Group also holds operating interests in a number of gas transportation businesses, such as Transportadora de Gas del Norte (TGN), Transportadora de Gas del Mercosur (TGM) and Litoral Gas in Argentina and Transportadora de gas del Perú (TgP) in Peru. The latter holds the concession of the two Camisea trans-andean pipelines, one for gas and one for liquids, whose construction has been one of the most challenging projects undertaken by Techint E&C. Tecpetrol continues to pursue the development of energy infrastructure projects, a synergic field of activity involving all the major strengths of the Group. In Italy, the Techint Group entered the health services sector in the mid-1990s by building and managing Istituto Clinico Humanitas, a state-of-the-art hospital and medical research institute near Milan. Specialized company Humanitas has subsequently acquired controlling interests in other important private hospitals in Bergamo, Turin, Catania and Castellanza, where the successful technology-based and patient oriented management model originally adopted in Istituto Clinico has been replicated. Humanitas continues to invest in new health and science facilities, consolidating its position as a foremost private health concern in Italy. For more than 10 years Istituto Clinico Humanitas has been a teaching center for medicine, biotechnologies and nursing degrees thanks to an affiliation with the University of Milan. Since 2010, Humanitas also hosts the international track of the University of Milan School of Medicine. Today, the Techint Group comprises six main companies operating worldwide through numerous subsidiaries, supported by a workforce of experienced professionals and skilled workers numbering 59,000 permanent employees. The global annual turnover of companies of the Techint Group, public and non-public, was USD 25.5 billion in The magnitude of operations of the main companies of the Techint Group may be gleaned from the following table: Techint Group Companies - significant data Tenaris: total (seamless and welded) tubes shipments in 2012 (million tons) 3.8 Ternium: shipments of steel products* in 2012 (million tons) 8.8 Techint Engineering & Construction: backlog of work as of December 31, 2012 (billions of USD) 4.1 Tenova: backlog of work as of December 31, 2012 (billions of USD) 2.7 Tecpetrol: working interest in operated and service contracts oil and gas production in 2012 ** (million bbl of oil equivalent) 28 Tecpetrol: operated oil and gas pipelines at end-2012 (thousand kilometers) 12 Humanitas hospitals admissions in ,000 * Excluding pig iron ** Includes production from Libertador field (Ecuador) THE TECHINT GROUP IN BRIEF 7

10 Activities During more than 65 years of activity, the companies of the Techint Group have evolved, building upon the vast amount of experience gained in such areas as steelmaking; building of complex infrastructures; design and construction of industrial plants and machinery; oil and gas exploration and production; and selected public services. All along, companies have maintained a deep commitment to efficiency, quality, integrity and respect of the value of individuals, promoting health and safety among employees, being careful of the impact of operations on the environment, establishing transparent and constructive relations with local communities, establishing long-term relationships with customers and suppliers. Today, the companies of the Techint Group are active in a small number of clearly circumscribed industries, where they have global or regional prominence: Tenaris is a leading supplier of steel tubes and related services for the world s energy industry and certain other industrial applications; Ternium is a leading supplier of flat and long steel products in Latin America, with steel manufacturing and processing facilities, and service and distribution centers in the Americas; Techint Engineering & Construction carries out, from design to execution, projects of high complexity in the oil & gas; energy; industrial plants; oil refineries and petrochemical plants; mining and infrastructure; and architecture civil works market segments; Tenova offers a number of world leading technologies and capital goods for the iron & steel and mining & minerals industries worldwide; 8

11 Tecpetrol is involved in oil and gas exploration and development, as well as in gas and natural gas liquids transportation and distribution projects, in the Americas; Humanitas promotes, implements and manages health care initiatives, research and teaching. In addition, Techint Group company Exiros provides a wide range of industrial procurement services to many of the above companies, negotiating more than 7.5 billion dollars per year in purchases of raw materials, industrial goods and services for its customers. Tenaris Tenaris offers advanced product technology and integrated supply chain management services on a global scale to customers such as the world s major oil and gas companies, as well as engineering and industrial companies. Tenaris has manufacturing facilities in Argentina, Brazil, Canada, Colombia, Indonesia, Italy, Japan, Mexico, Romania and the United States, a proprietary global service along with a worldwide distribution network. Tenaris s annual production capacity of seamless pipes is 3.8 million tons. The company also has annual capacity of 2.7 million tons of welded pipes, and employs 26,500 people worldwide. Tenaris is the world leader in premium connections and is at the forefront in the development of the tubular technologies required not only to operate in the most demanding oil and gas fields, but also in high performance mechanical and structural applications. Tenaris is a public company, incorporated in Luxembourg, with its shares listed in Milan, Buenos Aires and Mexico and its American Depositary Securities listed on the New York Stock Exchange; it adheres to international standards of corporate governance, financial transparency and information disclosure. Ternium Ternium is a leading steel producer in Latin America. It manufactures and processes a broad range of value-added steel products - including galvanized and electro-galvanized sheets, pre-painted sheets, tinplate, welded pipes, and hot-rolled and cold-rolled steel, as well as slit and cut-to-length offerings through its service centers - for customers operating in the construction, home appliances, capital goods, container, food, energy and automotive industries. Ternium also produces long steel products, such as bars and wire rod, and metal building components. With an annual production capacity of nearly 11 million tons of finished steel products and 16,600 employees, Ternium has production facilities located in Mexico, Argentina, Brazil (through a managing stake in Usiminas), Colombia, the southern United States, and Guatemala, as well as a network of service and distribution centers in Latin America. Ternium shares the Techint Group s high standards of quality, efficiency and industrial technology. Ternium is a public company with its shares listed on the New York Stock Exchange (NYSE: TX). THE TECHINT GROUP IN BRIEF 9

12 Techint Engineering & Construction Techint Engineering & Construction provides engineering, procurement, construction, operation and management services for projects of great importance in several locations worldwide. The company s multi-local presence allows it to have deep knowledge of the technical standards, laws and regulations, taxes, financial entities, labor unions and subcontractors in the regions where it operates. Thanks to its large experience in the market, Techint Engineering & Construction can develop high complexity projects, from design to execution, taking care of the environment and the welfare of communities. With over sixty five years of experience and employing 22,000 people worldwide, the company has completed more than 3,500 projects in compliance with ISO/BS/OHSAS international standards in America, Europe, Asia and Africa. Currently, the company delivers services in the following market segments: Oil & Gas, Energy, Industrial Plants, Oil Refineries and Petrochemical Plants, Mining, and Infrastructure & Architecture Civil Works. Tenova Tenova is a major international supplier of advanced technological solutions for the iron & steel and mining & minerals industries worldwide, targeting the need for quality, efficiency and environmental safeguards of its clients. Its product portfolio embraces a range of technologies and renowned brands with numerous references in most countries (for details, see the Techint Group Companies section of this publication). Tenova s product lines of innovative equipment and services for the iron & steel industry include steel shop equipment, industrial furnaces, rolling & finishing technologies and fully automated roll shops. Tenova also operates in the mining industry, providing engineering and EPCM services, equipment and technologies covering mining, bulk handling, minerals processing and extractive metallurgy. The company has carried out an international expansion strategy to complete its offering in terms of technologies, services and products, and to widen and strengthen its geographical presence. Tenova is active in Australia, Austria, Belgium, Brazil, Bulgaria, Canada, Chile, China, Germany, India, Israel, Italy, Kazakhstan, Libya, Mexico, Poland, Peru, Russia, South Africa, South Korea, Sweden, Thailand, UK, USA, Uzbekistan and Vietnam. Tecpetrol The Techint Group has a long-standing record of involvement in America s potential for energy development and integration. With privately held Tecpetrol, the Techint Group is active in the exploration and production of oil and gas fields in Argentina, Bolivia, Colombia, Ecuador, Mexico, Peru, Venezuela and the United States. Tecpetrol also participates in the operation of gas transportation companies, among them Transportadora de Gas del Norte (TGN), Transportadora de Gas del Mercosur (TGM), Litoral Gas in Argentina, and Transportadora de gas del Perú (TgP), the 10

13 Camisea pipelines company, in Peru, as well as in other energy-related developments. The company also offers maintenance services to Pemex in Mexico, in the Sistema 3 project. Synergies are achieved with Techint Engineering & Construction, a top-ranking builder of oil and gas pipelines and facilities worldwide. Humanitas In Italy, the Techint Group is active in health care through the Istituto Clinico Humanitas and the Humanitas Group. Humanitas promotes, implements and manages health care initiatives, research and teaching. The Humanitas Group includes the well established, research- and teaching-focused Istituto Clinico Humanitas (ICH) hospital near Milan, built by Techint, and prestigious private accredited hospitals in Bergamo, Turin, Catania and Castellanza (Varese). The delivery of health care in these structures is based on Humanitas economically successful, patient oriented management model, supported by state-of-the-art systems of integrated information. Exiros Exiros is a global procurement company that offers integral solutions from supplier sourcing activities to inventory management. Exiros centralizes the purchasing operations of Tenaris and Ternium, the steel business companies of the Techint Group, and a portion of Techint Engineering & Construction, consolidating as much as 7.5 billion dollars in purchases in a wide range of categories such as raw materials, supplies, industrial equipment, transport and services. The company employs 500 people in Argentina, Brazil, Canada, China, Colombia, Guatemala, Italy, Indonesia, Mexico, Romania, Uruguay, and the United States. Fully owned by Tenaris and Ternium, Exiros aims to provide effective procurement solutions for its shareholders with state-of-the-art technology and the support of more than 12,000 active suppliers performing more than 500,000 transactions every year. THE TECHINT GROUP IN BRIEF 11

14 Values Techint Group companies share an original philosophy of long term presence, commitment to local development, and a passion for quality and technology. The success and growth of companies also reflect a management approach based on continued investment in human resources and the development of individuals competences and responsibilities in a safe working environment where teamwork is as essential as a single s drive and initiative. Techint Group companies are multilocal industrial enterprises deeply rooted in the countries where they operate, and are established with such objective in mind. Thus, they possess a thorough understanding of local cultures, and are able to recognize, and draw fully from local strengths and skills. Companies are committed to economic progress and contribute to local development and growth through their output, investment in human resources and investments aimed at improving the welfare of the communities in which they operate. They respect, care for, and contribute to the quality of the surrounding environment. The management of Techint Group companies is renowned for its professionalism and for the strict financial and operational control it exercises over all ventures. Thus, Techint Group companies are ideal partners for business initiatives, and have often set up joint ventures with both local and foreign partners wherever they have an established presence. 12

15 Techint Group companies aim for competitiveness in international markets, relying on quality, technology and an understanding of their clients needs. Techint Group companies have always prided themselves on their ability to manage complex projects and integrate up-to-date technology in all fields of operation, beginning with the companies own industrial and services facilities and the information and communication technology links that allow them to operate worldwide. A full understanding and evaluation of clients needs is a main principle of the Group s philosophy. Industrial, engineering and services companies strive to develop long-term relationships with their clients. Respecting the philosophy of its founder, it is not the policy of the Techint Group to engage in purely financial activities. THE TECHINT GROUP IN BRIEF 13

16 Techint Group Companies Tenaris Ternium Techint engineering & construction 14

17 Tenova Tecpetrol Humanitas techint group companies 15

18 Tenaris techint group companies Our mission is to deliver value to our customers through product development, manufacturing excellence, and supply chain management. We seek to minimize risk for our customers and help them reduce cost, increase flexibility and improve time-to-market. Tenaris employees around the world are committed to continuous improvement by sharing knowledge across a single global organization. 16

19 Tenaris 17

20 Tenaris 3 In the previous pages: a Field Service specialist inspects TenarisHydril premium connections before a shale running. Tenaris is a leading supplier of steel tubes and related services for the world s energy industry and certain other industrial applications. With a global network of manufacturing facilities, service yards, R&D centers and commercial offices, Tenaris in 2012 produced 2.7 million tons of seamless pipes and 1.2 million tons of welded pipes including Tubes and Projects. Tenaris is a public company, incorporated in Luxembourg, with its shares listed in Milan, Buenos Aires and Mexico and its American Depositary Securities listed on the New York Stock Exchange; it adheres to international standards of corporate governance, financial transparency and information disclosure. The company employs around 26,500 people worldwide. Tenaris s customers include most of the world s leading oil and gas companies as well as engineering companies engaged in constructing oil & gas gathering, transportation and processing facilities. Tenaris serves customers through four global business units focused on specific market segments, and local business units which are located in the countries hosting its main production facilities. In 2012, Tenaris had annual net sales of US$ 10.8 billion. Global Lines of Business techint group companies Oil Country Tubular Goods (OCTG) and Premium Connections 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. Using a unique network of manufacturing, service, distribution and R&D facilities, Tenaris focuses on reducing time and costs for customers through integrated supply chain management and developing industry leading products and technical services. Tenaris s service offer covers the entire project lifespan, from the selection of materials to pipe handling and on-site technical assistance during running. Through TenarisHydril, Tenaris is able to offer customers worldwide a full range of integral and coupled premium connection products for the most demanding E&P environments. The combined R&D and industrial know-how make a substantial contribution to expanding the frontiers of oil and gas exploration and production. A free ipad application - TenarisLibrary - compiles up-to-date information on OCTG and pipeline products supplied by the company. Similarly, the TenarisHydril Application Guide app, which is available for free download on ipad, iphone and Blackberry, details the features of premium connections. 18

21 Pipeline Services Tenaris manufactures a complete range of seamless and welded line pipe and coiled line pipe products for use in onshore and offshore pipelines, with onsite ready for installation delivery. Tenaris focuses on providing the risers, flowlines and subsea tubular components for the deepwater and ultra deepwater markets. Services provided include material selection, double jointing, internal and external coating, internal blasting, anode pad installation and other detailed operative services. Tenaris s range of products also includes pipes for complex offshore structures like platforms and rigs. Process and Power Plant Services Tenaris provides comprehensive material planning, supply chain management services and on-time delivery of quality products to enable customers to meet the demanding needs of major refinery, petrochemical and power plant contracts. Products include a wide range of seamless and welded line pipe, fittings and flanges in most carbon, low alloy and high alloy steel grades as well as special grades, and cold drawn pipes for boilers and heat exchangers. Tenaris demonstrates the benefits of Dopeless technology in the Middle East. Tenaris 19

22 Industrial and Automotive Services Tenaris provides a wide variety of mechanical, structural and cold-drawn seamless pipe products for industrial applications with a focus on segments such as automotive components, hydraulic cylinders, construction machinery, gas cylinders and architectural structures. Services provided include just-in-time delivery, stocking and consignment programs and e-commerce facilities. Local Business Units and Facilities In countries where Tenaris has its principal pipe manufacturing centers, local business units cater to the local market. Services offered take advantage of the local manufacturing presence and the distinctive heritage of the mills in the communities where they operate. North America Tenaris has a fully integrated seamless pipe manufacturing facility and a pipe fittings facility in Mexico; three welded pipe manufacturing facilities, two coiled tubing facilities and a couplings manufacturing facility in the United States; and a seamless pipe rolling mill and a welded pipe manufacturing facility in Canada. Premium connection threading facilities are also operating in the region. techint group companies In Mexico, Tamsa - Tenaris s fully integrated seamless pipe manufacturing facility - is located near the port of Veracruz on the Gulf of Mexico, near the major exploration and drilling operations of Mexican state oil company Petróleos Mexicanos (Pemex). The facility includes a new cutting-edge technology rolling mill, which began operation in 2010, and a new sucker rod plant which has recently been inaugurated. With its R&D center, automotive center, TenarisUniversity and environmental certifications, Tamsa has become the industrial center of Tenaris in Mexico. In the United States, Tenaris has three facilities producing a complete size range of welded Oil Country Tubular Goods (octg), including technologically advanced products such as premium couplings, coiled tubing and coiled subsea umbilicals. Main plants are located in the Houston area, in Arkansas and in Tennessee. Tenaris is also building a greenfield seamless steel pipe plant in Bay City, Texas, which is expected to be completed by In Canada, Tenaris has two production facilities: a seamless steel pipe manufacturing facility located in Sault Ste. Marie, in the province of Ontario, and a welded steel pipe manufacturing facility based in Calgary, Alberta. 20

23 South America Tenaris has a fully integrated seamless pipe facility in Argentina. In addition, welded pipe manufacturing facilities are located in Argentina, Brazil and Colombia. The main manufacturing facility that Tenaris has in South America is a fully integrated plant with a state-of-the-art seamless pipe mill located on the banks of the Paraná River near the town of Campana, approximately 80 kilometers from the city of Buenos Aires, Argentina. In Argentina Tenaris also has two welded pipe plants, one located at Villa Constitución in the province of Santa Fe which produces small diameter welded pipes, and another located in Valentín Alsina, just south of the city of Buenos Aires, which produces welded pipes with a diameter range of 4½ to 80 inches that are mainly used in the construction of pipelines. In addition, Tenaris produces tubular accessories such as sucker rods and pipe protectors in Villa Mercedes, in the province of San Luis. Tenaris also has a modern gas turbine power generation plant, located at San Nicolás, approximately 150 kilometers from Campana. At Pindamonhangaba, 160 kilometers from the city of São Paulo, Brazil, Tenaris processes steel plates and coils to produce welded steel pipes with an outside diameter range of 4½ to 100 inches for various applications, including Tenaris 21

24 oil, petrochemical and gas applications. The facility also supplies external and internal anticorrosion pipe coating. With an investment of USD 38.8 million, the company has begun the construction of its Research & Development (R&D) Center in the Rio Technology Park at Ilha do Fundão, Rio de Janeiro, Brazil. techint group companies In Cartagena de Indias, Colombia, Tenaris has a steel pipe manufacturing facility which produces mainly welded OCTG and line pipe products for the local oil & gas industry and for export, as well as welded steel pipes for electric conduits. Europe In Europe, Tenaris has seamless pipe manufacturing facilities in Italy and Romania and a premium connection threading facility in the UK. The principal manufacturing facility in Europe is an integrated plant with one hundred years of history, located in the town of Dalmine in the industrial area of Bergamo, about 40 kilometers from Milan. It also boasts a Research and Development center specialized in hot rolling technologies for seamless tubes and the study of new products for the thermal and mechanical sectors. In Romania, Tenaris has production facilities located 22

25 Control booth in Tenaris s new seamless pipe production facility in Veracruz, Mexico. in Zalau - a seamless pipe mill with a 225,000 tons/year capacity - and in Calarasi - a steel shop with an annual capacity of 470,000 tons, as well as a recently acquired sucker rods plant in Campina and a service center in Ploiesti. Far East and Oceania Tenaris s manufacturing facility in Asia, operated by NKKTubes, is a seamless steel pipe plant located in Kawasaki, Japan, in the Keihin steel complex owned by JFE. The facility produces seamless pipes with an outside diameter range of 1 to 17 inches. Steel bars and other essential inputs and services are supplied by JFE, which retains a 49% interest in NKKTubes. Tenaris operates a premium connections and coupling threading facility in Qingdao, China, and a joint venture threading facility in India. In Indonesia, Tenaris has an OCTG processing business with heat treatment and premium connection threading facilities. The plant is located in the Krakatau industrial park, 100 kilometers from Jakarta. Middle East and Africa Tenaris started up a premium threading operation in Saudi Arabia and in 2011 expanded its operations in Nigeria through a joint venture with the leading pipe coating company. Tenaris 23

26 Tubular Technologies of Tomorrow Tenaris is at the forefront of developing the tubular technologies required for operating in the world s most demanding environments, not only to meet the challenge of drilling in extreme conditions of pressure and temperature but also in high performance mechanical and structural applications. Tenaris has set up a worldwide research and development organization committed to developing new products and to constantly improving existing products and manufacturing processes. R&D activities are carried out at specialized research facilities and support centers. The Tenaris Center for Industrial Research, in Campana, Argentina, provides technological research support in a variety of areas, including finite elements analysis and modeling, full scale product testing, process metallurgy, fracture mechanics, and corrosion testing. In 2011, Tenaris inaugurated a new Technology Center, which contains modern laboratories for applied physics, surface chemistry and metallurgy. The state-of-the-art Tenaris rolling mill in Veracruz is a key component of the company s industrial system. The Tenaris R&D center in Dalmine, Italy, is committed to developing new products for mechanical applications, power generation, and petrochemical sectors, as well as improving and optimizing the Tenaris rolling processes. techint group companies 24

27 Tenaris also has a stake in Centro Sviluppo Materiali (CSM), in Rome, Italy, that carries out full scale testing of premium connections, physical modeling, mechanical product design and testing, physical metallurgy and welded line pipe testing. The Tenaris R&D Center, in Veracruz, Mexico, conducts advanced technology research on the metallurgical and mechanical properties of pipe with a full scale testing facility. TenarisNKKTubes Product Testing Lab, in Kawasaki, Japan, performs full scale testing of premium connections, corrosion resistant alloys and drill pipe design. TenarisUniversity Tenaris has established a corporate university, TenarisUniversity, to integrate, align and disseminate knowledge across the company. TenarisUniversity s core activity is training, with a variety of courses customized to fit the needs of employees at every stage of their careers. Training is effected through six Schools - Industrial, Commercial, Finance & Administration, Management, IT and Technical - and delivered via multiple venues and formats that include e-learning, classroom lectures, case studies and simulations. Most training is carried out regionally but in some cases, global events are held that bring together Tenaris employees from all over the world and provide a rich opportunity for the sharing of knowledge and experience, facilitating Tenaris efforts to build a unified corporate culture. Finally, Tenaris co-sponsors the Roberto Rocca Education Program, named after the Techint Group s late Chairman, an initiative that provides scholarships and fellowships to talented undergraduate and graduate students of engineering and the applied sciences. Tenaris 25

28 Ternium techint group companies 26

29 Our vision is to be the leading steel company in the Americas, committed to the development of our customers, at the forefront in industrial standards and standing out through the excellence of our human resources. Ternium 27

30 Ternium 3In the previous pages: The coils storage facility at the Universidad plant, Mexico. Ternium is a leading steel producer in Latin America. It manufactures and process a broad range of value-added steel products, including galvanized and electro-galvanized sheets, pre-painted sheets, tinplate, welded pipes, hot-rolled flat products, cold-rolled products, bars and wire rods as well as slit and cut-to-length offerings through its service centers. Ternium s customers range from global companies to small businesses operating in the construction, automotive, home appliances, capital goods, container, food and energy industries. The company aims to build close relationships with its customers and recognizes that its success is closely linked with theirs. The company has an annual production capacity of approximately 10.8 million tons of finished steel products and 4.4 million tons of iron ore and supports its operations with 16,600 employees sharing a deeply ingrained industrial culture. Ternium has production facilities located in Mexico, Argentina, Colombia, the southern United States and Guatemala, as well as a network of service and distribution centers throughout Latin America that provide it with a strong position from which to serve its core markets. In addition, Ternium participates in the control group of Usiminas, a leading steel company in the Brazilian steel market. techint group companies 28

31 Steel Mexico Ternium is the leading supplier of flat steel products in Mexico, the third largest market in the Americas. Shipments to this market represented 56% of Ternium s total steel shipments in Ternium has eleven steel production and/or processing units in Mexico, consisting of three integrated steel-making plants, based on DRI-EAF technology (two of which produce long steel products and one of which produces flat steel products and includes two steel service centers), four downstream flat steel processing plants combining hot-rolling, cold-rolling and/or coating facilities (two of which include steel service centers), and four steel service centers. In addition, Ternium has eleven retail distribution centers in this region, aimed at serving customers mainly in the construction sector. Ternium s aggregate production capacity of steel products in Mexico was approximately 7.3 million as of December 31, In 2012 the company continued running its integrated steel making facilities in the region at close to full capacity and, as steel demand continued growing, re-rolling facilities saw increased utilization rates. Main projects carried out by Ternium s Mexican subsidiaries in 2012 included the construction of a greenfield facility in the vicinity of Monterrey City, the revamping of a pickling processing unit in the Churubusco plant and further development of the mining operations. The new facility in the vicinity of Monterrey City, Mexico, which is expected to commence production in the second half of 2013, includes a cold-rolling mill and a hot-dip galvanizing plant, the latter under a joint venture with Nippon Steel & Sumitomo Metal Corporation. It will serve the demanding requirements of the automotive industry in Mexico and achieve further integration with Ternium s steel processing facilities in the southern United States and Guatemala. Southern Region The Southern Region encompasses the steel markets of Argentina, Bolivia, Chile, Paraguay and Uruguay. During 2012, Ternium was the leading supplier of flat steel products in Argentina and a leading supplier of steel products in Paraguay and Uruguay. In addition, Ternium continued serving Ternium 29

32 customers in Bolivia and Chile. Shipments in the Southern Region represented 28% of Ternium s total steel shipments in Ternium has nine steel production and/or processing units in this region, located in Argentina, consisting of one integrated flat steel-making plant, based on blast furnace technology, producing slabs, hot-rolled, cold-rolled and tinplate coils; four downstream flat steel processing plants comprising cold-rolled, hot-dip galvanized, electrogalvanized and color-coated coils (three of which include steel service centers); and four steel service centers. During 2012, Argentina s Siderar made progress in several projects, including the expansion of a galvanizing line (completed during the period); the installation of a new vacuum degassing station, expected to come into operation by year-end 2013, that will expand the range of specialty steel products; the installation of a new continuous caster, expected to come into operations at the beginning of 2014 that will expand Siderar s steel-making capacity; repairs and enhancements at the coking and blast furnace areas, and the expansion and enhancements of the hot strip mill. Other Markets During 2012, Ternium was a leading supplier of steel products in Colombia and Central America. In addition, Ternium continued serving customers in the southern United States and in other countries throughout Latin America. Shipments to these markets represented 16% of Ternium s total steel shipments. techint group companies Ternium has a total of sixteen steel production and/or processing units in Colombia, Guatemala and the United States, consisting of one integrated long steel-making plant, based on EAF technology, which produces bars for the construction industry, two downstream flat steel processing plants, comprising hot-dip galvanized and pre-painted coils (one of which includes a steel service center) and thirteen steel service centers. Ternium has also four retail distribution centers in Central American countries. During the year Ternium s subsidiary in Guatemala carried out the revamping and expansion of its galvanizing mill. In addition, Ternium s Colombian subsidiary Ferrasa made progress in the installation of a new de-dusting system at its steel shop, which is expected to enable the facility to increase its steel production levels by approximately 25% while ensuring that its emission levels comply with Colombia s environmental regulations. 30

33 Mining Ternium s mining activities are located in Mexico. The extraction, processing and production of iron ore is organized under two operating companies: Las Encinas, wholly owned by Ternium, has an annual production capacity of 1.9 million tons of pellets and 0.2 million tons of concentrate surplus as of year-end 2012; Peña Colorada, 50% owned by Ternium and 50% by ArcelorMittal, has an annual production capacity of 4.1 million tons of pellets and 0.4 million tons of concentrate surplus as of year-end During 2012, Las Encinas completed works for the revamping of its grinding and concentration facilities in Alzada, a project that enables higher processing capacity and the production of higher quality pellets, thereby reducing steelmaking costs. The revamping included a new control pulpit from where the whole plant operation is controlled. Energy consumption and physical space was optimized and water usage at the grinding and concentration processes is now being recycled. Control booth at the Alzada iron ore concentration plant, Mexico. Ternium 31

34 Usiminas In January 2012, Ternium, Siderar and Confab, a subsidiary of Tenaris, completed the acquisition of a participation in the control group of Usiminas, a leading steel company in the Brazilian steel market, that has crude steel annual production capacity of 9.5 million tons. Usiminas has strategically located facilities near the main consumers of steel in Brazil and iron ore mines in the Serra Azul region. Shiments in 2012 were 6.9 million tons of steel products and 6.1 million tons of iron ore. Main investments in the year included: in the steel segment the construction and start-up of the hot strip mill II and a new pickling line in the Cubatão plant, and improvements at the coking facilities of the Ipatinga plant: in the mining segment the development of the friable iron ore project that will allow the company to reach an annual iron ore production capacity of 12 million tons during the second half of Support Program for Small-and Medium-Sized Enterprises Ternium sponsors, as it has done for ten years now, a small-and medium-sized enterprise (SME) support program called ProPymes. Created by the Techint Group in 2002, the program is focused on helping SMEs in the steel industry s value chain to grow. The program s ultimate goal is to enhance SMEs competitiveness and to stimulate investments in the steel industry s value chain. To achieve this, ProPymes provides a diversity of services including training, business advisory, institutional assistance, commercial support and financial aid. Ternium supervises the execution of the ProPymes programs through two departments operating under local management supervision in Mexico and Argentina, currently assisting a total of approximately 850 SMEs. techint group companies Research & Development Ternium continuously seeks to introduce new value-added products and transform its technical knowledge into competitive advantages. Product research and development activities in Ternium are conducted through a central Product Development Department in coordination with local teams that operate in several facilities. Applied research is carried out in-house and in conjunction with universities and research centers, as well as through the participation in international consortia. Ternium develops new products and processes in cooperation with its industrial customers. During 2012, Ternium continued participating in leading research and 32

35 Usiminas focuses its activities on high value steel products. development projects through international consortia and together with universities and research centers to further expand the required know-how for the development of new products. Consortia projects included the development of high-strength steel for applications in the pipe manufacturing and automotive industries, with the University of Pittsburgh; and the development of new coating technologies for applications in the automotive industry and improvements in the galvanizing bath to optimize processes, with the International Zinc Association. Projects developed with universities and research centers included the improvement of batch annealing processes, the improvement of interstitial-free steel grades with dent resistance or controlled aging properties and the improvement of welding techniques for galvanized steel. Ternium 33

36 Techint engineering & construction techint group companies 34

37 In undertaking complex projects Techint Engineering & Construction aims to achieve growth, innovation and results with maximum attention to quality of life, working standards and sustainable economic growth, all the while adapting to different local cultures and conditions. techint engineering and & construction 35

38 Techint Engineering & Construction 3 In the previous pages: Construction of Ternium s new Pesquería facility near Monterrey, Mexico. TECHINT ENGINEERING & CONSTRUCTION HIGHLIGHTS About 22,000 employees. More than 3,500 engineering and construction projects completed worldwide. Over 70,000 km of pipelines. 18 pipelines laid on the Andes mountain range, some reaching altitudes of 5,000 m above sea level. Over 1,000 units completed in chemical and petrochemical plants. Over 23,000 km of power lines. 74,000 MW installed in power plants. Over 7 million kva installed in substations. 400 oil & gas processing plants. Techint Worldwide Techint Engineering & Construction provides engineering, procurement, construction, operation and management services for projects of great importance in several locations worldwide. The company s multi-local presence allows it to have deep knowledge of the technical standards, laws and regulations, taxes, financial entities, labor unions and subcontractors in the regions where it operates. Thanks to its large experience in the market, Techint Engineering & Construction can develop high complexity projects, from design to execution, taking care of the environment and the welfare of communities. With over sixty five years of experience and employing 22,000 people worldwide, the company has completed more than 3,500 projects in compliance with ISO/BS/OHSAS international standards in America, Europe, Asia and Africa. Currently, the company delivers services in the following market segments: Oil & Gas, Energy, Industrial Plants, Oil Refineries and Petrochemical Plants, Mining, and Infrastructure & Architecture Civil Works. techint group companies MARKET SEGMENTS OIL & GAS ENERGY INDUSTRIAL PLANTS OIL REFINERIES AND PETROCHEMICAL PLANTS MINING INFRASTRUCTURE & ARCHITECTURE CIVIL WORKS CORE PRODUCTS Pipelines for oil, gas and byproducts transportation; oil and gas treatment plants; offshore works and maritime terminals; facilities associated with transportation systems (compression and pumping stations, storage tanks and other surface facilities); LNG plants. Simple and combined cycle power stations; hydroelectric power stations; nuclear facilities; renewable energy; transmission lines; transformer substations. Iron and steel plants (facilities and industrial services); other plants (metallurgical, pulp and paper, aluminum production, for construction materials, for home appliance manufacturing, and for material handling). Oil refineries (units for process, treatment and production, gasoline and diesel hydrotreatment and hydrodesulfurization plants); petrochemical plants (chemical, methanol, fertilizer, agrochemical and herbicide, polyethylene and polypropylene, and hydrogen production). Civil works (routes, access roads and ports); aqueducts and ore pipelines for mineral processing plants; industrial and service structures and buildings. Hospitals; bridges; underground railways; roads; highways; water and sewag treatment plants; buildings and aqueducts. 36

39 Multilocal Presence The site of the LNG regasification terminal in Dunkerque, France. Argentina Established in 1946, Techint Compañía Técnica Internacional is the leading engineering & construction company in Argentina and one of the most important in Latin America. The company - which has participated in the largest and most technologically complex projects in the country covering all market segments - has established credentials as one of the world s major pipeline builders and as a prime contractor for oil refineries and chemical or petrochemical plants. The company is especially recognized for its capability to develop complex infrastructure projects in harsh geographical areas, as manifested by the laying of 18 trans-andean pipelines, as well as other projects in remote locations. In the past few years, the company has also carried out numerous civil and architectural works related to urban development projects. Furthermore it is developing important mining ventures, aiming for a strong positioning in that segment. Through years of engaging in engineering, construction and maintenance of steel plants, the company has acquired a deep understanding of the steel industry which it has translated into the rendering of services such as electromechanical maintenance, steel mill heavy cleaning, light industrial cleaning, complete packaging system for cold-rolled coils (including the supply of packaging materials), and refractory works. techint engineering and & construction 37

40 Brazil Established in 1947, Techint Engenharia e Construção has contributed to Brazil s development by undertaking over 1,100 projects, such as the construction of oil and gas refining, treatment and transportation facilities; chemical and petrochemical complexes; iron, steel and non ferrous metal plants and basic sanitation and educational structures. It has played a particularly outstanding role in the oil and gas sector in this country: achievements include laying more than 13,000 km of pipelines (60% of the existing oil and gas pipeline system in Brazil), participating in the construction of jackets and modules for offshore platforms, laying offshore pipes, and supplying hook-up and maintenance services to major Brazilian clients, including Petrobras for whom the company has executed over 250 projects. Pascua-Lama gold mining project across the Argentina-Chile border, at 4,000 meters above sea level. Chile Established in 1951, Techint s initial activities in Chile included the construction of roads, highways and civil works for the public sector. In the past few years, the company has focused on the development of engineering, procurement and construction (EPC) projects for the oil and gas sector and the mining industry. Techint has built most of the relevant oil and gas pipeline projects in the country such as the Transandino oil pipeline and the NorAndino and techint group companies 38

41 GasAndes gas pipelines. In addition, the company has worked in the engineering of petrochemical projects for the national oil company ENAP. Techint is increasingly involved in mining projects that range from electromechanical facilities to slurry pipelines for clients such as BHP Billiton and Anglo American. Egypt Established in 1974, Techint carries out major projects in the pipelines, refineries, sea-lines and marine platforms, power generation and petrochemical fields. The company has executed more than 40 large projects, building the most important power plants in Egypt, as well as major chemical, petrochemical and process plants. Thanks to its consolidated know-how and experience, the company covers all the local aspects necessary to handle any kind of large industrial project. India Established in May 2010 in Mumbai, Techint has approximately 250 employees and works closely with the Engineering Department in Milan, especially in the detailed engineering area, during both the proposal and project execution stages. The creation of the Indian company answers the need to increase the availability of engineering resources, while maintaining high design quality and containing costs. Italy Founded in 1945, Techint Compagnia Tecnica Internazionale is the forerunner of today s extensive group of Techint engineering and construction companies, and is considered one of the most prestigious E&C companies in Italy. This fully integrated organization specializes in the design, engineering and construction of industrial plants and major infrastructure projects. Over the years the company has developed a special expertise in refineries, petrochemical plants, power plants, LNG regasification plants and health care facilities. Techbau, an Italian company based in Verbania, designs, plans and executes engineering projects with a high technology content. Mexico Techint is one of the leading EPC companies in Mexico, specializing in lump sum turnkey projects for the energy, oil and gas, petrochemicals and steel industries. Established in 1954, the company has grown steadily in the last ten years by participating in the most important industrial and infrastructure techint engineering and & construction 39

42 projects in Mexico and Central America such as pipelines, petrochemical and gas plants, steel plants, hospitals, hydroelectric and combined cycle power plants, transmission lines and electrical substations, coal handling facilities, coal and pet coke fired power plants. Techint has built more than 7,500 km of high voltage transmission lines, more than 5,000 MW of power generation plants, and high voltage electrical substations for a total capacity of 4,500 MVA. The company has also built in 1999, and operated since then, the 6 million ton coal-handling terminal in Lázaro Cárdenas, Michoacán. Nigeria Techint CimiMontubi Nigeria was established in 1989 and in over 20 years of continuous presence in the country it has been active in civil works, mechanical-electrical-instrumentation work, and operation assistance for the realization of power generation plants, petrochemical plants, liquefied natural gas (LNG) plants, refineries, pipelines and production facilities. Its impressive construction capabilities have secured it a role as a constructor on key Nigerian projects such as the 6 trains for the Bonny Island gas liquefaction plant and the Escravos gas to liquids plant. The Nigerian branch is of vital importance to Techint E&C as the bridgehead into sub-saharan Africa. Techint E&C is gradually increasing its engineering capabilities in the country in order to address a Nigerian value proposition focused on high end engineering and management services as well as integrated EPC projects. techint group companies Peru In 2009 Techint established new headquarters in Lima. The company has successfully carried out the construction of one of the major infrastructure projects in Latin America: the Camisea gas and NGL pipelines, 730 and 560 km long, which run from the Peruvian rainforest across the Andes mountains to the city gate in Lima, and to near the port of Pisco respectively. Russia In 2011 Techint E&C opened a new branch in Moscow, to strengthen its local commercial operations. The branch has enabled the company to tighten relations with key customers as a result of which it has already won important contracts to conduct a series of feasibility studies and more recently completed and integrated front end activities for gas treatment plants, refineries and petrochemical plants. Techint E&C in Russia has a staff of 50 people among managers and engineers that are responsible for the coordination of the project development activities. The branch also provides support in achieving greater penetration of neighbouring CIS markets. 40

43 Uruguay Techint began operations in Uruguay in 1956 and has focused its activities on roads, highways, airports and other civil infrastructure works. Other Countries Techint has maintained a permanent presence and leadership in the engineering and construction market in several countries in Latin and North America, the Middle East and Africa, Russia and CIS countries. Since 1974, Techint has been one of Ecuador s leading companies in project engineering, construction and financing. It has built the Heavy Crude Oil Pipeline (OCP) and facilities, one of the largest and most difficult projects in its history. In Colombia, the company has been active since 1979, particularly in oil & gas industry projects, such as pipelines, crude oil processing facilities and terminals, as well as civil infrastructure projects. The company has also developed many projects in the refining segment in Trinidad and Tobago, mainly with Petrotrin, the state company responsible for oil refining in the country. The site of the LNG regasification terminal in Swinoujscie, Poland. techint engineering and & construction 41

44 In 1978, Saudi Techint started working in the Middle East, with a major gas pipeline project (the Shedgum-Yanbu pipeline), located in Saudi Arabia. Since then, the company has been involved in various projects that range from pipelines to industrial plants and water systems, particularly with the company s main client in the region, the national oil company Saudi Aramco. Today the company has a workforce of about 200 people, active in operations, procurement, engineering, administration and management, and is focusing on projects in petrochemicals, refineries and gas treatment plants, where it has won important contracts. Since 2009 Techint has also been active in the United Arab Emirates with a branch located in Abu Dhabi functioning as a support facility for the major oil and gas, chemical and petrochemical, infrastructure and power generation clients in the country and the remaining GCC countries such as Oman, Qatar and Kuwait. The site of the sulphur handling terminal being built for Gasco in Ruwais, United Arab Emirates. Established in Kazakhstan since 1999, Techint E&C has entered the market as a lump sum turnkey contractor for oil and gas facilities, chemical and petrochemical plants, pipelines, power generation and infrastructures. techint group companies 42

45 The company is also a specialized erector for mechanical, instrumentation and electrical works. Techint has established a branch in Algeria. The company assures international standards and complete services from construction to installation and maintenance of industrial plants, including oil and gas and petrochemical plants, power plants and oil refineries. The office in Basra, southern Iraq, began operations in November In line with the approach used by Techint in other new markets, all the staff are local people. Iraq is an area of great interest for Techint E&C business growth, in particular for its strategic position and planned public investments in oil & gas, power and infrastructures. Techint Engineering & Construction is also present in Canada, the Caribbean, Libya and other countries. Work on the Fenix combined cycle 520 MW thermal power plant in Peru. techint engineering and & construction 43

46 2012 Reference List The main worldwide projects in which Techint Engineering & Construction has been involved during 2012 are listed below. They represent the more prominent part of an activity that in the 12-month period ended on December 31, 2012 resulted in overall sales of USD 2.7 billion, with a backlog of USD 4.1 billion. Except for major works, the list does not include projects involving engineering, procurement, construction, maintenance, logistics and other services provided by Techint on a competitive basis to the oil and gas blocks, and to the steel mills belonging to companies of the Techint Group. In particular, services to the steel business represent a time honored, distinguished specialization steeped in the industrial culture of the Techint Group. techint group companies OIL AND GAS 4 In 2012 three projects were completed in Tarija, Bolivia: the Margarita pipelines for Repsol YPF E&P Bolivia for a total 72 km; the Ibibobo project for the BG Bolivia Corporation consisting of a number of interconnection pipelines and flowlines; and the engineering services for the capacity expansion of the Yapacaní plant for YPFB Andina. In Brazil work is going ahead on the OSX project, the largest in the history of Techint in the country, located in the Pontal de Paraná municipality and consisting in the construction of offshore platforms WHP 1 and WHP 2. The project required the previous expansion and complete retrofitting of the work site. In Peru a full range of maintenance work is being performed for gas transportation company COGA (Compañía Operadora de Gas del Amazonas) on the Camisea gas pipeline and the Peru LNG pipeline. In Malvinas, the EPC-30 Camisea Well Head Compression project for Pluspetrol Perú Corporation is going ahead with the installation of two compression trains with a maximum entry capacity of 1,000 MMSCFD, a 30 MW turbine and the corresponding auxiliary facilities. Engineering and geological work completed for the first spread of the Bicentenario oil pipeline in Colombia resulted in the award of the front-and engineering for the 450 kbbld capacity second and third spreads and the Toledo station. Front-and engineering work went ahead on the OAP (Oleoducto al Pacífico) heavy crude pipeline for Embridge, involving the dilution pipeline, pumping and regulation stations, marine terminal and the crude heating system. Work began in February 2012 on the Shushufindi project in Ecuador, consisting in the full design, construction and installation of all equipment and facilities required for the exploitation of the block. In the state of Jalisco, Mexico, engineering, procurement and construction work was completed on the Tuxpan compression station of the Manzanillo-Guadalajara gas pipeline. Again in Mexico, work is proceeding on various facilities for the Tamazunchale II gas pipeline project that include compression and measurement, pressure regulation and control stations. In the same market segment, an EPC contract was signed for the Naranjo Facilities project, involving the expansion of the Tamazunchale gas pipeline from 465 to 865 MMSCFD. Works include three measurement stations and a new compression station. Another awarded EPC contract is the Sistema de Transporte de Etano, a 220 km pipeline to transport ethane from the Ciudad Pemex and Nuevo Pemex facilities to the Etileno XXI processing plant. In northern France, work is proceeding on an LNG regasification plant in Dunkerque for EDF. The plant has an annual capacity of 13 billion cubic meters of gas and is one of the largest methane terminal in France and one of the largest in Europe. In Rotterdam (Netherlands), Techint E&C has successfully completed the Gate Terminal LNG regasification plant. On April 2012 it has been named Project of the Year by the European Construction Institute (ECI). In Swinoujscie (Poland), work has been completed on the reinforced concrete outer shells of the two cryogenic tanks of the LNG terminal being built by Techint E&C. The construction of the office buildings is ongoing. In Russia, Techint was awarded a contract for the construction of a plant for the 95% reduction of sulfur dioxide pollution of the Norilsk Nickel works in Siberia. This plant will be located beyond the 70 North Parallel where winter temperatures drop to 50 C below zero. The project will require more than three million man hours, including local partners activities. In Saudi Arabia, the construction phase has begun on the Hout Crude Facilities project in Al Khafji for KJO (an AGOC/ KGOC joint venture). 44

47 ENERGY 4 In Argentina, Techint is building the Punta Negra hydroelectric plant in the province of San Juan. This project includes the assembly and start-up of a hydro generator (with 2 x 31 MW Francis-type turbines), a high-voltage line and main sub-stations. 4 In Uruguay, Techint in temporary partnership with Usinas y Transmisiones Electricas is going ahead with the high voltage 500 KV power line interconnecting Uruguay and Brazil in two spreads: the San Carlos-Melo (283 Km) and the Melo- Brazil Border (65 Km). 4 In Perú, work is advancing according to plan on the Fenix 520 MW thermal power plant project for SNC Lavalin / Fenix Power Perú SA. Works taking place in Chilca, Lima include the installation and mechanical assembly of a steam turbine, condensator, piping, and the Balance of Plant. The installation of the electric works and the controls is about to be undertaken. 4 Work continues on the combined cycle power plant Norte II in Chihuaua, México. The scope includes engineering, procurement, construction and operation of a 433 MW plant in partnership with Samsung Engeneering y Kapoc. Techint E&C is in charge of the construction of the Balance of Plant. 4 In Egypt, Techint E&C is working on the mechanical equipment and piping installation for the El Ain Sokhna thermal power plant, consisting of two supercritical units of 650 MW each, for the East Delta Electricity Production Company. 4 In Italy, Techint E&C signed the LSTK contract for the construction of a grouting plant for the conditioning of low-level radioactive solid waste at the European Commission s Joint Research Centre in Ispra. 4 Techint E&C has a long experience and a significant number of references in the field of nuclear waste management and it is currently developing two major projects. The first is the Andreeva Bay project, for Moscow based customer UGP, that consists in the decommissioning and the safety setting of a nuclear submarine base on the Barents Sea. The second project, for Rome based client Sogin, is completing the sludge extraction and liquid waste grouting station at the Latina nuclear power plant. Construction of the Margarita project pipelines for Repsol YPF E&P, Bolivia. techint engineering and & construction 45

48 INDUSTRIAL PLANTS 4 Work continues on Ternium s new Pesquería plant near Monterrey, México. The new facility, which is expected to commence production in second half of 2013, includes a cold-rolling mill and a hot-dip galvanizing plant, the latter under a joint venture with Nippon Steel & Sumitomo Metal Corporation. In a second phase a direct reduction plant and a minimill will be added to supply the coils for further processing in the cold area. 4 Work was finalized in 19 months on the Interconnects project for Phoenix Park Gas Processor Ltd in Trinidad and Tobago. The EPC contract included three packages: the revamping of the LPG flare, the necessary changes in the LPG stocking area and the construction of the Vapors Recovery Unit in the LPG stocking system. 4 In Manizales, Colombia, work is proceeding on Ternium s ACASA steel plant for long products consisting in the installation of a fumes and dust aspiration system. OIL REFINERIES AND PETROCHEMICAL PLANTS 4 In Argentina, Techint has completed the new gas oil hydrotreatment (GOH) -B and -C units of amines, the off-sites for such units, and the remodeling of the existing GOH-A unit and its connections for YPF in La Plata, Buenos Aires. 4 In Brazil work was completed on the second phase of the RNST (Refineria del Nordeste) project in Pernambuco that was carried out in partnership with Usiminas and Confab Equipamentos for Petrobras. Eight crude oil tanks were delivered utilizing numerous technological innovations. Meanwhile, the COMPERJ project is advancing, in a temporary partnership with Andrade Gutierrez, consisting in a delayed coking unit (U-2200) in the Rio de Janeiro petrochemical complex. The EPC contract includes the construction of the unit and off-sites. 4 In Nigeria, Techint E&C has completed the front-end engineering documentation (FEED) for the construction of a methanol plant for Indonesia s Indorama. 4 In Russia, Techint E&C has completed the feasibility study for a Methanol plant to be built in the Vladivostok area. Capacities being contemplated are 2500, 3800 and 5000 tpd.the customer is the Sibmetakhim (a Gazprom subsidiary). 4 In Saudi Arabia, Techint E&C started the site work for the solid coke and sulfur handling and export facilities at the Yanbu refinery for Saudi Aramco. In December the client officially delivered to Techint E&C the prestigious Silver Banner after an intensive two-days audit, indicating that the overall performance relating to HSE is quite excellent. techint group companies MINING 4 Work is continuing in Argentina on the Pascua-Lama project, consisting in the construction of platforms for overland conveyor belts, coarse ore stockpile and recovery, pebble crushing and Merrill-Crowe process, mineral separation by flotation, cyanide leaching and dore production (metallic gold and silver mixture) in the Lama part. In Pascua, on the Chilean side, a project including the mine services, the primary crusher and the overland belt is currently under construction. Another project in progress since April 2011 is the Rio Colorado Consortium, consisting in the formation of caves and civil & electromechanical facilities for process units (with their associated ancillary services and facilities) related to the first phase and the civil works of the second phase of the process plant, interconnections with the mine and other adjacent services for its future facilities. 4 In Chile, in the Antofagasta region, work is proceeding on the Minera Escondida Limitada (MEL) project, the world s largest copper mine by production, consisting in mechanical maintenance in the two concentration plants and in the dry area of the cathodes plant. Still in Antofagasta, the Sierra Gorda project is being developed which includes the construction of a 143 km, 36 water pipeline with two pumping stations and the intake and terminal stations. In Copiapó, EPCM services for the CAP-APVH project are beign carried out consisting in the enlargement of the Los Colorados plant and the pellets plant in order to increase the production of iron ore concentrate. 4 In the Donoso district of the Colón province of Panama work is advancing on the Mina del Cobre Panama mining project for the homonymous client. Techint E&C is in charge of the plant s basic engineering and the EPCM of the off-sites. The company has also been awarded the engineering and procurement services of the process plant. 4 The Tomocho mining project is advancing on track and with good perspectives at more than meters above sea level in the Peruvian mountains. Work awarded by client Minera Chinalco consists in the construction of the hydrometallurgical and molybdenum filtering plants of the copper mine. The contract also includes engineering, procurement and construction of piping, electricity and instrumentation of all the plants in the mine; the reactants, lime and neutralizers plants; a 24 water pipline in HDPE and a number of other mechanical and civil construction works. 46

49 INFRASTRUCTURE & ARCHITECTURE CIVIL WORKS 4 In Buenos Aires, Argentina, Techint was awarded, in partnership with Dycasa, the H Line underground project, consisting in the engineering, procurement, construction and commissioning services for 2 sections of the H underground line. The project comprises a 4.2 km extension of the line and the construction of six stations. 4 In the Czech Republic, Techbau is finishing the construction of the multi-purpose building Diamant Center Prague for client Red Bird S.r.o. It s a mixed-use center for retail, offices and hotel. Also in the Czech Republic, Techbau has started the works of refurbishment and construction of the new offices in Jindrisska 16 for the Immofinanz Group and of the residential flats in palace Dlouha for the FIM Group. 4 In Dunkerque, France, Techbau has won the tender for the civil activities connected with the constructions of the buildings and external works in the LNG regasification plant; the Engineering Department has been busy with the execution design since September In Italy, Techbau is building a Retail Park in Castelletto Ticino which includes 4 different commercial blocks for a total surface of m 2 plus m 2 of parking; close to Milan, in Bollate, activities will soon begin on the construction of a new 500 seats auditorioum and a new shopping center; Techbau is also involved in the realization of the new grouting station for the conditioning of solid radioactive waste (SRW) at JRC s Ispra site (see references under Energy). 4 In Rozzano, Italy Techint E&C is building a new radiotherapy bunker and working on the Humanitas Campo della Pieve extension project. In Catania, Italy, Techint E&C has delivered the project for the new HCM Oncology Center. During the year 2012 a new canteen and conference center has been built for the Tenova offices in Castellanza, Italy. 4 Also in Italy work is going ahead on the construction of the new Milan polyclinic. At the Poliambulanza General Hospital in Brescia, the design phase is in progress for the construction of a new maternity, pediatrics and hemodynamics building. Furthermore, the works for the new emergency department were completed. Regarding the S. Giovanni Rotondo hospital in Puglia, Techint E&C presented the variation of the urban detailed plan. Techint E&C is also participating in a Ministry of Education tender with the project Smart Healthcare for a Smart City in a JV with the Polytechnic of Milan and other partners. The project has been admitted to the second stage of detailed design. 4 In Italy, Techint E&C is leader in the SA.T. S.p.A. special-purpose entity handling a project finance concession for 4 new hospitals in Tuscany (in Prato, Pistoia, Lucca and Massa), for a total of 1,710 beds; work on the hospitals is nearing completion and SA.T. S.p.A. (part of Techint E&C) will begin providing O&M services in mid-2013, for a 19-year period. 4 In Iraq, Techint E&C has successfully reached the last step of negotiation with ENI on the new village for the Zubair Oil Field project, located near Bassora. It consists in the design and construction of a highly technological village for ENI and SOC employees, including all the accessory facilities and infrastructure. 4 In the UAE, Techint E&C has been prequalified to participate in the new prestigious Sheikh Khalifa Medical City project, relating to the construction of the new medical city in Abu Dhabi, for a total of 840 beds. 4 In Poland, Techint E&C has submitted a commercial proposal to build an highly technological facility aimed at testing turbines under Cold Flow Condition, after the technical proposal was approved by the client PoloniAero (Avio Group). 4 In Kirov, Russia, after the completion of the civil works for the new Mixing Room for the local Pirelli Tyre Factory, Techbau is finishing the activities for the installation of the press machinery. Also for Pirelli Tyre Factory, Techbau has developed the tender design for the construction on the new Moto Tyre Factory to be built in Subang, in Indonesia. 4 In Canelones, Uruguay, work is proceeding on the Ciudad de la Costa project involving the construction of a 33 km network of PVC and PRFV piping, three artificial basins for rain water flow control and a network of streets. Other projects under way in the country include the construction of a port in the free trade zone of Punta Pereira for Montes del Plata involving, among other works, the dredging of the basin and the access canal; the construction of a wastewater disposal system for the Maldonado and Punta del Este municipalities for Obras Sanitarias del Estado (OSE) including pumping stations, treatment plant and and related system of PVC and PRFV pipelines. 4 In Kurdistan, Techint E&C has been qualified to submit the tender for the complete design of the new Salahddin University complex in Erbil, a 1 billion USD project aiming to provide a completely new campus for the oldest university in the country. techint engineering and & construction 47

50 tenova techint group companies Tenova provides the iron & steel and mining industries with the most advanced technologies, products and engineering services through a worldwide network of synergic companies. 48

51 tenova 49

52 Tenova 3 In the previous pages: Electric arc furnace and Consteel at the Vallourec-Sumitomo Tubos do Brasil plant. Tenova is one of the main companies that supply technological solutions for the iron & steel and mining industries all over the world. Its product portfolio embraces several technologies and renowned brands, with plenty of references in all countries, serving top tier customers in each industry. Tenova has a worldwide presence through different companies located in 26 Countries on 5 continents, all of them distinguished by a common feature: technical excellence supported by a core of constantly evolving engineering expertise. In July 2011, Tenova restructured its activities to better focus on its two core businesses, steel and mining. The two new entities within Tenova have been set up as autonomous operations: the Tenova Iron & Steel division, grouping all steel-related activities and the Tenova Mining & Minerals division, heading activities in the mining business. This reorganization marks another step forward in the growth strategy that the Tenova network is pursuing. In November 2011, Tenova acquired Nova Analytical Systems, a company that specializes in extractive-gas analyzers and sample conditioning systems for industrial applications, based in Hamilton, Ontario, Canada. Roll shop for the TKS hot strip mill. In April 2012, Tenova finalized the acquisition of a leading global equipment supplier and engineering house for the mining and metals industry, Bateman techint group companies 50

53 Engineering, which included the Delkor Group. The newly acquired company has its main operational office in Johannesburg, South Africa, and a network of permanent international offices located in Australia, India, Russia, Peru, the UK and Chile. On the strength of this acquisition, the Tenova Mining & Minerals division has become a total integrated solutions provider to the global mining, bulk materials handling and minerals beneficiation and processing sectors, offering innovative technological solutions and full process and commodity knowledge across the mining industry value chain. Also in April 2012, Tenova acquired Envita, a South Korean company that supplies industrial furnaces, processing lines, furnaces for aluminium melting and furnaces for heat treatment of aluminium components mainly for the automotive sector. This acquisition marks the Tenova network s debut in Korea, the world s highest steel production per capita market and the world s sixth largest steel maker overall. Tenova provides technological solutions through its products and services, targeting the needs for quality, efficiency and environmental safeguard of its clients. The main products supplied are: Iron & Steel industry Direct Reduction Plants Tenova HYL, in partnership with Danieli & C., supplies DR process technologies under the ENERGIRON trademark. These technologies reduce iron ore to a highly metallized, carbon rich DRI (Direct Reduced Iron) and HBI (Hot Briquetted Iron) using natural gas, coke oven gas or syngas as fuel and reducing agent. Plant sizes range from the 200,000 tons per year (tpy) Micro-Module design, to plants producing 2.5 million tpy in a single module. HYL also supplies the HYTEMP pneumatic system for the transportation of hot DRI directly from the exit valve of the direct reduction plant into the electric arc furnace. The company has broadened its technological offering in the DR market to include supply of process gas heaters and CO 2 removal plants. DIRECT REDUCTION PLANTS 4 Nucor Corporation (USA) is currently installing the world s largest single DR module ever constructed, a 2.5 million tpy Energiron ZR plant using state-of-the-art reformerless process design. The plant is being built in Louisiana, and will supply highly metallized, high carbon DRI to Nucor steel plants. Startup is expected by mid After difficulties in the region, the 2.0 million tpy Suez, Egypt, Steel DRI plant, based on the ZR process, has been reactivated and is under commissioning: startup procedures are expected in mid Engineering work is underway for a 2.5 million tpy Energiron plant for Jindal Steel & Power Limited of India. The plant will use a mixture of syngas and coke oven gas as reducing agents instead of natural gas. tenova 51

54 Melt Shops In the steel making process, Tenova provides tailor-made solutions for electric arc furnaces (EAF) and ladle furnaces (LF), integrated by: - Consteel EVOLUTION system for the continuous charging and feeding of electric arc furnaces; - Tenova KT system for the injection of carbon and oxygen; - Tenova Goodfellow EFSOP for the real-time analysis of the off-gases; - ieaf adaptive control technologies for the optimization of the process. Tenova also provides cutting-edge vacuum degassing technologies (VD, VOD and stream de-gasers). Tenova Re Energy, based in Germany, designs and provides off-gases heat recovery solutions for different industrial furnaces such as EAF, SAF, BOF and reheating furnaces. Tenova Core, based in USA, provides products and services for melt shops, including EAF, LF, Consteel EVOLUTION, advanced vacuum degassing systems and complete material handling systems (MHS) for the melt shops. MELT SHOPS 4 Two Consteel EVOLUTION have been awarded to Tenova by TPCO (USA) and IIC (Egypt) after a first contract was awarded to Tenova by IVACO Canada last year and is now in the commissioning phase. 4 During the year Tenova successfully started up the new 100t EAF of Valsabbia (Italy), equipped with the new roof lifting and swinging design which reduces maintenance cost while preserving the traditional reliability of Tenova EAFs. 4 5 new TDRH digital regulations and 9 new KT injection systems are currently under installation. 4 Tenova successfully achieved the target performance on EFSOP systems in Tenaris Tamsa (Mexico), Celsa (Poland), Nervacero (Spain) and Lucchini Lovere (Italy), with seven more systems foreseen in the near future. 4 In the secondary metallurgy field, Tenova signed two contracts for the supply of new twin LFs with Beltrame (Italy) and with Arcelor Mittal Gent (Belgium) and three contracts for vacuum degassing systems in the USA: TPCO TX, Le Torneau TX and Nucor Steel Hertford NC. 4 Tenova Re Energy signed a contract with Hyundai (Korea) for a heat recovery system to be installed in two EAFs in their Incheon plant. Industrial Furnaces techint group companies Tenova LOI Italimpianti supplies a broad range of industrial furnaces for the metal industry and other industrial applications. On the strength of experience and competences gained under the Techint Italimpianti name, Tenova provides its customers with the most advanced reheating furnaces, equipped with the FlexyTech in-house developed combustion technology. Products embrace walking beam, pusher, rotary hearth and roller furnaces for thin slabs. The reheating furnaces are supplied with the latest flameless burners that guarantee very low NO x emissions and are operated through an advanced control system that allows the best reheating performance under every operative condition. Tenova LOI Italimpianti provides top-class ferrous and non-ferrous heat treatment furnaces for steel strips, hot formed material, automotive parts, pipes, wires and bars serving the iron and steel, automotive and aluminum 52

55 industries. The main heat treatment products offered are: heat treatment and quenching of heavy plate, heat treatment of forged components, H2 - batch annealing (HPH), continuous annealing lines for Si-steel; melting, holding and casting for aluminum, Al strip, coil and foil annealing and heat treatment of Al components. Tenova LOI Italimpianti technologies are also offered by Tenova Core, based in the USA, which offers vast experience and reliability in any furnace application. Moreover, Tenova Core broadens the Tenova product portfolio, supplying car bottom baking furnaces for treatment/reheating of graphite electrodes used in industrial electric furnaces. Insoluble anodes tinning line in Dajang, China. INDUSTRIAL FURNACES 4 BMM ISPAT LIMITED and Tenova LOI Italimpianti together with Tenova Hypertherm signed a contract for the supply of a 160 t/h walking beam furnace for billetts to be installed in the new bar mill of the BMM plant in Hospet, Karnakata, India. 4 Arcelor Mittal Skopje released the Final Acceptance certificate for the revamping of a galvanizing line furnace in Macedonia. 4 Energoprom and Tenova CORE signed a contract for the supply of three carbon backing furnaces in Russia. 4 Usiminas released the Final Acceptance certificate for the 440 t/h walking beam furnace in Brazil. 4 In December 2012, Tenova LOI Italimpianti started the commissioning of the two 380 t/h walking beam furnaces in MMK Russia, a third one is in the installation phase. tenova 53

56 Cold Rolling Mills Tenova I2S provides its customers with excellence in advanced technology for cold reduction mills. The company specializes in the design, fabrication, installation and servicing of a wide range of cold reduction mills, with rolling applications that include reversing, temper, in-line, tandem and bonding of flat strip product (stainless steel, carbon steel, copper based alloys, silicon steel and special alloys). Since its foundation in 1974, Tenova I2S has developed strong competencies and experience in building and modernizing over Hi and Vertical Stack mills. The company supports a full range of advanced automation and control systems as well as its established line of thickness gauges that provide for the production of the highest quality strip, with the tightest tolerances for heavy gauge plate, to precision strip to 20 microns. COLD ROLLING MILLS Tenova I2S was awarded some important contracts to supply: 4a 2 High cold rolling mill for specialty materials to J.V. Manufacturing in Pennsylvania, USA; 4a 20 High cold rolling mill for copper and copper based alloys to Anhui Xinke New Materials in Anhui Province, China; 4a 2 High skin pass mill for stainless steel to Guang Han Tian Cheng Stainless in Sichuan Province, China; 4a Two Stand Tandem mill for aluminum to Exal in Pilar, Argentina; 4a 20-High cold rolling mill for stainless steel for POSCO AST in Ansan, South Korea; 4a Four Stand Tandem mill for lead alloys to Delkar Corporation in Gyeongbuk, South Korea; 4a 20-High cold rolling mill for stainless steel to Southwest Stainless Steel in Guanghan, China; 4a 20-High cold rolling mill for stainless steel to Fuxing Precision Stainless Steel in Hanchuan City, China; 4a four stand tandem mill for lead alloys to Chongqing Johnson Controls Battery Co in Chongqing, China; 4a 20-High cold rolling mill for high precision copper strip and foils to Heze Guangyuan Copper Strip Co. in Heze, China; techint group companies Tenova I2S also received several orders for the revamping of: 4a Two Stand Tandem mill for copper and copper based alloys for the Poongsan Metals Corporation in Ulsan, Korea; 4a 20-High cold rolling mill for copper and copper alloys for the Chinalco Central China (Daye) Copper in Huangshi, China; 4a 20-High cold rolling mill for specialty steels and alloys to Laminaries Matthey in La Neuveville, Switzerland; 4a 20-High cold rolling mill for bonded metals, for Shanghai Sumison Specialty Metals in Shanghai, China; 4a 20-High and Schloemann MKW 4 High cold rolling mills for stainless steel for the Great Central in Bangnamjued, Thailand; 4a 20-High cold rolling mill for carbon steel for the Concorcio Internactional in Sonsonate, El Salvador. Strip Processing Lines Tenova Strip Processing supplies a wide range of modern and highly technological lines for the processing of cold rolled strip (carbon, stainless and silicon steel), together with electrical and automation systems. Thanks to its consolidated experience Tenova is able to carry out tailor-made projects on a turnkey basis, complete revampings, or provide engineering, supply and construction supervision up to the final commissioning of the plant. Tenova s specific know-how covers different solutions such as push-pull and continuous pickling lines with its proprietary acid regeneration plants (through Tenova Key Technologies), tinning, galvanizing, color coating lines 54

57 and a wide range of silicon steel plants. Starting from these consolidated technologies, Tenova Strip Processing can also develop cold rolling mill complexes. Tenova reactor being transported to the Nucor plant in Alabama, USA. In India Tenova Multiform contributes to the design and manufacturing of strip processing lines and cold rolling mills for Indian and neighboring countries clients. STRIP PROCESSING LINES In 2012, Tenova Strip processing was awarded a range of important contracts worldwide for its main products in silicon steel, aluminium and carbon steel. 4 Ternium Mexico awarded a contract to Tenova Strip Processing for an electrolytic cleaning line in San Nicolas de los Garza. 4 Two contracts were awarded by JSW Steel Ltd. and by Bhushan Steel Ltd. (India) to Tenova Strip Processing together with Tenova LOI-Italimpianti Essen for annealing and coating lines for silicon strip. 4 SSSC Co. Ltd, (Vietnam), a JV between Vietnam Steel, Sumitomo and FIW, awarded two contracts to Tenova Strip Processing for a continuous galvanizing and Galvalume line and a color coating line, in collaboration with LOI-Italimpianti Genoa. 4 Novelis (China) Aluminum Products Co. Ltd. placed an order on Tenova Strip Processing, for an aluminium (CASH) line. 4 A European customer awarded Tenova Key Technologies a new plant for the production of Mg oxide in the succinic acid process involved in the bio-plastic production. Final acceptance certificates were also received for: 4 the fastest electrolytic tinning line in the world, at Jangsu Dajiang Metal Material Co. Ltd, China; 4 two insulation coating units (Coaters) for flattening and coating lines (FCL-3 & 4), at VIZ-Steel, Russia; 4 the revamping of a hot dip galvanizing line/ water quench for Ternium Siderar, Argentina; 4 the upgrading of push-pull pickling lines for Ternium Mexico, Churubusco facility. tenova 55

58 Roll Grinders and Automatic Roll Shops Roll grinding machines of the highest quality, performance, reliability and automation levels are designed, built and installed worldwide under the Pomini brand name. Single machines or whole automatic roll shops are supplied to rolling mills for ferrous and non-ferrous flat products, as well as to the paper and aluminum industry and to branches of heavy industry. ROLL GRINDERS In 2012, Tenova Pomini was awarded various prestigious and significant contracts worldwide. 4 Some traditional customers in China, India, Taiwan and in other countries confirmed their previous choice of Pomini Grinders, in particular for steel cold rolling mills (CRM) and hot strip mills (HSM): - Wuhan, with 6 roll grinders, 2 loaders and ancillaries (steel, CRM); - Maanshan, with 1 roll grinder (steel, CRM); - Inner Mongolia Baotou Steel Union, with 1 revamping (steel, HSM); - Arcelor Mittal for Valin Arcelor Mittal Automobile Steel (China), with 2 roll grinders and ancillaries (steel, CRM); - China Steel (Taiwan), with 3 roll grinders and 3 loaders (steel, CRM), for Dragon Steel Corp project, with 1 roll grinder and 1 loader (steel, HSM) and for CSC Steel Sdn. Bhd. project (Melaka), with 1 revamping (steel, CRM); - JSW (India), with 1 roll grinder (steel, CRM); - Tata Steel (India), with 4 roll grinders, 1 loader and 1 roll shop ancillaries (steel, HSM); - SMS - MHC LLC for SeverstStal (USA), with 1 roll grinder (steel, CRM); - Outokumpu (Finland), with 1 roll grinder (stainless steel, CRM); - US Steel for the Great Lakes Works project (USA), with 1 roll grinder (steel, CRM); - Ternium (Mexico), with 3 roll grinders, 2 loaders and roll shop ancillaries (steel, CRM). 4 Tenova Pomini was also chosen by new customers in China: - Chinalco Shenyang Non-Ferrous Metal Processing, with 1 roll grinder (nickel/titanium, CRM); - Anhui Xinke New Materials Stock, with 1 roll grinder (copper, CRM). 4 and in other countries: - Daewoo Italia for Lingo Nigeria project (Nigeria), with 1 roll grinder (aluminium, caster and cold Mill); - Gazi Metal (Turkey), with 1 roll grinder (steel, CRM); - HabaşSinai Ve Tibbi Gazlar Istihsal Endüstrisi (Turkey), with 3 roll grinders (steel, HSM). Mining & Minerals industry Engineering and EPCM services for minerals projects techint group companies Tenova Bateman manages the complete project lifecycle from concept to commissioning, maximizing the success and profitability of a project through state-of-the-art process engineering and design, and leading-edge project management systems. Comprehensive services for new process plants and brownfield upgrades cover a wide range of commodities and are tailored to both large and small projects. Tenova Bateman s engineering and EPCM skills have been proven on some of the most exacting mineral resource projects, in the most difficult of terrains. 56

59 ENGINEERING AND EPCM SERVICES FOR MINERALS PROJECTS In Africa, Tenova Bateman was awarded a number of execution projects all the while it was undertaking numerous feasibility studies for major clients, including: 4 A reimbursable contract, in joint venture with AMEC, for the engineering, procurement and construction management (EPCM) of a uranium metallurgical plant for Swakop Uranium s Husab project in Namibia. The Husab project will be the third-largest uranium mine in the world. 4 A reimbursable contract to complete the EPCM for Trafigura s Kassinga North iron ore project, Angola. 4 A lump-sum turnkey (LSTK) contract for a dry magnetic separation plant, for the Unattritioned Mags Material (UMM) plant at Exxaro s Tronox / Namakwa Sands heavy minerals mine in South Africa. 4 An EPCM contract for Harmony Gold s Kusasalethu Elution Column Plant in South Africa. 4 An engineering and procurement (EP) project for the phase 1A+ spiral plant, for London Mining s Marampa iron ore project in Sierra Leone. 4 An EPCM contract to refurbish the dense-media separation (DMS) plant at Rhino Minerals Annesley andalusite mine, in South Africa. 4 The Bomi Hill-Phase 1 project for an iron beneficiation plant in Liberia for WCL, Vedanta Group (which will be project managed by Tenova Bateman India). Studies included, amongst others: 4 Prefeasibility studies for Trafigura Tchamutete in Angola, AngloGold Ashanti s Navachab in Nambia and Iduapriem in Ghana; Rio Tinto s PMC Vermiculite PFS in South Africa, Ivanplats Platreef PGM Project - Platsol in South Africa; and GoviEx/SRK UK s Madaouela Uranium in Niger. 4 Feasibility study for ENRC s Luita copper project, Angola. 4 Definitive feasibility studies for Phelps Dodge/Freeport Kisanfu DMS in the Democratic Republic of the Congo (DRC); Avocet s Koulekoun and Kodieran in Guinea; and London Mining s Marampa 2A & 5 in Sierra Leone. 4 Other work included the Gold One/Rand Uranium CCD/RIP trade-off study in South Africa; scoping studies for AMG s manganese smelter at Coega, South Africa and the Trevi Group s Somaliland Iron Ore Prospect, the Gold One Ezulwini recommissioning in South Africa; Debswana s large diamond recovery solution concept study; GoldOne/GoldFields roaster order-of-magnitude estimate; and AngloGold Ashanti s mine waste solutions NIMCIX detailed design. 4 Consulting Services were provided for Plinian Capital and BSGR gold plant evaluation. In the CIS, Tenova Bateman was awarded: 4 Basic engineering for the Chernogorski project, for Russian Platinum group. 4 The definition stage study for the Udokan project, for the Baikal Mining Company. Tenova Bateman has been involved in this project from inception. Work in Australia and South-East Asia continued to be dominated by study work for Iron Road Limited Central Eyre Iron Project. Other work awarded included: 4 Nippon Mining & Metals new process plant, based on technology as proved at the NMM N-Chlo Demonstration Plant. 4 Copper recovery at Newcrest Mining Limited s Lihir gold project. 4 Morobe Hidden Valley gold process improvement. 4 Production of nickel intermediate product, from flotation concentrate at Mondo. 4 Potash recovery at Potash West. 4 Ernest Henry Hidden Valley s magnetite storage facility and stock holding tanks. Demand from India for Tenova Bateman s services was dominated by the iron ore sector with continuing work for the National Mineral Development Corporation Limited (NMDC), to provide process technology, full engineering services, commissioning supervision and performance guarantee testing for two novel iron projects: the1.89 Mtpa iron ore NMDC Donimalai iron ore beneficiation plant, and the NMDC Donimalai BHJ beneficiation plant - to process low grade BHJ/BHQ material, previously mined as waste. tenova 57

60 Equipment and systems for open pit mining & underground solutions and bulk handling Tenova TAKRAF is a key supplier of equipment and systems for open pit mining and underground solutions and bulk handling, having provided hundreds of complete systems, as well as individual machines to clients all over the world in all climatic conditions. Leading-edge comminution systems for milling and crushing requirements in mining and mineral processing are based on a track record in mill supply dating back to the 1920s. Globally sourced air pollution control, specialised handling equipment, and technology for the cement and fly ash industries ensure selection of optimal processing options. A comprehensive after sales service is provided. EQUIPMENT AND SYSTEMS FOR OPEN PIT MINING & UNDERGROUND solutions and BULK HANDLING Tenova TAKRAF Germany continued to experience buoyant demand, with its workshop in Lauchhammer fully loaded with work into the first half of techint group companies New contracts from the Americas included: 4 A major contract for Minera Antucoya in Chile, in which Tenova TAKRAF is working with Tenova Bateman Technologies (see following section) to design, supply and construct a copper ore handling/processing system and solvent extraction/electro winning plant. Tenova TAKRAF will provide the agglomeration plant, the on-off leach pad and a spent ore handling system. The project is currently on hold but is expected to be ractivated in the near future. 4 A semi mobile crusher, a conveyor system and belt feeders for Sierra Gorda S.C.M, for the Sierra Gorda copper mine in Chile. 4 Two orders from Codelco Chile to supply a conveyor system for the El Teniente copper mine, and another conveyor system with tripper car for RT Botadero. 4 A modification of a conveyor system for Minera Escondida Limitada s Organica Growth Project - OGP1 in Chile. 4 Design and supply of 21 in-plant conveyors and an overland conveyor for the new copper concentrator project at the Buena Vista del Cobre Mine (formerly Cananea Mine), which belongs to Grupo Mexico. 4 In North America, a tube conveyor for Nucor and conveyors for Syncrude Canada. Contracts received from India included: 4 Two 5,460 m 3 /hr 1400L bucket wheel excavators for Neyveli Lignite Corporation (NLC). The scope includes design, supply, erection, commissioning and maintenance of these giant machines. 4 A luffing stacker and bridge-type scraper-reclaimer for limestone handling, for the Mangalam Cement plant in Rajasthan. 4 Four stackers, four scraper-reclaimers and nine belt conveyors for Dalmia Cement s greenfield cement plant in Karnataka, and a grinding unit in West Bengal. Orders received from other countries included: 4 Two bridge reclaimers for handling copper concentrate for Kansanshi Mining PLC in Zambia, from First Quantum Minerals Ltd., Australia. 4 Three semi-mobile crushing stations for Hancock Prospecting, at the Roy Hill Iron Ore Project in Western Australia. 4 A luffing stacker and side scraper-reclaimer for a small capacity coal handling system for the Thermax-captive power project, for the Dangote Group in Zambia. This is the fourth project carried out by Tenova TAKRAF for the Dangote Group. 4 A high capacity limestone pre-blending system for City Cement. This contract represents a breakthrough in the Saudi Arabian cement market. 58

61 4 A conveying and spreading system for Altaypolimetally, in Kazakhstan. 4 A mine conveyor system for the Zhahanaoer Coal Mine, in Inner Mongolia / China. 4 A service contract from ENEL, Italy s largest power company and the second largest utility listed in Europe by installed capacity. Foskor Extension 8 De-bottlenecking Project, Phalaborwa, South Africa. Tenova TAKRAF Africa s project work covered: 4 Successful completion of the design, supply and installation of the conveyor system that feeds copper ore from the newly developed Chimiwungo pit at Lumwana Copper Mine (LCM) in Zambia, to the existing process plant. 4 The major Eskom Kusile project in South Africa, which reached an advanced stage in the provision of the terrace, stockyard and limestone handling facilities for this greenfield project. Kusile is one of three new state-of the art and newest technology coal-fired power stations the national power utility is building to meet South Africa s power needs. 4 Completion of an order for the supply of a SAG Mill to Ontario Graphite, operators of the Kearney Mine in Canada. This is the largest confirmed graphite resource in North America. New contract awards included: 4 The Hotazel Manganese Mines Rail Loading Improvement Project for Mamatwan and Wessels Mines for BHP Billiton (Samancor Manganese), in South Africa. 4 Silo conveyor supply for BHP Billiton, in South Africa. 4 Two coal granulators for BHP Billiton Energy Coal SA s DMO (Douglas-Middelburg Optimisation) project, in South Africa. 4 A Bradford Breaker for Xstrata Coal SA s Tweefontein colliery, in South Africa. 4 Air environmental equipment supply, including a reverse pulse bag filter, for the Tronox/Namakwa Sands UMM Dry Mag Plant and cyclones, for Masonite Africa, both in South Africa, and a dynamic wet scrubber system for ADP Marine and Modular. 4 Supply of a furnace dust pneumatic conveying system for BHP Billiton, in South Africa. 4 Repeat order for Redler conveyors from New Zealand s RCR Energy Systems. 4 Redler conveyors and bucket elevators, for Willowton Oil & Cakes Mills Isando Foods plant in South Africa. This represents a continuation of a 30 year business relationship with Willowton Oil & Cake Mills. The Tenova TAKRAF Africa spares and aftersales division had another successful year with maintenance contracts driven by a buoyant demand for refurbishment work for, amongst others, Bradford Breakers, with a slew bearing change out at Venetia mine and reclaimers. tenova 59

62 Differentiated, project specific process technologies and modular plant solutions Tenova Bateman Technologies offers differentiated, project-specific process technology solutions based on decades of experience establishing processing facilities. Advanced hydrometallurgical solutions include solvent extraction, electrowinning and leaching, supported by expertise in complementary processes from sulphuric and phosphoric acid plants, ion exchange circuits, water and wastewater treatment plants through to beneficiation processes for phosphate rock, base and precious metals, iron ore, coal and uranium. Pioneering the concept in the 1960s, Modular Plants offer competitive processing and reduced risk in difficult locations. techint group companies DIFFERENTIATED, PROJECT SPECIFIC PROCESS TECHNOLOGIES AND MODULAR PLANT SOLUTIONS 4 Tenova Bateman Technologies was awarded a contract to design and deliver a copper solvent extraction (SX) - electrowinning (EW) plant, to produce 80,000 tpa of fine copper cathodes for Minera Antucoya, part of Antofagasta plc, in Chile. The contracts include engineering, supply of proprietary equipment, construction, training, commissioning and start-up supervision. Tenova Bateman Technologies will supply the SX plant based on proprietary Bateman SettlerTM technology. The project is currently on hold but is expected to be reactivated in the near future. The modular plant business continued to see good demand and plants were supplied for processing lead and zinc, copper and gold and iron ore. Key contracts included: 4 Supply of a 50 tph modular iron ore beneficiation pilot plant for a leading producer in South Africa. The plant will be used to demonstrate the commercial feasibility of separating iron ore at operating densities above 4.2 g/cm 3, using cyclone based UHDMS technology. 4 Supply of two degrit plants and three diamond modular plants to Zimbabwe. 4 Supply of two 5 tph DMS modular diamond processing plants to Almazy Anabara Russia, in Yakutia. The water and wastewater treatment services secured several contracts to supply Bellmer Presses in the South African market; these included: 4 Bellmer linear screens and belt presses supplied for sludge treatment, for the MBR extension of the Bellville waste water treatment works. 4 Two Bellmer belt presses for Sunderland Ridge waste water treatment works, for Botjheng Water. 4 Two Bellmer Winklepresses, for Ceres Fruit Processors. 60

63 High capacity furnaces and complete smelting plants for ferro-alloy and base metal production Tenova Pyromet is a leading company in the design and supply of high capacity AC and DC furnaces and complete smelting plants for production of ferroalloys, base metals, slag cleaning and refining. Tenova Pyromet also designs and supplies equipment for material handling and pre-treatment, alloy conversion and refining, granulation of metal, matte and slag, furnace off-gas fume collection and treatment, and treatment of hazardous dusts and waste. Tenova Pyromet has several technologies to reduce operating costs, increase production and lower power consumption. Areva Resources Trekkopje uranium project, Namibia. HIGH CAPACITY FURNACES AND COMPLETE SMELTING PLANTS FOR FERRO-ALLOY AND BASE METAL PRODUCTION Tenova Pyromet successfully commissioned three key projects: 4 The Lonmin project in South Africa, based around the new application of innovative technologies and the first platinum-group metals (PGM) smelter. 4 The first of two slag cleaning furnaces, supplied to Norilsk Nickel in Russia. The second furnace is currently in ramp-up. 4 The Simcoa Silicon Metal furnace, in Australia. Tenova Pyromet is currently executing projects for Sarda (India), the Steel Authority of India (SAIL) and Xstrata (South Africa). The project for SAIL is of strategic importance, as it positions Tenova Pyromet at the pinnacle of smelting technology in India. Study work included: 4 test work for pre-reduction of chrome ore/concentrate for the production of FeCr for Kazakhstan Kazchrome; 4 a PFS for Transalloys in South Africa for new SiMn furnaces to replace existing furnaces; 4 a basic engineering study for pig iron production furnaces for Cardero in the USA; 4 a basic engineering study for a glass/lead furnace for Conecsus in the USA. New contracts included: 4 Design and supply of Tenova Pyromet patented water cooled copper launder, to Anglo Platinum in South Africa. 4 Design, supply and installation of lower electrode equipment for converting a FeCr furnace to FeMn furnace for Assmang Chrome in South Africa. 4 Design, supply and installation of fume extraction systems for Xstrata. tenova 61

64 Solid/liquid separation and minerals processing systems Delkor, originally part of the Bateman group of companies, is an industry specialist in solid/liquid separation and mineral processing applications for the minerals, chemical and industrial markets. Offering comminution, flotation, sedimentation, filtration, screening, and gravity separation systems, Delkor services range from test work, process trade-offs and flowsheet design to installation, commissioning and aftermarket support. SOLID/LIQUID SEPARATION AND MINERALS PROCESSING SYSTEMS Delkor Europe and Asia continued to see buoyant demand with: 4 The sale of Delkor BQR 1500 flotation machines, together with the supply of Delkor high rate thickeners, for Polyus gold plant at Natalka in the Russian Federation. 4 The award by the Turkmenistan Government of eight Delkor high rate thickeners for the Garlyk potash processing plant. 4 A second major order from Office Cherifien des Phosphates (OCP) in Morocco, for the supply of two high rate thickeners, for a rock phosphate tailings application. The first order, received in 2011, for the supply of 7 thickeners and tanks for its Khouribga phosphate mines is currently in the site installation phase. 4 Meta Nikel Kobalt Madencilik (Meta), developers of Turkey s first nickel project, selecting Delkor to supply 11 high rate thickeners, for the Gordes Nickel Project. In India: 4 Delkor was contracted by Ramgad Mines & Minerals to supply linear screens, hydro cyclones, Kemix pump cells, and elution and electro winning system spares and services, for the RMPPL Gold Leaching Project. 4 Jigging technology is being increasingly applied for iron ore processing, with a contract awarded to replace existing jigs with an air pulsated jig at Barsua Iron Mines, for the Steel Authority of India Ltd (SAIL). There was strong demand for Delkor equipment from South America, including: 4 A major contract for a thickener being shipped to Argentina for Barrick Chile s Pascua Lama project, along with orders for an increased scope of work. 4 Four thickeners for the Las Bambas THK copper project in Peru, awarded by Xstrata Las Bambas S.A. 4 A dual media electrolyte filter plant, for Antofagasta Minerals S.A. s Minera Antucoya gold project, in Chile. 4 A contract to supply Codelco in Chile 2 Delkor high rate thickeners, and to install the complete thickener plant on a EPCM basis. techint group companies In Australia and the Far East, Delkor activity saw: 4 Delkor belt filters ordered for Rio Tinto plc s Paraburdoo iron ore project; 4 A number of thickener contracts in China, including an award from Huayou Cobalt New Material Company in Jiangsu Province, China, for the supply of 10 stainless steel high density CCD cobalt/copper washing thickeners for which Delkor has completed the fabrication phase. 62

65 Factories Tenova produces the core components of its equipments in its own factories in China (Tenova Timec), Italy (Tenova Pomini), Germany (Tenova TAKRAF), Poland (Tenova LOI Italimpianti), the USA (Tenova I2S), Vietnam (Tenova Envita) and India (Tenova Multiform). Rebuilt primary platinum-smelting furnace for Lonmin, South Africa. Timec is based in Tanggu (Tianjin, China), where high quality plants and equipments are manufactured for Tenova and for third parties. Main activities are the manufacturing of heavy structural steel components, water cooled and pipe to pipe parts for iron and steel plants. Pomini is a modern factory based in Castellanza (Varese, Italy), mainly focused on the production of Pomini roll grinders. The factory has recently been expanded and the whole production process reorganized in order to optimize time, quality and costs. The workshop, equipped with the most advanced CNC machine tools, is able to meet the most demanding delivery schedules and quality requirements. tenova 63

66 techint group companies 100 m diameter high rate thickeners supplied to Minera Valle Central, Chile. The Tenova TAKRAF factory in Lauchhammer (Germany) is divided into four separate bays for metal prefabrication, steel and machine construction and assembly of core components for the TAKRAF product range, as well as spare and wear parts manufacture. Products manufactured in Lauchhammer include structural and mechanical engineering components; compact, weld-intensive steelwork, bucket wheel drives, crawler links, ball bearing slewing rims with diameters up to 20 m. The Tenova Loi Italimpianti workshop in Tarowskie Gòry, Katowice (Poland), handles manufacturing and assembly of industrial furnaces and heating systems, for heat treatment of metals. The Tenova I2S production facility, located in Yalesville, Connecticut (USA), produces a full line of cold rolling mills combining quality manufacturing capability and the latest in control technology. I2S excels in providing the levels of technical support and responsive service that customers demand. 64

67 The Tenova Envita factory is located in Nhon Trach industrial block, close to Ho Chi Minh City (Vietnam). It is strategically located in an industrial development area close to some of the major steel producers. Tenova Multiform operates through two workshops, based in the Mumbai area, in India. The workshops are focused on mechanical construction and equipment assembly for strip processing lines and rolling mills. Research and Development Tenova is keen on investing in research and innovation to keep its products at the leading-edge of development in terms of quality and performance, both key requirements of its customers. Innovation takes place in-house thanks to a long running experience in the iron & steel and mining industry, but also, through external opportunities for acquiring small companies with newly developed technologies that fit and complement the existing Tenova product portfolio. Certifications Tenova is focused on quality and is committed to continuously improving services, in order to meet or exceed the client s expectations, following best practices and standards within the reference industry. Tenova has begun an excellence path involving some companies of the Group, that already have ISO 9001, 14001, and OHSAS certifications with some of the primary certifying bodies such as Moody International Certification Ltd., BVQI, and DNV. tenova 65

68 tecpetrol techint group companies 66

69 We focus our strategy for growth in America through qualified, committed and highly experienced human resources, continuous technological improvement, the industry s best practices in safety, occupational health and environmental protection, and the constant involvement with the communities near our areas of operation. tecpetrol 67

70 Tecpetrol 3In the previous pages: El Tordillo field, Argentina, has a long history and is an emblem of continuous innovation. Tecpetrol is an Argentine oil and gas exploration and production (E&P), and gas transportation company, fully owned by the Techint Group, with operations or interests in Argentina, Venezuela, Bolivia, Ecuador, Mexico, Peru, Colombia and the United States. The company currently employs about 7,500 people counting own employees and contractors, with a permanent staff of nearly 1,000 people. E&P techint group companies Tecpetrol operates 9 blocks in Argentina s Northwest, San Jorge, and Neuquina basins, where it holds shares in long-term concessions. In recent years Tecpetrol was also awarded two exploration blocks in Argentina: Río Atuel, in the Cuyo basin, and Orán in the Northwest basin. Tecpetrol also operates in the Oriental basin of Ecuador and in the Burgos basin of Mexico, and has a share of the Baripetrol Mixed Enterprise, which operates the Colón block in the Maracaibo basin of western Venezuela. Finally the company operates 5 blocks in south Texas with more than 1,800 productive wells and with plants and facilities for primary and secondary recovery, for oil and gas conditioning and processing, and for power generation. In Colombia, Tecpetrol is exploring three blocks (CPO-6, CPO-7 and CPO-13) in association with Petronova. After finishing the seismic acquisition, the company has drilled 10 exploratory wells, 3 of wich were successful, and is drilling 3 more. In Peru, Tecpetrol was awarded the 174 Block, close to the Camisea field. The company also holds non-operating interests in E&P, such as a 25% share in the Ramos block in the Northwest Basin in Argentina; a 25% share in the Shushufindi block, one of the most important fields in Ecuador; a 10% share in the Camisea block (Block 88) in the Ucayali Basin, and a 10% interest in Block 56, next to the Camisea block, in Peru. These last two large gas and condensate blocks have significantly increased the company s reserves. Finally, Tecpetrol holds 20% non-operating interests in the Ipati and the Aquío exploration blocks in the Tarija Basin, Bolivia. A discovery of a gas and condensate field was made in Ipati in 2004 and in Aquío in Tecpetrol s current operated oil and gas production is around 100 thousand barrels of oil equivalent (boe) per day. El Tordillo Block The El Tordillo block in the Gulf of San Jorge basin in Argentina stands as one of the most important oil fields operated by Tecpetrol. It produces (together with neighboring blocks La Tapera and Puesto Quiroga) nearly 6.3 million 68

71 barrels (bbl) of oil and 3.9 billion cubic feet (bcf) of gas per year. Tecpetrol holds a majority share of the block. El Tordillo has currently over 740 wells in production. Readings taken off the oil measuring unit at the Libertador Field, Ecuador. Aguaragüe Block Tecpetrol holds a 23% share and is the operator of the Aguaragüe block in northwest Argentina. The production of Aguaragüe is 24 bcf of gas and 0.6 million bbl of oil per year. Other Blocks in Argentina Tecpetrol operates another 7 blocks located in the main basins of Argentina. Annual production from these areas is 1.6 million bbl of oil and 22 bcf of gas. E&P International Operations In Venezuela Baripetrol Mixed Enterprise operates the Colon Unit in the Maracaibo basin, where Tecpetrol holds a 17.5% share. Oil production amounts to more than 1.8 million bbl per year, and gas production amounts to 1.0 bcf per year. In Ecuador the company operates the Bermejo Block, in the Oriental basin, where production doubled since the start-up in 1999, reached 3.1 million bbl of oil per year in 2005, and was 1.3 million bbl per year in tecpetrol 69

72 Tecpetrol has a 50% participation and is the operator of the Misión block in Mexico, an area of 1,972 km 2 where there are currently more than 145 productive wells with a total output of approximately 38 bcf of natural gas per year and 0.5 million bbl of oil. Tecpetrol is also involved in a pilot project in Chicontepec operating and maintaining a PEMEX field with the purpose of increasing its output. Current production is 3,200 bbl per day of oil and 7,500 million cubic feet a day (Mscfd) of gas. In 2010 Tecpetrol acquired an American company with interests in 5 different blocks in south Texas. There are 60 wells that produce 1,600 bbl/day of oil and 17 Mscfd of gas. In January 2012, Tecpetrol signed in two contracts for the provision of oilfield development services to Petroecuador. A consortium for the Libertador field is led by Tecpetrol in association with other strategic partners. In the Shushufindi field consortium -led by Schlumberger- Tecpetrol holds a 25% share and participates in the technical and investment decisions. The two fields produce above 60 thousand barrels of oil per day. Gas Transportation techint group companies Since 1997, Tecpetrol is also an investment company and operator of gas transportation businesses, and has become a successful developer of gas infrastructure projects. The company promotes new initiatives, taking advantage of business opportunities, supporting the role of private investment in the integration of the energy infrastructure of neighboring countries in America. Tecpetrol holds shares in - and jointly operates with leading international energy players - strategic energy companies in Argentina, Peru and Mexico. The company holds stakes in Transportadora de Gas del Norte (TGN), Transportadora de Gas del Mercosur (TGM), Litoral Gas in Argentina, Transportadora de gas del Peru (TgP) and Norpower in Mexico (Sistema 3). Tecpetrol also owns the Compañía Operadora de Gas del Amazonas (Coga) for operations of gas and natural gas liquids pipelines in Peru. Transportadora de Gas del Norte TGN operates two main pipelines in the northern and western regions of Argentina, connecting three major gas producing basins to the industrial belt running from Córdoba to Buenos Aires, and serving eight out of the nine local gas distribution companies. TGN also provides the link to major exporting gas pipelines: GasAndes, that provides natural gas to central Chile and its capital, Santiago; Norandino, supplying natural gas to the copper mining region in Northern Chile; TGM, exporting gas for power generation 70

73 in southern Brazil; and Entrerriano, connecting Uruguay. Tecpetrol holds a 27.2% share in Gasinvest, the holding company that owns 56.4% of TGN, and is the co-operator with Total. Litoral Gas Litoral Gas distributes gas in the Province of Santa Fe and in the northern part of the province of Buenos Aires. It is located at the hub of the TGN system, connecting two major gas producing basins in the country with the largest domestic gas markets. Tecpetrol holds a 27.5% share in Litoral Gas and participates in its management. Transportadora de Gas del Mercosur TGM transports gas to a 600 MW combined cycle power plant in Uruguayana, in southern Brazil. TGM is the owner of the 440 km pipeline that allowed the first export of natural gas from Argentina to Brazil, and TGN is the operator of the pipeline. Tecpetrol holds a 21.8% interest in TGM. Transportadora de gas del Peru TgP was established in October 2000 and holds a 33-years concession for the construction (completed) and operation of the gas and liquids pipelines connecting Peru s giant Camisea field in the Peruvian rain forest with Lima and Pisco. This landmark project brought natural gas to Lima for the first time in mid August Tecpetrol is the largest shareholder with a 23.6% share. Compañía Operadora de Gas del Amazonas Coga, fully owned by Tecpetrol, was created when Tecpetrol was designated as the operator of the pipe transportation system in Camisea. By signing a contract with TgP, this company assumed the operation s responsibilities. Sistema 3 In January 2010, through Norpower, Tecpetrol began maintenance services to Sistema 3 gas pipeline system of Pemex E&P. It is located in the Mexican states of Chiapas, Tabasco and Campeche. The project includes 1,436 Km of pipelines and 58 measuring stations. tecpetrol 71

74 humanitas techint group companies The mission of Humanitas is the constant improvement of the efficacy of treatment by means of basic and clinical research, innovative medical methods and investments in technology in order to guarantee increasingly higher quality standards of the services delivered. 72

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76 Humanitas 3 In the previous pages: The research and university center of Humanitas, hosting 200 researchers and the students of the International Medical School ( Humanitas was established in 1988 by the Techint Group, jointly with other industrial and financial partners, in order to promote, implement and manage health care initiatives. In particular, Humanitas has built or acquired in Italy a number of health care institutions of high complexity which it manages. Humanitas strategic objective is to build a network of institutions characterized by the quality, efficiency and humaneness of the service provided, as well as by the scientific level and the quality of investments in innovation. Humanitas management model joins economic sustainability with social responsibility and has been used as case study at Harvard University for Health Care courses. It relies on a wide application of advanced integrated information technology systems, and the use of the Internet to facilitate the relationship between the hospitals and both clients and suppliers. The main features of this model are the complete control and open, on the spot analysis of costs; a lowering of average hospital stays or stopovers; the minimization of waiting time; the high level of service, under a Diagnosis Related Group (DRG) payments system. The model also requires a constant interaction between medical staff and managers to ensure high levels of quality and the maintenance of a humane, patient oriented approach in the delivery of health care. Based on its experience, Humanitas supplies management consulting services to both public and private health care concerns. techint group companies 74

77 Humanitas is also the holding company which at present includes the Istituto Clinico Humanitas (ICH) near Milan; the Humanitas Gavazzeni hospital in Bergamo; Cellini, one of Turin s major clinics; Humanitas Centro Catanese di Oncologia in Catania (Sicily); Humanitas Mater Domini in Castellanza (Varese). The Techint Group holds an 81% share of Humanitas, and also controls Fornaca di Sessant, a historical private hospital located in Turin. Istituto Clinico Humanitas (ICH) is a 747 bed, tertiary care hospital located in the outskirts of Milan. This modern, state-of-the-art structure has 24 operating theaters, 5 angiographic stations, a 24 bed intensive care unit, 72 beds in the day hospital department, 140 beds in the rehabilitation department and 190 ambulatories. It also features a high specialty emergency department. A separate building contains a congress hall, classrooms, a scientific library, and laboratories. The hospital, which combines specialized patient care with scientific research, graduate and post-graduate medical education, and staff training, offers all major clinical specializations, and the most advanced treatment as well as diagnostic services. Humanitas is the first Italian general hospital to obtain quality certification from the Joint Commission International: this accreditation for excelency has been renewed four times since 2002 by meeting with flying colors more than 1,300 criteria. ICH, which employs about 2,000 people - including 600 full time doctors and research workers - has been recognized by the Ministry of Health as an Institute for Admission and Treatment of a Scientific Nature in the field of immunodegenerative diseases, and has become a teaching center for degrees in Medicine, Biotechnologies and Nursing through an affiliation with the University of Milan. Since 2010, Humanitas also hosts the international track of the University of Milan School of Medicine with an innovative curriculum joining academic studies with experience in the hospital and in the research labs. ICH hosts the Humanitas Cancer Center dedicated to the investigation and the cure of cancer. The integrated activities of research, use of innovative technology and personalized therapeutic treatments are periodically evaluated by an international advisory board whose members belong to the foremost cancer centers worlwide. In 1999 Humanitas acquired Cliniche Gavazzeni, a historical hospital located in Bergamo renamed Humanitas Gavazzeni. Founded in 1903, it is internationally renowned for its cardiovascular surgery and has been accredited by the Joint Commission International. Humanitas Gavazzeni has 6 operating theaters, 3 operating theaters for day surgery activity, 2 operating theaters for outpatient activity, 3 rooms for hemodynamic and electrophysiological activity, intensive and post intensive care units, and a humanitas 75

78 complete array of highly technological diagnostics. Though the cardiovascular department remains the mainstay of the hospital, activity has grown to encompass general surgery, thoracic and urological surgery, orthopedics and traumatology, spinal surgery, hand and shoulder, general medicine, oncology developed in the last year, obesity center and senology. The hospital is also equipped with a modern emergency and acceptance department (DEA). Multifunctional outpatient rooms provide a wide range of services. In 2009 and 2010, Humanitas Gavazzeni completed the outpatient care with radiotherapy, equipped with 3 nuclear accelerators, dialysis and nuclear medicine, as well as a newly refurbished facility with modern wards, which increased the availability of beds to 300 units. Cellini, a historical private hospital located in Turin, was acquired by Humanitas in With 120 inpatient beds, Cellini is a multi-specialist hospital well known for its medical and surgical activity. Cellini has been accredited with the National Health Service since 2003 and its main fields of surgical and medical specializations are orthopedics, vascular surgery, ophthalmology, urology and cardiology. The Clinic has 8 operating theaters, facilities for haemodynamics and cardiology, intensive and post-intensive care units and state-of-the-art diagnostic services. A number of outpatient stations offer health care in numerous specialties. techint group companies With 88 beds and 200 employees and collaborators, the Humanitas Centro Catanese di Oncologia (Humanitas Oncology Center of Catania), founded in 1958, is a private facility located in the east of Sicily and accredited by the National Health Service. The Operating Units are medical oncology, surgery and radiotherapy specialized in the treatment of abdominal, gynecologic, breast and thyroid diseases. The Center is endowed with the most modern diagnostic and therapeutic equipment, has 4 operating theaters and 7 intensive treatment rooms. Humanitas Mater Domini is a polispecialistic institute located in Castellanza (Varese). Since 2007, the Institute is part of the Humanitas Group, sharing with it the excellence of the health services (certified by the Joint Commission International), the deep local roots and the strong interaction with the top scientific community. The institute is organized in 9 departments and has a 182 bed ward, 6 in-patients units (4 accredited by the Italian National Health Service and 2 in private practice), 8 operating rooms, interventional cardiology labs (hemodynamic, electrophysiology), diagnosis and care services (diagnostic imaging, digestive endoscopy, analysis laboratory), outpatient area, emergency room and dental center. 76

79 In Lainate, near Milan, Humanitas Mater Domini has a 1,000 square meters clinic that offers specialistic outpatient services, with diagnostic stations (echography, articular MRI, mammography, orthopantomography) and dental practice. In 2010 the Institute obtained again the quality accreditation from the Joint Commission International and in 2011 was the first health care facility in the province of Varese to obtain the OHSAS 18001:2001 certification (management system for workplace s safety and health). Humanitas also runs medical centers in Turin, which provide instrumental and ambulatorial diagnostics, image diagnostics, laboratory analysis and physiokinesiotherapy. The Techint Group controls Fornaca di Sessant, a well known private, multi-specialist hospital located in Turin. It has 6 operating rooms, intensive care unit, 92 in-patient beds, day-hospital, day surgery facilities and specialized ambulatories that allow treatment of 5,000 patients per year humanitas 77