Italian producer of steel pipes comes to Brazil with an investment of R$ 110 million

Riveco’s project assisted by Investe SP includes a unit for concrete pouring and coating of pipes for the oil & gas industry; In 2016, the pipes will also be produced in the plant

Riveco Generalsider SPA, an Italian company specialized in the production of steel pipes, announced on Friday, August 22, the construction of its first unit in Brazil, located in the city of Lorena, 190 km from the state capital. The project relies on the support of Investe São Paulo, the investment promotion agency linked to the Secretariat of Economic Development, Science, Technology and Innovation.

The plant will initially receive investments totaling R$ 36 million for the concrete pouring and coating of pipes for the oil and gas industry, providing services to both Petrobras and its suppliers. In total, 90 jobs will be created at this phase, and the operation is scheduled for the beginning of 2015.

In the end of 2015, the company will build, at the same location, a production plant of steel pipes, with an investment of R$ 73 million and the creation of 150 jobs. In that way, in 2016, in addition to being a service provider, Riveco will also become a supplier of pipes, with a total investment of R$ 110 million and the creation of 240 direct jobs. It will be the first production plant of the company outside Italy.

“We know that over the next 20 years the national oil and gas industry will increasingly grow, specialy because of the pre-salt. In addition, today there is only one company that does the concrete pouring in steel pipes in Brazil, which gives a fantastic market opportunity for us,” said the CEO of the company in Italy, Eliseo Paolicchi.

So far, the only unit that Riveco owns in Latin America is located in Uruguay, where it distributes the products from Italy. Therefore, the Brazilian plant will be the first production plant of the company in Latin America. The idea is to start production in Brazil and, then, consider an internationalization plan.

“Riveco has chosen a privileged region to settle down, even more considering the sector in which it operates. Lorena is halfway between São Paulo, Santos and Rio de Janeiro, with excellent logistics infrastructure and access to the best ports and airports in Brazil,” said the president of Investe SP, Luciano Almeida.

The agency has been assisting the company mainly with the demands for environmental licensing and in the dialogue with Desenvolve SP, the State Development Agency which has special credit facilities.

According to Paolicchi, the key suppliers and customers of Riveco in the petrochemical industry are located in São Paulo, so that is why the company chose the state to settle. The support provided by Lorena’s cityhall, with tax incentives and the assistance in finding a suitable location, were also essential.

For the Mayor Fábio Marcondes, the arrival of Riveco contributes to the recovery of industrialization in Lorena, which is happening thanks to the investment attraction policy adopted in the city.

“We have been striving to offer good conditions for the companies interested in settling in Lorena through a technical and differentiated service aimed at the economic and social development. In addition to the incentives, excellent location, universities and professional qualification schools, we rely on a great partnership with the Government of the State, through Investe SP. I would like to welcome Riveco and say that we will continue making efforts with our entire team to provide all the necessary support,” said the Mayor.

The area chosen covers 100,000 square meters and the business plan includes a built area of 18,000 square meters, allowing the expansion of production in the future. Currently, the area is being bulldozed and should be ready in September, when the construction works should begin.
About Riveco
Riveco Generalsider S.pA has over 50 years experience in the production of steel pipes. The group consists of three companies with extensive expertise on the subject: General Sider Italiana S.p.a, which manufactures the pipes, GeneralTex S.r.l, which produces specialty fabrics and insulation systems, and Riveco S.p.A, which performs the concrete pouring, coating and protection of pipes.

Specialized in the provision of products and services to the energy and infrastructure industries, Riveco Generalsider has increasingly excelled in the concrete pouring of off-shore pipes.

Today, the company has two production units in Italy: one in Chieti, where it is headquartered, and one in Larino. In total, thee are 170 employees.

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