NEW YORK Distributor selling prices for oil country tubular goods (OCTG) have risen for the first time since March 2012, buoyed by a sharp rise in seamless L80 tubing tags, according to the latest data from Tulsa, Okla.-based Pipe Logix Inc.
Average prices for all OCTG products rose to $1,670 per ton in June, a 0.3-percent gain from last month. Seamless OCTG tags rose 0.9 percent to $1,813 per ton, but welded OCTG prices fell 0.4 percent to $1,527 per ton, the lowest level in 39 months.
Average prices are still 10.9 percent below $1,887 per ton in the same month last year.
The sharpest gain this month was recorded by seamless L80 tubing, which rose 4.8 percent from May to $2,211 per ton, while the largest drop was for the same grade of welded OCTG tubing, which fell 2.1 percent to $1,642 per ton.
Despite the slight rise in overall prices, there is little to suggest a sustained pickup.
"Drivers for the market are generally flat, with the rig count and OCTG shipments changing very little over the past three months," Pipe Logix manager Kurt Minnich said in a statement, although he added that the amount of well permits issued had improved over the past four months.