Distributor selling prices for oil country tubular goods (OCTG)
posted their biggest increase of the year in September, with
welded product rising for the first time since March 2012,
according to the latest data from Pipe Logix LLC.
OCTG products averaged
$1,673 per ton in September, up 1.1 percent from $1,655 per ton
last month. Electric-resistance welded product averaged $1,532
per ton, up 1.2 percent from $1,514 per ton in August; and
seamless product averaged $1,815 per ton, up 1.1 percent from
$1,796 per ton in the same comparison.
between domestic and imported prices rose to $454 per ton for
the month, suggesting that a recent OCTG price hike (
amm.com, Sept. 6) "is being realized more for
domestic items than imports," Pipe Logix manager Kurt Minnich
This marks only the
second time that prices have risen this year, although the
monthly OCTG average still trails by 7.6 percent the September
2012 level of $1,811 per ton.
Pipe Logixs OCTG distributors index was at 55 for
September vs. 54 in August, pointing to a slightly improving
market, Minnich said.
Well permits and rig
counts have begun to improve, "indicating OCTG demand has found
support," he said, although import volumes are expected to come
in at 320,000 tons in August, 35 percent above the prior month
and 23 percent above the annual average.
The largest price
gains for the month were seen in seamless J55 tubing, which
rose 2.7 percent to $1,755 per ton, and seamless N80 production
casing, which gained 2.5 percent to $1,704 per ton.
K55 production casing recorded the largest drop, falling 2.6
percent to $1,359 per ton.