Indian process piping solutions provider Dee Development Engineers has partly commissioned the second phase of its Rs2.5bn ($28.9m) manufacturing facility in Anjar, Gujarat, India.
The expansion has enhanced the facility’s annual operating capacity by 9,000 tonnes (t), raising the total to 12,000t so far.
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It is planning to commission the remaining 15,000t of capacity by October 2025.
This enhanced production capability will primarily focus on catering to the oil and gas piping sector, with the company targeting a threefold increase in revenue over the next three to five years.
DEE Development Engineers chairman Krishan Lalit Bansal said: “The total investment in this state-of-the-art facility amounts to Rs2.5bn. Of this, Rs1.6bn will be allocated to the process piping solutions plant, which has an annual capacity of 27,000t.
“Additionally, Rs900m will be invested in establishing a seamless pipe manufacturing facility specialising in high wall thickness pipes, with a planned annual production capacity of 7,000t.”
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By GlobalDataThe seamless pipe production is set to begin in January 2026.
Out of the total planned investment of Rs2.6bn, the company has already invested Rs1.5bn in the initial phase of the expansion. This initial funding includes Rs400m financed through bank borrowings, with the remaining Rs1.1bn to be fully funded through debt.
The expansion is not just a capacity enhancement move but also a strategic initiative to improve operational efficiency and EBITDA (earnings before interest, taxes, depreciation and amortisation) margins.
Bansal added: “The facility is a key element of DEE Development Engineers’ long-term growth strategy, aimed at catering to the increasing demand for high-quality process piping solutions and high wall thickness pipes.”
Spanning 47 acres, the expanded facility is expected to generate approximately 600 jobs including 100 direct employment opportunities.
The company stated that the facility integrates “cutting-edge” automation and semi-automation technologies and lean manufacturing principles to reduce material handling, and optimise operational precision and production efficiency.
