Signing of a significant contract between the STALPROFIL S.A. Capital Group entities and OGP Gaz-System S.A.
The Board of STALPROFIL S.A., in reference to the current report No. 15/2017 dated 8 August 2017 informs that on 6 September 2017 it was notified about signing by OGP Gaz-System S.A., a partial agreement between the consortium of companies comprising: IZOSTAL S.A. and STALPROFIL S.A. (the Contractor) and GGP Gaz-System S.A. with its seat in Warsaw (the Purchaser).
The contract covers manufacture, sale and supply of insulated, externally and internally painted steel pipes for an investment project implemented by OGP Gaz-System S.A. - Pipeline DN1000 Zdzieszowice-Wrocław section Zdzieszowice-Brzeg with a length of approximately 45 km. The subsidiary IZOSTAL S.A. (the Consortium Leader) is the part of the consortium responsible for the production and delivery of the insulated steel pipes for the benefit of the Purchaser.
Partial agreement will be implemented in the framework and under the terms of the framework agreement of 17 April 2015, concluded between the consortium of companies comprising: IZOSTAL S.A. and STALPROFIL S.A. and OGP Gaz-System S.A.
The value of the partial contract is 71 972 thousand PLN net, which represents 88 526 thousand PLN gross, and its implementation will take place from 1 February to 31 May 2018.
Implementation of the partial agreement will have therefore a significant impact on the growth of the revenues of the subsidiary IZOSTAL S.A. and the STALPROFIL S.A. Capital Group in the first half of 2018.