FOR IMMEDIATE RELEASE
9:00 A.M CST, November 17, 2014
Jonathan Kirkland, Director of Sales
Berg Pipe wins two major manufacturing contracts that will support 300 jobs and continue to fuel Florida’s economy
Contracts represent significant capital investment in the Gulf Coast region, including Florida
PANAMA CITY, Fla. – Berg Pipe, headquartered in Panama City, Fla., has been awarded two major contracts to manufacture a total of approximately 625 miles (346,000 tons) of pipeline for new natural gas infrastructure that will serve the southeastern United States, the company announced today.
One of the largest manufacturers of pipe in the nation, Berg will receive steel from multiple suppliers and manufacture around two-thirds of the pipe at its facilities in Panama City, Fla., and one-third at its plant in Mobile, Ala.
“We are excited to win such significant, important contracts. As a Florida-based company, we are proud to help serve the critical expansion of our state’s natural gas infrastructure as we continue to contribute to the local economy by creating and sustaining positive long-term job opportunities for Floridians,” said Ingo Riemer, Berg Pipe president and chief executive officer.
Through a competitive bid process, Berg was selected to provide approximately 625 miles of 30-inch and 36-inch steel pipe to the Sabal Trail Transmission and Florida Southeast Connection natural gas pipeline projects. The pipeline projects are being built to serve Florida’s growing economy, which will require increased access to clean, domestic natural gas in the years ahead.
Berg is already in the process of stepping up production at its Panama City location this fall to fulfill the largest pipe contract in the company’s history, which will bring its local employee count to more than 300 people. With the addition of these new contracts, Berg expects to be able to maintain this level of employment for at least another year and possibly add even more jobs as production gets underway.
Florida requires more natural gas to generate electricity than almost any other U.S. state. However, as the state’s economy has begun growing again, it lacks the pipeline infrastructure necessary to transport natural gas from sources in Alabama and other states to power plants operated by Florida Power & Light Company (FPL) and other electric utilities.
Subject to regulatory approval by the Federal Energy Regulatory Commission, the Sabal Trail Transmission and Florida Southeast Connection projects will expand Florida’s natural gas infrastructure and supply to meet the state’s growing natural gas needs in 2017. A joint venture of affiliates of Spectra Energy Partners, LLC and NextEra Energy, Inc., Sabal Trail Transmission, LLC is a new interstate natural gas pipeline that will originate in southwestern Alabama and transport natural gas to Georgia and Florida, terminating at a new Central Florida Hub south of Orlando, Fla. A wholly owned subsidiary of NextEra Energy, Inc., Florida Southeast Connection will transport gas from Sabal Trail’s Central Florida Hub to FPL’s Martin Clean Energy Center in Indiantown, Fla.
The Berg Pipe Group, a subsidiary of Germany’s Europipe GmbH, consists of Berg Steel Pipe Corp. in Panama City, Fla, Berg Spiral Pipe Corp. in Mobile Ala, and its sales office Berg Europipe Corp. in Houston, Tex. Berg Pipe is one of the largest U.S. manufacturers of pipeline for the oil and natural gas industry and has established itself as the number one supplier of large and technically challenging pipeline projects in North America. For more information, visit www.BergPipe.com.