Welspun Rohren bags Rs 500 crore order

Welspun-Gujarat Stahl Rohren, manufacturer of metal pipes, said on Monday that it had bagged an order worth Rs 500 crore for supply of coated line pipes to the South Sumatra-West Java gas pipeline in Indonesia.

The order by Indonesia's state-owned firm PGN has to be executed between February-July 2006, the company informed the Bombay Stock Exchange. Welspun had earlier bagged an order from Amerada-Hess in Indonesia for the supply of 42 km of sour service pipes.

The company's outstanding order book position is over Rs 1,800 crore. At present, it is executing an order of supplying pipes to one of the deepest offshore pipeline projects in the world at the Gulf of Mexico, it said.

The shareholders at the September 30 annual general meeting had approved increasing the company's borrowing limit upto its paid-up capital and free reserves plus Rs 2,500 crore.

The AGM also gave approval to the employees stock option plan, which should not go beyond five per cent of the paid-up capital of the company, it said.