Turkey's leading pipe producer Borusan Mannesmann has announced that it has halted production at its spirally welded pipe facility in the northwestern Turkish city of Kocaeli as of January, as a result of the Sekapark and urban transformation projects being carried out by the Kocaeli municipality authorities.

The pipe producer stated that it has come to an agreement with the Turkish Metal Union Kocaeli branch regarding the labor contracts of 145 employees at the facility. The workers have been either offered jobs at the company's Gemlik facility or a "social package" in addition to their statutory rights.

Meanwhile, Borusan Mannesmann stated that its spirally welded pipe facility with an annual production capacity of 250,000 mt located in Gemlik in northwestern Turkey was commissioned during 2012 and started commercial production following the completion of the test period. According to the company, the Gemlik facility, which was built with a total investment of $110 million, provides a competitive edge for Borusan Mannesmann in the large diameter line pipe market for the oil and natural gas industries, given the technology used at the facility, its production capacity, layout, flexible production and strategic location by the sea.