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Tenaris laying off 95 at Sault plant

Operations to be suspended for two weeks in March
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Tenaris Algoma Tubes is pictured in this SooToday file photo.

Tenaris Algoma Tubes will lay off 95 employees at its seamless pipe plant in Sault Ste. Marie, effective Feb. 4.

In a Jan. 24, news release, parent company Tenaris cited “persisting volatile market conditions” for the decision.

The company said imports from non-NAFTA countries are creating a surplus of product in the Canadian oil and gas market, while drilling activity has been reduced due to pipelines reaching capacity. The unstable price of oil is also a contributing factor, it noted.

“It continues to be a difficult time for our industry,” Tenaris Canada president Guillermo Moreno said in the release.

“We value our employees and we are working to minimize the impact and stay well positioned for an eventual turnaround. Tenaris plays an important role in Canada’s domestic manufacturing and our commitment to supply and serve the industry remains strong.”

Tenaris said the Sault plant would also suspend operations at the mill for two weeks in March to perform regular annual maintenance.

Operations at the company’s welded pipe mill in Calgary, Alta., will also be suspended, for six to eight weeks, starting in March, the release noted.

The news comes following a December announcement of a 25 per cent reduction in the Sault’s workforce, which amounted to 90 layoffs. At that time, the plant was also shut down for three weeks.

In January, 15 people were temporarily laid off from the Calgary plant.

Tenaris, which is headquartered in Luxembourg, manufactures tubular line pipe products for the oil and gas sector and other industries.




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