BARTLESVILLE, OKLA.—Phillips Driscopipe Inc. plans to make 20 million pounds of polyethylene pipe a year in Mexico at joint venture plant set to open in March. The plant, in the Mexico City area, will be Phillips Driscopipe's sixth pipe factory in North America. The other five are in the United States.
Phillips Driscopipe, based in Richardson, Texas, is teaming up with Promotora Mexicana de Industrias SA de CV, part of Grupo Miguel business group.
Phillips Driscopipe extrudes about 200 million of high density PE pipe a year, according to Plastics News and industry estimates. Special HDPE grades will be shipped from the company's chemical complex in Houston to the Mexico pipe factory. Phillips Driscopipe will own 49 percent of the new company, called Driscopipe Mexicana SRL. Promotora Mexicana owns the other 51 percent. Terms were not disclosed.
Phillips Driscopipe, a unit of Phillips Petroleum Co. of Bartles-ville, extrudes pipe for natural gas distribution, municipal water distribution, plumbing, irrigation and conduit for telecommunications. Grupo Miguel is a privately held conglomerate in Mexico City. It serves a range of industries, including plastics, textiles, automotive, aviation and entertainment. The joint venture will use Grupo Miguel's existing distribution network.
According to Plastics News' most recent ranking, Phillips Driscopipe generated 1995 pipe extrusion sales estimated at $143 million. It tied with another HDPE pipe extruder, the Plexco Division of Chevron Corp., for 16th in the ranking of pipe, profile and tubing extruders in North America.
Looking only at plastic pipe, Phillips Driscopipe was North America's 10th-largest pipe extruder in North America.