Saudi Steel Pipe Co. (SSP) has signed a settlement agreement with the sellers of three land plots in Dammam, originally purchased in 2010. The agreement, finalized on April 28, nullifies the transaction, with the sellers refunding the purchase price and compensating SSP for damages, bringing the total settlement to SAR 211 mln (USD 56.2 mln) in cash.
The financial impact will be reflected in SSP’s Q2 2025 results. The sellers also released SSP from any related claims and assumed all rights and obligations tied to an ongoing petition with the Ministry of Justice.
SSP confirmed the land was never used for production. The dispute stems from a 2021 revocation of the plots’ electronic title deeds. The company had purchased the land through a written agreement in compliance with Saudi law and later petitioned for reactivation of the deeds, a matter now transferred to the sellers under the settlement.
SSP specializes in manufacturing and supplying Electric Resistance Welded (ERW) steel pipes for the energy, industrial, and construction sectors across the Middle East and North Africa. Its product portfolio includes Oil Country Tubular Goods (OCTG), line pipes, API and premium connections, accessories, and related services. The company has an annual production capacity of over 400,000 tons, producing pipes from 1/2 inch to 20 inches in outer diameter. It also offers coating services for pipes up to 30 inches and bending services for up to 60 inches.
1 USD / 3.75 SAR