Logstor order for district cooling in Qatar opens door to lucrative market

Pipe manufacturer Logstor, headquartered in Løgstør, northern Jutland, has gained a DKK 35m (USD 6.4m) order for delivery of 13 km pipes for district cooling in Qatar, reports financial daily newspaper Børsen. The pipes will be produced at Logstor's new factory, Empower-Logstor Insulated Pipes Systems (ELIPS) in Dubai which Logstor owns in a JV with Emirates Central Cooling Systems Corporation (Empower).

 

Logstor MD Preben Tolstrup told Børsen that the objective of the factory is to generate at least DKK 500m (USD 91.5m) in revenues in three years.

 

When the factory, which was inaugurated in January, is operating at full capacity it is expected to employ between 200 and 300 people.

 

"District cooling in the Middle East will become a billion [kroner] market in the next three years. 70% of the energy produced is used for cooling buildings. That is also why the Middle East leads the way in energy efficiency improvements in this area," said Preben Tolstrup.

 

According to Akram J. Mourad, director of Logstor District Cooling, the Energy City Qatar project, to which the pipes will be supplied, will set new standards for energy-efficient construction.

 

Logstor is the world’s leading manufacturer of pre-insulated pipes for energy-efficient transportation of gases and liquids for district heating and cooling, oil and gas, solar, marine and industrial purposes. Logstor invented the pre-insulated pipe system technology and has delivered more than 160,000 km pre-insulated pipes to date. Logstor is owned by Montagu Private Equity.