Monterrey, Mexico, January 8, 2001. Tubacero, S.A. de C.V. announced today it has extended its maximum ERW pipe range size capacity and is now able to manufacture 30" diameter pipe, up to 0.500 " wall thickness by the Electric Resistance Welding process in one of its mills; this makes Tubacero the world first pipe mill that can offer up to 30" ERW in API Grades up to X70 from HR coils. First lots of 30" ERW API Grades 5L - X42, and X65 with 0.312", 0.312" and 0.500" thickness have already been manufactured for USA customers.

Responding to Pipeline Engineering and Construction market needs for more overall cost effective alternatives, Tubacero's 30" ERW pipe offers the following advantages:

• Pipe length now up to 51 FT and soon up to 60 FT and 80 FT with corresponding field weld cost and time savings.
• Faster deliveries due to higher process speed
• High Quality API grades with very uniform dimensions and tolerances
• Steel homogeneity because of lack of added welding material
• Better superficial finish facilitates FBE and 3LP coatings.
• Internal dimensional quality and smoothness ideal for Casing applications
• Competitive pricing

Tubacero, founded in 1943, offers its customers pipe from 6 5/8" to 30" ERW and 18" to 48" DSAW in continuous rolling mills and 20" to 150" DSAW in pyramidal forming. It holds API certification since 1959 and was the first manufacturer of longitudinally welded linepipe in the western hemisphere to hold ISO 9002 certification.

Further information can be obtained from:

TUBACERO, S.A. de C.V.
- Attn: Leon Gutierrez, President and CEO
- Tel: (528)305.5511
- Fax: (528)305.5510
- WWW: http://www.tubacero.com
- Email.