Vallourec reports overall loss in 2015

YOUNGSTOWN

Vallourec’s 2015 earnings were in the negatives, but the company has a plan for the future.

The French pipe maker for the oil and gas industry with operations in Youngstown reported a loss of $85 million in 2015 compared with a profit of $948 million reported in 2014.

“Full year results were severely affected by the sharp drop in high margin oil and gas sales in the EAMEA region and in North America,” said Philippe Crouzet, chairman of the management board.

The company has been hurt by the dramatic drop in the price of oil. The price started to drop in June 2014 when it was $100 or more for a barrel. Now, the price has been $30 and below because of an over saturation of oil in the marketplace.

The company plans to close four plants in Europe this year.

Last year, there were several cuts made at the local Vallourec Star plant on Martin Luther King Jr. Boulevard.