MRC Global inks distribution pact with Shell for valves, automation services

MRC Global, a distributor of pipe, valves and fittings to the energy industry, has signed a five-year global agreement with Shell for the distribution of valves and automation services.

The global pact covers Shell's upstream, midstream and downstream project and maintenance, repair and operations (MRO) requirements in North America, Europe, Asia, Australia, the Middle East and Africa.

The agreement also covers carbon steel, stainless and alloy pipe, fittings and flanges in the US as well as stainless steel and alloy pipe, fittings and flanges in Canada.

Under this agreement, Shell expects that MRC will be the single-source provider for valves and the central distributor for the other products to Shell's business units in the specified areas, the company said.

The agreement builds upon a long-standing relationship between MRC and Shell in the US, Europe and Asia, where MRC has served as Shell's primary distributor of valves for the past 15 years.

"We are pleased that Shell continues to place their confidence in MRC to supply their operations with these important products," MRC chief executive Andrew Lane said.

"Based on activity projections, this 5-year agreement represents the largest distribution contract that we have entered into with a global customer,” he continued.

“By providing a 'one-stop' distribution platform for these products, we will assist Shell in driving standardization of their PVF materials requirements throughout their global organization."

The agreement has a term of five years with an option to extend for another five years. Financial numbers were not disclosed.

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