Argus OCTG SML Index and Seamless Oil Country Tubular Goods Market Trends
Overview
OCTG, or oil country tubular goods, is the term for the steel pipe used in the extraction of oil and gas from a well. Argus Pipe Logix is the market leader in producing OCTG price assessments for the three main categories of OCTG- tubing, production casing, and surface casing. In addition to reporting OCTG prices by category, Argus further categorizes, assesses and examines OCTG prices produced through the two main manufacturing methods of OCTG pipe- electric resistance welded (ERW) OCTG and seamless (SML) OCTG. In total, Argus Pipe Logix publishes 47 OCTG price assessments on a monthly basis – 32 casing and tubing items used in US onshore wells and 15 associated averages of US distributor OCTG spot prices.
The Argus Pipe Logix OCTG SML Index represents the US distributor spot price average of 15 SML items of imported and domestically manufactured tubing, production casing and surface casing used in US onshore wells. The 15 SML items range in size from 2.375” - 9.625”. Unlike other price reporting agencies, Argus assesses and separately categorizes 5.5” 20# SML pipe with a semi-premium high torque connection and 5.5” 20# SML pipe with a semi-premium modified buttress connection. In addition, Argus publishes 5 SML associated averages.
The Argus Pipe Logix OCTG SML Index is the most widely used SML OCTG price assessment published by any pricing service for OCTG. It is used as a benchmark by some of the largest participants in the oilfield tubular market for contract settlement. In addition, the OCTG SML Index is used throughout the industry for performance management, corporate planning and management reporting as it provides an accurate and timely SML OCTG price trend for SML pipe commonly used in US onshore wells.
The Argus Pipe Logix OCTG SML Index is published on a monthly basis on the last Wednesday of the month as part of the Argus Pipe Logix OCTG Price Guide. The Argus Pipe Logix SML OCTG index can be accessed through the Argus Direct online platform and is analysed with current and historical pricing trends as a part of the OCTG Service.
Price assessment details
What are the advantages of the Argus Pipe Logix SML index?
The two common OCTG manufacturing processes, seamless (SML) and electric resistance welded (ERW), compete in the OCTG market. Each product prices a little differently in the market with a slight premium normally realized for seamless products. The Pipe Logix SML Index is an average of the most popular seamless items used in US onshore wells, consisting of 2 tubing items, 7 production casing items and 6 surface casing items. The SML Index provides an independent SML price assessment of the market and highlights its unique pricing trends as compared to OCTG made using other manufacturing methods. Our extensive library of pricing, including 20+ years of SML prices, makes Argus Pipe Logix uniquely positioned to produce the OCTG SML Index and analyze the SML OCTG market.
How is this assessment used?
The Argus SML OCTG Index offers an independent evaluation of SML OCTG prices and provides the current market price and its distinctive pricing trends in comparison to the ERW OCTG market. The SML and ERW Index, together with the Argus Pipe Logix all items Index are included in the OCTG Service, giving users access to the most widely used benchmarks for OCTG available anywhere. A subscription to the OCTG Service also includes the monthly historical pricing trends of the SML OCTG index with over 20 years of data, providing a tool for trend analysis.
Key price assessments
