Northwest Pipe Co. has received a letter of intent to supply approximately $9 million of welded steel pipe for the San Juan Chama Pipeline project for the City of Albuquerque.

Northwest Pipe will supply approximately 15,000 feet of 72-inch diameter steel pipe. The company expects to manufacture the pipe at its Adelanto, Calif., division with delivery scheduled to begin in the second quarter of 2005. "This order is indicative of the strong market we continue to see in the Water Transmission business," said Brian W. Dunham, President and CEO. "The market activity we are experiencing now will lead to stronger results in the balance of the year for the Water Transmission Group."

"In the Tubular Products Group, markets have been slower than expected," Dunham continued. "We now expect sales volume in the first quarter for this Group to be at approximately the same level as the fourth quarter of 2004. Looking ahead, however, demand has increased each month throughout the quarter and we expect this trend to continue into the second quarter of the year."

Northwest Pipe Co. manufactures welded steel pipe in two business segments. Its Water Transmission Group is a leading supplier of large diameter, high-pressure, steel pipe products used primarily for water transmission in the United States and Canada. Its Tubular Products Group manufactures smaller diameter steel pipe for a wide range of construction, agricultural, industrial and mechanical applications. The company is headquartered in Portland, Ore., and operates eleven manufacturing facilities in the United States and Mexico.