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Tenaris and Sidor to Purchase
Venezuelan HBI Plant

April 28, 2004 — Tenaris SA announced that, together with Sidor, a Venezuelan steel producer in which it has an indirect investment, it has signed an agreement with Posven, a Venezuelan company in which Posco of Korea has a 60% shareholding, for the sale and purchase of its assets for a price of US$120 million.

Assets include an industrial facility for the production of pre-reduced hot briquetted iron (HBI) located in Ciudad Guayana, Venezuela.

The acquisition will be effected by a newly-formed company, of which Tenaris will hold 55% and Sidor 45%. The deal remains subject to a number of closing conditions, including transfer of operating contracts on satisfactory terms.

The facility, which has been shut down since 2001 shortly after commencing operations, has a nominal annual design capacity of 1.5 million tonnes of HBI. The plant was constructed by Raytheon Engineers & Constructors using technology developed by Hylsamex.

This investment, which complements a previous investment in the Comsigua HBI plant also located in Ciudad Guayana, Venezuela, will allow Tenaris to secure a further low-cost source of high quality ferrous raw material. Tenaris also operates a pre-reduced iron (DRI) facility in Campana, Argentina.

Tenaris is a leading global manufacturer of seamless steel pipe products and provider of pipe handling, stocking and distribution services to the oil and gas, energy and mechanical industries and a leading regional supplier of welded steel pipes for gas pipelines in South America. Domiciled in Luxembourg, it has pipe manufacturing facilities in Argentina, Brazil, Canada, Italy, Japan, Mexico and Venezuela and a network of customer service centers present in over 20 countries worldwide.

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