8-K

                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549


                                -----------------


                                    FORM 8-K

                             CURRENT REPORT PURSUANT
                          TO SECTION 13 OR 15(d) OF THE
                         SECURITIES EXCHANGE ACT OF 1934



       Date of Report (Date of Earliest Event Reported): December 4, 2002



                                NATCO Group Inc.

             (Exact Name of Registrant as Specified in its Charter)



        DELAWARE                  ___________                22-2906892
(State of Incorporation)   (Commission File Number)         (IRS Employer
                                                         Identification No.)

   2950 North Loop West, 7th Floor
           Houston, Texas                             77092
(Address of Principal Executive Offices)           (Zip Code)


       Registrant's Telephone Number, Including Area Code: (713) 683-9292

ITEM 5. OTHER EVENTS

            On December 4, 2002, NATCO Group Inc. issued a press release
      announcing the execution of a contract to expand its CO2 membrane
      separation facility in the SACROC field. This press release is filed as
      Exhibit 99.1 to this Current Report on Form 8-K, and the contents of such
      Exhibit are incorporated herein by reference.


ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS

(c)   Exhibits

      99.1  Press Release, dated December 4, 2002

                                    SIGNATURE

      Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.


Dated:  December 5, 2002
                                              NATCO Group Inc.

                                          By: /s/ J. MICHAEL MAYER
                                              --------------------------
                                              J. Michael Mayer
                                              Senior Vice President and
                                              Chief Financial Officer

                                 EXHIBIT INDEX


    Exhibit
    Number                      Description
    ------                      -----------
     99.1         -- Press Release, dated December 4, 2002

EX-99.1

                                                                    EXHIBIT 99.1


[NATCOGROUP LOGO]                                      PRESS RELEASE

2950 North Loop West, Suite 700
Houston, TX  77092
PHONE:(713)685-8062  FAX: (713)683-7841

================================================================================
NATCO GROUP ANNOUNCES EXPANSION IN SACROC FIELD        Houston, December 4, 2002
- --------------------------------------------------------------------------------

NATCO Group Inc. (NYSE: NTG-News; "NATCO" or the "Company") announced today the
execution of a contract with Kinder Morgan CO2 Company, LP ("Kinder Morgan") to
more than double the capacity of its CO2 membrane separation facility in the
SACROC field. Kinder Morgan owns a majority stake in SACROC, one of the oldest
and largest oil fields in the US utilizing CO2 injection technology, and
recently began a significant expansion of its CO2 flood to increase oil
production. NATCO owns and operates a 180 mmcf per day separation facility in
the SACROC field, using proprietary membrane technology to recover hydrocarbons
for Kinder Morgan from produced gas and return high concentration CO2 for
re-circulation into the flood. The Company is paid a processing fee under a
long-term contract with Kinder Morgan. The processing capability of NATCO's
facility - which was most recently expanded in 2001 - will increase to a total
of 367 mmcf per day upon startup of the expansion, currently planned for the
fall of 2003.

The expansion is expected to make a minor contribution to NATCO's financial
results at the end of 2003. By early 2004, it should begin to contribute
quarterly revenue in excess of $1 million and $0.02-0.03 per fully diluted share
accretion to quarterly earnings. When fully utilized, which the Company
anticipates should happen in 2005, the expansion should result in an increase in
NATCO's annual revenue of $7 million, and annual earnings accretion of
approximately $0.18 (per fully diluted share).

"We are very pleased to reach an agreement with Kinder Morgan to expand this
facility," remarked Chairman and CEO Nat Gregory. "It is a good example of
bringing to the oilfield an important technology - which adds value by
increasing hydrocarbon recovery. The SACROC CO2 flood is a big success for
Kinder Morgan, and we are glad to be a part of it. Kinder Morgan currently
contemplates further expansion in the future, so we see even more opportunity at
SACROC down the road."

"We are likewise pleased to enter into this agreement, with NATCO, a
technological leader in hydrocarbon/CO2 separation," said Tim Bradley, president
of Kinder Morgan CO2 Company. "NATCO's process will enable us to increase
hydrocarbon recovery and help support our effort to reduce unit production
costs."

At startup, hydrocarbon recovery capacity will double to approximately 40 mmcf
per day and 14,000 barrels of natural gas liquids per day. Kinder Morgan's net
share of the hydrocarbon gas and NGL production is nearly 50%. Previously Kinder
Morgan announced plans to expand SACROC's oil production to approximately 30,000
bopd. Kinder Morgan's net share of the oil production is 70%. Production has
increased from 8,500 bopd in 2000, when Kinder Morgan purchased the field, to
over 15,000 bopd today.

NATCO Group Inc. is a leading provider of wellhead process equipment, systems
and services used in the production of oil and gas. NATCO has designed,
manufactured and marketed production equipment and services for more than 75
years. NATCO production equipment is used onshore and offshore in most major oil
and gas producing regions of the world.

Statements made in this press release that are forward-looking in nature are
intended to be "forward-looking statements" within the meaning of Section 21E of
the Securities Exchange Act of 1934 and may involve risk and uncertainties.
These statements may differ materially from actual future events or results.
Readers are referred to documents filed by NATCO Group Inc. with the Securities
and Exchange Commission, including its Annual Report on Form 10-K for the year
ended December 31, 2001, which identifies significant risk factors which could
cause actual results to differ from those contained in the forward-looking
statements.