Cape Industrial Services Ltd has awarded EnerMech a three year contract for the provision of plant and equipment support.
The contract, worth an estimated £4.5 million, covers the rental and supply of power generation and blasting, tooling, lifting and rigging equipment for Cape’s UK and Dutch North Sea offshore contracts, which has base locations at Aberdeen, Great Yarmouth and Den Helder in the Netherlands.
Aberdeen-based EnerMech will provide non-specialist plant hire for Cape’s main disciplines of coatings, insulation, access and cleaning in addition to options for servicing maintenance of Cape-owned plant and equipment.
EnerMech say its investment in high-end management systems, including EnerMech LIVE ® which gives clients clear visibility of costs and online access to safety certifications and equipment management, was a factor in winning the award.
EnerMech was able to demonstrate its use of industry-leading equipment, systems and procedures would ensure the highest safety standards are maintained and believes a strong alignment between both companies, but without any overlap in services, will strengthen the working relationship.
Up to six new jobs will be created by EnerMech, including engineering, lifting and service technician and admin posts.
EnerMech business development director, John Wingfield, said: “Cape were looking for more than just a supplier-client relationship and with our business strategy model similar to their own, both companies were viewed as a good match.
“We clearly demonstrated our ability to invest in new equipment and technologies and in our facilities and people and that proved an important factor in winning this tender in a competitive process.
“Both companies are keen to work collaboratively to bring forward innovative technologies and equipment which will improve safety and efficiency and we have identified opportunities to conduct reciprocal business.
“We have worked with Cape on an ad-hoc basis but this important award takes our relationship to a new level and we are looking forward to working together in a mutually rewarding partnership.”
Cape is an international leader in the provision of essential non-mechanical industrial services focused on the energy and natural resources sectors. With over 19,000 people in 28 countries, Cape reported revenues of £655.1 million in 2009.
Mechanical engineering group, EnerMech, has invested £20 million in a new Process, Pipeline and Umbilical Services division and appointed one of the industries leading pipeline experts to head up the unit.
Les Graves joins the EnerMech board as director and brings with him more than 30 years experience in pipeline construction, precommissioning activities and well and process services. Mr Graves has previously held senior posts with BJ Services, Norson Services, Copipe/PSL and McKenna &Sullivan/Nowsco.
He will work in tandem with EnerMech business development director John Wingfield and the EnerMech management team which developed an impressive track record in supplying PPU services with their former company, PSL Energy Services, which was sold in 2007.
EnerMech managing director, Doug Duguid, said: “Until now a restrictive covenant prevented us from entering this sector but now it is full steam ahead. The £20 million investment signals our intent that we will be a major player in providing process, pipeline and umbilical support in all the geographic regions in which we currently operate.
“Our clients gave us a consistent message that the market had too many companies providing a mediocre service, not based on sound technical principles, and secondly, service quality was not in line with what they considered value for money. We will plug that gap in the market for a specialist Pipelines, Process and Umbilical company which can provide excellent service quality at a reasonable cost.
“We have unrivalled technical experience and sector knowledge and this has been strengthened with the appointment of Les Graves who is one of the industry’s leading pipeline pre-commissioning specialists, and a raft of other top level staff appointments.”
Adding a PPU offering completes EnerMech’s business lines and the new division will sit alongside existing services of equipment rental, rigging and lifting, hydraulics, crane services, training, valves and pumping equipment.
Les Graves said: “I am relishing the opportunity to offer solutions for our clients’ pipeline and umbilical pre-commissioning requirements across the world by providing excellent people and cutting edge value adding technologies. The EnerMech team is first class, the commitment is second to none and the can-do culture within the company is a breath of fresh air.”
The scale of investment for an organically grown business is unprecedented in this service sector and includes an initial £2.7 million spent on onsite machining and hydraulic bolting and tensioning equipment. Investment in other equipment to establish what will be the most modern fleet in the world, includes nitrogen convertors (ATEX, DNV, Zoned), nitrogen liquid storage tanks, fluid pumping equipment, subsea flooding and testing packages, air compressors and nitrogen membrane units.
EnerMech will focus on two distinct markets – platform and installation shutdowns on the process side and precommissioning services on pipelines/umbilicals.
EnerMech now offers a range of Process Services including: nitrogen purging; nitrogen/helium leak testing; controlled bolting; total flange management; onsite machining, hydro testing; flushing/retro jetting; camera inspection; oil flushing; chemical cleaning; pipe freezing and integrated services.
Pipeline Services will cover cleaning, flooding and hydro testing, dewatering, drying, abandonment and data logging, while Umbilical Services includes pressure testing, cleaning, flushing and electrical testing including fibre optic cables.
EnerMech has acquired the trade and assets of Aberdeen Valve Supplies (AVS) in a deal believed to be worth around £1.5 million.
Altens based AVS, LG Ball Valves and Valve Paint Shop supply valves, valve controls and associated equipment and services to the oil, gas and petrochemical industries.
EnerMech recently announced it will invest £2 million in setting up its own valve care division and the acquisition will bolster this business line. AVS has an excellent service reputation, which allied to EnerMech’s international reach will enhance the enlarged division and lead to significant growth.
The exact value of the deal has not been revealed but sees EnerMech acquire the trade and assets of all three companies. All AVS equipment, including a sophisticated valve testing and valve painting and coating facility in Altens, will be relocated to EnerMech’s headquarters in Howes Road, Aberdeen by mid 2011. AVS owners, Gordon Whyte and Sylvia Aitken and more than 20 staff will join EnerMech as part of the acquisition deal.
EnerMech managing director, Doug Duguid, said the deal was an excellent fit for EnerMech and was part of the company’s strategy to expand its service lines by acquisition and organic growth.
Mr Duguid said: “Aberdeen Valve Supplies has a first class reputation for its service quality, has long standing relationship with key clients and maintains a number of important contracts in valve supply and maintenance.
“The subsidiary LG Ball Valves manufactures its own line of ball valves, which fits very well with our existing services and we will continue to use that brand name. With our extensive international infrastructure we can push out AVS’s products and services to new markets and offer clients of both companies a much more focused, one-stop shop service.
“I am delighted to welcome Gordon Whyte and Sylvia Aitken and their staff in to the EnerMech group and look forward to working with them to establish one of the most specialised valve care companies operating in the oil and gas sector.”
Also, you can visit: http://www.abvalve.co.uk/
EnerMech has been awarded a contract to provide nitrogen helium leak testing services onboard the MODEC Kwame Nkrumah MV21 FPSO in offshore Ghana.
The project started in October with quick turnaround required in terms of mobilistation and the completion of the work which EnerMech have successfully concluded. Not only have EnerMech delivered the services within MODEC’s requirement, it has also adhered to a high standard of safety onboard the FPSO.
EnerMech Technical Sales Manager, Greigor Watt, said: “Our relationship with MODEC Inc is growing from strength to strength and the scope has now grown to include PSV testing and recertification. By understanding MODEC’s needs we are successfully forging ahead together.”
MODEC were extremely satisfied with the high standard of service provided and have written a letter of commendation.
In the letter by the HSEQ Specialist onboard, it said: “FPSO Kwame Nkruma MV21 is currently working 24/7 trying to accomplish its target for first oil within a short space of time.
“The amount of critical simultaneous operations is unavoidable and chances of exposure to all kinds of risks are greater.
“It is imperative for all contractors and vendor to adhere to MODEC’s strict HSEQ Policies and Procedures and ensure that tasks carried out conforms to the necessary procedures in place.
“Having said that, it is of great pleasure for me to write you this email in recognition of your team’s efforts, dedication and awareness towards working in a safe and professional manner. As an individual, your visible leadership and commitments to achieving MODEC’s goal for zero tolerance in safety is evident and your team’s continuous proactive approach in carrying out their given task are much to be applauded.
“Your demonstration of good team work and meticulous planning in day to day activity had been observed and was commended in one of our daily evening management meetings.
“I wish to extend my utmost appreciation to your good self, your excellent supervisors and dedicated technicians who had made the most difficult made easy by just having one focus in mind, that is Safety First before anything.
“I wish you and your team more success in your endeavors and thank you very much for being part of FPSO Kwame Nkrumah MV21.”
Mechanical engineering specialist, EnerMech, has backed up its ambition to develop a global business with the £4 million purchase of its headquarters building in Aberdeen.
In addition to the purchase of the previously leased property, a £400,000 refurbishment programme is underway, which includes plans for the construction of three workshops, one specifically for the company’s recently launched valve care business.
Located on a 16 acre site, Howes Road includes modern class room and training facilities, climate controlled storage units, 60,000 sq ft of workshops and a yard extending to 6000 sq yds. With office space totaling 68,000 sq ft, EnerMech operates one of the largest engineering, repair, maintenance and storage facilities serving the North Sea energy sector.
This large scale investment is part of a strategy to offer clients a first class engineering and service capability regardless of which part of the world they are working.
EnerMech’s Middle East operation will shortly move to a new 10,000 sq ft leased facility in the Jebel Ali Free Zone in Dubai which represents a £500,000 investment and includes training/class rooms, warehousing, a hydraulic hose facility, workshops and a crane simulator training room. The company is in the process of drawing up plans for a new purpose built facility in JAFZ to be completed by 2012 and which represents a further £3 million investment.
Also EnerMech’s Asia Pacific operation has moved to new premises in Singapore consisting of 20,000 sq ft and which includes warehousing, fully equipped workshops for servicing/repair of customer equipment, test facilities for winch refurbishment and hydraulics components and hydraulic pipe/hose manufacturing, testing and flushing capabilities. Training classrooms and a Rigging Training Frame are also onsite, while our SIM-600 Mobile Crane Simulator can be accommodated on site when needed.
EnerMech managing director, Doug Duguid, said: “When we speak of having a global presence we don’t mean simply a pin in the map with a local agent working under the EnerMech banner.
“We are investing significant capital and hiring the best available personnel to build an extensive infrastructure in all the important oil and gas regions. This offers clients an assurance that they will receive the same quality of service and responsiveness in Aberdeen as they will in say the UAE, Houston or Perth.”
EnerMech’s Human Resources director Shirley Smith has added an extra zero to her 50th birthday celebrations – by undertaking a 500km cycle challenge on behalf of cancer support charity CLAN.
Keep fit enthusiast Shirley is marking her milestone birthday by pedaling from Vietnam to Cambodia and in the process has raised more than £5000 for the Aberdeen charity.
The nine day trip, averaging 50-60 kms a day, begins on December 2 in Saigon, traverses the Mekong Delta and ends in Siem Reap in north west Cambodia.
Shirley always planned to celebrate her 50th in a unique way. She said: “Having reached 50 I thought it was time to give something back to the world and I always planned to do something for charity. I’ve also always wanted to visit Vietnam and Cambodia so this way I get the best of both.”
Shirley chose to support a cancer-related charity because her mother died at a young age from ovarian cancer, she lost a close friend to the disease who was in her 40s and her father suffered from bowel cancer when he passed away aged 84.
Shirley added: “Life is a wonderful journey and I have been blessed with good health which has motivated me to take on this challenge. Sadly I have experienced the loss of my loved ones to cancer and it seemed only right that I should raise funds for CLAN.
“CLAN offers both cancer sufferers and their family support through very difficult times and has always impressed me with the range of support they give, from accommodation for families who do not live locally in Aberdeen, to reflexology and art classes for patients during treatment.
“CLAN needs to raise significant funds for their move to new premises and I am grateful to all my family, friends and work colleagues who have made a contribution which will help them along the way.”
Shirley initially planned to raise £5000 but the total now stands at £5530. If you would like to make a donation please visit http://www.justgiving.com/Shirley-Smith0
EnerMech has been awarded a contract to provide offshore crane maintenance services for Esso Australia.
The five year multi-million dollar contract, with options, covers Esso assets in Bass Strait, Australia, and includes the provision of offshore crane maintenance personnel for the ExxonMobil subsidiary.
EnerMech provides a range of mechanical engineering services to the oil and gas industry and is currently setting up new base in Sale, Melbourne, to service the Esso contract and to introduce other business lines to the region.
EnerMech has been engaged on multiple ad-hoc contracts for Australian operators, including Esso, Woodside, Vermillion, Apache and Teekay Shipping, but this award is the first term contract to have been secured by EnerMech in Australia.
Ben Finlay, EnerMech's business development director for Asia-Pacific, said: "We have a good relationship with ExxonMobil in Australia, the UK and other regions and have worked with the company on a range of projects. This award strengthens that relationship and is strategically important as it's our first term contract with an Australian operator.
"The contract starts on December 1 but we already have a transition team in place and focused on meeting that start date. We are in the process of setting up an office and workshop facility in Sale which will assist us not only in fulfilling Esso's requirements, but in growing our business and introducing our other business line in to the eastern Australia energy sector."
EnerMech employs more than 550 staff at regional bases in Perth, Stavanger, UAE, Singapore, Indonesia, China, UK, and other major oil and gas hubs throughout the world.
The company recently agreed a £24 million ($38.6 million AUD) funding package with Lloyds Banking Group and together with private equity and shareholder financing has a £40 million ($64.4 million AUD) fund in place to support organic growth and acquisitions.
Mechanical services company, EnerMech Ltd, has secured an important distributorship agreement with leading lifting equipment specialist Gunnebo Industries.
Aberdeen-based EnerMech will have preferential rights to the distribution of all Gunnebo's lifting products to oil and gas industry companies working in the UK Continental Shelf area.
Gunnebo Industries is a world leader in the manufacture and marketing of lifting technologies and has developed systems for chain and lifting components that can handle weights of up to 125 tonnes.
EnerMech has emerged as a leading player in the cranes and heavy lifting market. The company provides specialist services in the operation, inspection and maintenance of cranes and lifting equipment in addition to design, engineering and management of onshore and offshore crane projects.
EnerMech Ltd has appointed Shirley Smith as Director of Human Resources.
The Aberdeen mechanical services company said the board appointment reflected the significant growth of the company in the last 12 months and was part of its international expansion strategy.
She will play a key role in integrating new staff into the EnerMech organisation following recent acquisitions in UK, Norway and the Middle East and when further acquisitions take place.
EnerMech Limited has invested £500,000 ($820,000) on a crane simulator for use in the Australian-Asia Pacific market.
The company is also devising an exclusive programme to extend the simulator's capabilities to include subsea lifting operations in what will be a world first development for the crane and heavy lifting industry.
EnerMech say this latest investment in new technology provides the company with the only crane simulator in the region and underlines its determination to significantly expand operations in both Singapore and Perth.