CLS Offshore Moves to New Facilities (UK)

Energy sector services company CLS Offshore has invested around £350,000 in new offices at Hull, with plans to add a fabrication workshop in the near future.

The move has already added £2m to the value of one existing contract with an international company and the Great Yarmouth headquartered company intends to tap into a rich vein of work from its new Humberside site.

CLS expects to rapidly build its office team there to 25, with up to 75 new onshore recruits following once the fabrication unit is complete – the vast majority will be recruited locally.

“We believe the move will ultimately add £10m to our turnover without diluting anything we do from Great Yarmouth – where we will continue to develop,” said managing director Scott McMillan.

The new office at the Marfleet Environmental Industries Park, one of Hull’s most iconic industrial sites, was unveiled on January 2nd. An official opening will take place later.

“This will strengthen our position on the East Coast, help bridge the gap with Aberdeen, draw on the vast potential of the area and meet a demand from existing clients,” said McMillan. “One has increased the value of an order from £5m to £7m, with other major companies pledging more business once the Hull office came online.

“We’ve also received 140 local CVs so it’s clear there is a good pool of trade skills,” he added.

The Hull base will mirror CLS’s Great Yarmouth operations where they specialise in modern fabrication work, platform refurbishment and petrochemical plant installation and support. They have also diversified into offshore windfarm maintenance and launched a new electrical and instrumentation division.

McMillan praised the cooperation and practical help of Hull City Council in assisting its move into an Enterprise Zone.

Martin Mancey, cabinet portfolio holder for Hull City Council, welcomed the CLS investment which would bring high quality jobs to the city and the opportunity of expansion.

“Hull’s location adjacent to the SNS gas fields and the UK’s strategic future development area for offshore wind renewables, together with our Enterprise Zones, makes us an attractive proposition,” he said. “The City Council will continue to work with CLS to fully explore further opportunities and to ensure that their investment decision continues to bring rewards to the company and employment opportunities for the people of Hull.”

CLS finance director Mark Pollard said the move came as the company currently showed more than 50% turnover growth year-on-year, with 58% of current profits are being reinvested directly back into in to the company.

He added: “The investment in a three-year deal for the new premises is around £350,000 but that figure will grow considerably as we develop the fabrication workshops. It is part of continued growth across the company.”

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Press Release, January 03, 2014