Offshore oil and gas engineering firm steps into military sector
- Business & Finance
Mechanical engineering specialist EnerMech has diversified its offshore oil and gas oriented business by entering the military industry through a contract awarded by the Norwegian Defense Estate Agency (NDEA).
EnerMech said on Thursday that the three-year contract entailed the provision of expertise and manpower for the service and maintenance of all cranes and lifting equipment located throughout the NDEA estate.
Due to the market conditions caused by low oil prices and the current down cycle, some companies which do most of their business within the oil and gas industry have opted to diversify their portfolio and enter other markets such as the renewables industry or in the case of EnerMech, the military industry.
When it comes to doing business in Norwary, the UK-based company said that the new contract, is EnerMech’s “first success” outside the Norwegian offshore oil and gas sector which accounts for the bulk of the company’s business.
NDEA is responsible for all Norwegian Armed Forces properties, and its portfolio comprises of more than 12,000 facilities spread over 4.1 million square meters.
Trond Møller, EnerMech’s general manager for Norway, said: “Our reputation has been built in the oil and energy offshore market and we are pleased that our long-standing pedigree is being recognized with the award of this prestigious contract.
“It is widely accepted the offshore industry in Norway and abroad is facing challenging times, and this contract provides an important bridge for EnerMech to diversify in the onshore and defense sectors.”
EnerMech operates from three Norwegian bases in Stavanger, Bergen, and Hammerfest. In addition to cranes and lifting, the company also specializes in other areas including valves, hydraulics, pipeline and process service, and industrial services.