A Scottish-based subsea technology specialist operator has acquired County Durham based MASfab – which provides a range of fabrication, welding and construction services to the oil, gas and renewables sectors – for an undisclosed sum.
As part of the deal MASfab has been awarded a seven-figure valued contract to manufacture the latest version of the SCAR subsea plough used in seabed excavation, trenching and boulder clearance work by Ecosse Subsea Systems.
Last month Ecosse signed a Letter of Intent international automation and power group ABB to provide seabed clearance, trenching and back-fill operations on the £1.2 billion 100-mile Caithness-Moray electricity transmission link project.
Banchory-based Ecosse Subsea recently announced that profits to March 2014 had trebled to £3.4 million with revenue up by 88% to £15.6 million.
Commercial director, Keith McDermott, commented: “MASfab is an excellent addition to Ecosse’s capabilities and their reputation for first class workmanship on large oil and gas contracts was a driver in completing this deal.
“Our new SCAR Max plough will be an important addition to our subsea fleet and MASfab will be delivering a subsea plough which will set new industry standards and bring instant benefits to our clients.
The SCAR project is MASfab’s largest contract to date following the formation of the company last August by director Paul Mitchinson and Sharon West. MASfab employs 22 peple and has projected that over the next three years their workforce will grow to around 30, with annual revenues exceeding £3 million.
It has successfully completed projects in all three major energy sectors – gas, oil and renewables / offshore wind.
Mitchinson said: “By joining with Ecosse we will benefit from massive exposure to their extensive client base which will accelerate growth and create jobs in the north east.
“Ecosse is a very successful subsea technology firm which has just won a multi-million pound renewables contract in the north east of Scotland. They have a long track record of success on traditional oil and gas projects but are increasingly the go-to people for seabed ploughing and backfill, clearance and cable-laying in the fast-growth renewables industry.
“This is a win-win for MASfab and already we are benefitting from the award to build Ecosse’s new SCAR Max plough, which is the latest version of their successful SCAR technology.”