Inside Energy October 2024

SUPPLY MARINE: from maintenance to engineering, offering integrated solutions in the marine sector

Sector analysis

Brazil’s green hydrogen industry: evolution and challenges

The clean hydrogen sector is rapidly gaining momentum globally as a key component in reducing carbon emissions and transitioning to sustainable energy. With 87% of its electricity generated from renewable sources in 2023, Brazil is well-positioned to stand out in this promising sector. While large-scale projects are concentrated in the northeastern region due to favourable port infrastructure and natural conditions, initiatives are spread across the country. As of July 2024, Brazil has 62 green hydrogen projects in development, totalling 43GW in proposed electrolysis capacity. Countries like Germany, Japan and South Korea, which lack renewable energy resources, may turn to Brazil for green hydrogen imports, with developers exploring ammonia as a logistics and cost-effective export method.

Several green hydrogen initiatives are already progressing in Brazil, drawing interest from both domestic and international companies. Many of these projects are concentrated in the northeastern region of the country, particularly within Export Processing Zones (EPZs), special economic zones that allow for free international commerce. The Pecém Industrial Complex, in Ceará, has emerged as a hotspot for large-scale green hydrogen investments. Multiple projects in this complex are being developed with the goal of exporting green hydrogen and ammonia to the European off-take market, particularly through the Port of Rotterdam in the Netherlands.

In May 2023, the Port of Pecém and the Port of Rotterdam entered a partnership to strengthen bilateral co-operation between the Netherlands and Brazil in port-related energy projects, especially through the development of a green hydrogen corridor between both ports.

For instance, Fortescue is developing a 2.1GW electrolyser project in Pecém, which has already reached the Early Investment Decision (EID) stage and is expected to begin commercial operations in 2028. EDF Renewables is working on a 200MW electrolyser plant in the same area, with a final investment decision (FID) expected in 2025. Similarly, Casa dos Ventos plans to develop a facility in Pecém expected to produce around 160,000 tonnes of green hydrogen and 900,000 tonnes of green ammonia per year, with start-up scheduled for 2029.

In addition to these projects, other major green hydrogen projects are progressing across Brazil. Green Energy Park and Solatio, for example, are developing large-scale initiatives in the state of Piauí, at the Parnaíba Export Processing Zone, with estimated CAPEX reaching up to US$36bn. These initiatives aim to develop one of the world’s largest green hydrogen production facilities, with a total installed electrolyser capacity of 20GW, primarily to produce green ammonia for export, with a focus on the German market.

Beyond the production of green hydrogen, Brazil has the potential to develop the necessary infrastructure for storage, transportation, consumption and overall supply chain of this clean energy industry. In this context, Hytron, a subsidiary of Neuman & Esser (NEA), stands out as Brazil’s sole electrolyser manufacturer as of 2024. Based in São Paulo, the company produces modular proton exchange membrane (PEM) and alkaline electrolysers for small-scale green hydrogen applications.

In August 2024, Brazilian president Lula signed into law H2 Bill No 14.948/2024, establishing a new legal framework for clean hydrogen production in Brazil. Referred to as the Hydrogen Act, this legislation outlines a regulatory framework and certification for low-carbon hydrogen production, sets the groundwork for public policies and offers tax incentives to encourage investment in the sector.

Despite these promising advancements, Brazil faces significant challenges that could set back the expansion of its green hydrogen sector. One of the most pressing issues is the high cost of producing green hydrogen. Although Brazil has an abundance of renewable energy resources, the equipment required for large-scale electrolysis, especially electrolysers, is expensive and primarily sourced from international manufacturers, such as German-based Thyssenkrupp and American-based Plug Power. As a result, Brazil’s supply chain for green hydrogen-related products is developing at a slower pace compared to other markets like Europe, the US and China.

Infrastructure presents another major obstacle for Brazil. Transporting and storing hydrogen is technically challenging because of its low density, which requires specialised infrastructure, such as storage facilities and pipelines. Significant investments will be needed to develop this infrastructure, including the development and expansion of export terminals, to ensure Brazil can compete in international markets.

Marco Maedo Energy Analyst (H2 & CCS) marco.maedo@the-eic.com

Inside this issue...

October marks the first month of awards ceremonies here at the EIC. This will be the third year that the awards are going global, spanning across our five offices worldwide, after gathering nearly 700 industry peers in London, Dubai, Kuala Lumpur, Houston and Rio de Janeiro in 2023.

If you’re interested in attending or want to know more about the EIC Awards, please visit www.the-eic.com/Events/EICAwards2024

We have also recently launched a new addition to our set of large events, Bankable Energies. Happening in February in London, the event will bring together the global investment community, key project developers and policymakers to discuss the global shift needed to attract investment and drive energy transition projects. If you want to know more, please visit www.the-eic.com/Events/BankableEnergies/Home

In this edition of Inside Energy, readers will find a sector analysis by Marco Maedo, energy analyst at the EIC, on the development of the green hydrogen industry in Brazil. According to him, even though Brazil stands in a promising position for the success of the sector, the country faces substantial challenges such as the high cost involved in these projects and the lack of suitable infrastructure for the transport and storage of hydrogen.

Member’s services features Supply Marine’s integrated solutions offer, while spotlight on technology covers Saturnax 01, Serimax’s brand new welding system.

Finally, readers can get updated on office notices and local market updates from our teams in Europe, the MENA region, Asia Pacific and the Americas. As usual, you can also read about our members’ latest business news worldwide. Finally, another batch of EIC members’ case studies from Survive & Thrive VIII has been included in this edition.

DataStream

BRAZIL

São Paulo Thermal Power Plant

Operator: Natural Energia Value: US$1bn

Plans have been presented to develop a new 1.75GW gas fired power plant. Natural Energia submitted the environmental impact assessment in July 2024. Once approval has been received the project will be able to participate in a reserve auction organised by ANEEL.

For information on these and more than 15,000 other current and future projects we are tracking please visit EICDataStream

KUWAIT

Al-Nokhatha Field

Operator: Kuwait Petroleum Corporation Value: US$1bn

KPC has made a significant discovery in the Al-Nokhatha field, located in the east of Failaka Island, Kuwait. Early estimations of the hydrocarbon reserves present at the discovery well were around 2.1bn barrels of light oil, and 5.1 tcf of gas.

Global opportunities

INDIA

India Green Ammonia Production Facility

Operator: Sembcorp Industries Value: US$500m

Tecnimont and Nextchem have been awarded an engineering design study contract for the first phase of FEED for the project. The study will use Nextchem’s digital tool ArcHy to solve intermittency of renewable power usage.

INDONESIA

West Java Geothermal Hydrogen Production Plant

Operator: PT Geo Dipa Energi (Persero) Value: US$300m

Development of a commercial-scale geothermal-powered green hydrogen production facility in West Java, Indonesia. The plant will be powered by the Dieng and Patuha fields, and will produce up to 40,000 tpa of hydrogen.

SWEDEN

Stockholm Värtaverket Biomass CHP Power Plant BECCS

Operator: Stockholm Exergi Value: US$250m

Air Liquide’s large scale CO2 liquefaction technology, Cryocap™ LQ, has been selected by Stockholm Exergi for its BECCS project. A final investment decision is expected to be reached at the end of 2026.

US Port Arthur LNG Export Terminal (Phase 2)

Operator: Sempra Infrastructure Value: US$10bn

Sempra Infrastructure has signed a fixed-price EPC contract with Bechtel for the second phase of the Port Arthur LNG export complex. The project remains subject to securing all permits, acquiring funding and close additional commercial agreements prior to reaching a FID.

THE VOICE OF THE ENERGY SUPPLY CHAIN

DataStream

Are you up to date on the latest project developments in the energy market? The EIC’s leading market intelligence database – EICDataStream – contains information on energy projects and associated contracting activity from the inception stage all the way through to construction and commissioning.

• Access details on over 14,000 CAPEX projects across all energy sectors

• Identify business opportunities and inform your business development strategies

• Explore a truly global database, updated daily by an international team of analysts

• Stay up to date with project developments, including information on tenders and awards

• Get insights into what your existing clients are doing and identify potential new clients

• Have a direct interface with analysts for local knowledge and insights

• Access insight and country reports with in-depth data on specific sectors and markets

SupplyMap

EICSupplyMap maps the capabilities of supply chain companies that operate in the wider energy industry. These industries cover renewables, upstream, midstream, downstream, power, nuclear, energy storage and the potential and proven capabilities in carbon capture and hydrogen. After successfully mapping the UK market, EICSupplyMap now covers Germany, Saudi Arabia, Singapore and the US (Louisiana).

• Identify the supply chain local to your region, giving you the opportunity to engage with potential new clients.

• Find the supply chain capability in five regions, now covering the UK, UAE, Malaysia, Texas/US and Brazil.

• An in-depth look at profiles of more than 6,000 energy sector supply chain companies.

• Make smarter decisions by targeting your offering to international developers/operators and contractors matching your capability with international energy projects.

RIO DE JANEIRO

KUALA LUMPUR

Member’s services

www.supplymarine.com.br

SUPPLY MARINE, founded 25 years ago, began its activities as a maintenance and repair company for HVAC-R systems and equipment and today consolidates itself as an engineering company, offering integrated solutions based on the ‘one-stop shop’ concept, where the client obtains all compatible solutions for their processes in one place.

Committed to the constant improvement of its technical, operational and organisational structure, SUPPLY MARINE has been expanding its operations, with the engineering and projects area as the main growth driver. This is evidenced by the company’s investment in hiring highly qualified professionals and opening an exclusive office for this area.

The investment being made is directly reflected in the growth the company has been achieving in recent years.

SUPPLY MARINE has maintenance contracts with major companies such as Prio, Equinor, 3R Petroleum, MODEC , SBM Offshore and Constellation, and offers its solutions on a ‘spot’ basis to other companies in the oil and gas sector.

The contract with 3R Petroleum, concerning the revitalisation of the HVAC-R systems of FPSOs 3R2 and 3R3, formerly P-61 and P-63, perfectly summarises what SUPPLY MARINE proposes to offer its clients, as it includes maintenance and repair activities, as well as the manufacturing of air conditioning units applied to the offshore environment.

The solutions offered by SUPPLY MARINE include engineering and project, PMOC (Operation, Maintenance and Control Plan), encompassing the development, implementation, execution and management of refrigeration and air conditioning equipment, compressor re-manufacturing, air duct cleaning, hood cleaning, air analysis, equipment manufacturing and refurbishment, air conditioning unit rental and training.

SUPPLY MARINE is ISO 9001:2015 certified and is in the process of implementing ISO 14001 and 45001 certifications. The company also holds Petrobras CRC and is a member of ABRAVA (Brazilian Association of Refrigeration, Air Conditioning, Ventilation, and Heating).

The company has its headquarters and a dedicated projects office in Rio de Janeiro and operational bases in Porto do Açu and Rio das Ostras, which provides a significant logistical advantage.

As we work on solving clients’ problems, we are involved from the initial consultancy to the final project. Additionally, we also manufacture customised equipment certified by INMETRO for implementation in explosive atmospheres. At the moment, we have all the catalogues our clients need, and I believe engineering has been very instrumental in the evolution of our services.

Gilmar Soares, Engineering Leader, SUPPLY MARINE

Spotlight on technology

SPOTLIGHT ON SATURNAX 01: THE FUTURE OF WELDING

One of Serimax’s flagship innovations is the Saturnax 01, a bug-and-band FCAW welding system designed to work in harmony with welders. After welders complete the critical root pass, Saturnax 01 steps in to handle the mechanised welding work, allowing the welders to focus on more complex tasks. This technology ensures high-quality, consistent welds, increases productivity and reduces costs.

It’s a myth that mechanisation replaces welders. Saturnax 01 works hand-in-hand with skilled welders, enhancing productivity while maintaining a human touch in complex welding processes. This is Industry 5.0 in action – technology and humans working together towards sustainability.

The development and deployment of Saturnax 01 were driven by collaborative efforts across diverse teams, encouraging input from all levels of the organisation. This inclusive approach not only sparks creativity but also ensures that every employee feels valued and heard, it’s how Serimax works with its partners. By incorporating feedback and ideas from its workforce, it continuously improves its products and services.

The company’s digital training platform with Saturnax 01 empowers employees, providing them with the tools and knowledge to contribute to business improvement actively. This culture of continuous learning and innovation enhances overall employee well-being, making Serimax a dynamic and progressive workplace. Serimax has always been at the forefront of welding technology and Saturnax 01 is a testament to its commitment to innovation. This mechanised welding bug comes equipped with a state-of-the-art digital training platform. By leveraging cutting-edge technology, Saturnax 01 not only enhances welding precision and productivity but also upskills local resources. This digital training platform ensures that operators, regardless of their initial skill level, can quickly adapt and excel, filling a critical market gap. The adaptability of Saturnax 01 allows it to be used in various positions and environments, making it a versatile and indispensable tool in welding projects, especially in the challenging terrains of the Highlands. This innovation has positioned Serimax as a leader in field-oriented welding (FOW) delivery. Saturnax 01 exemplifies Serimax’s dedication to environmental responsibility. It increases efficiency, minimises material waste and reduces the carbon footprint of welding operations. Its digital training platform empowers local communities with the skills needed for high-quality welds, reducing travel emissions and fostering economic growth.

New EIC members

NEW PRIMARY MEMBER

Aqua Safety Showers International Ltd

Redgate Road

South Lancashire Industrial Estate Ashton-in-Makerfield Wigan Greater Manchester WN4 8DT UK

Contact Janet Waine, Managing Director

Telephone +44 (0)1942 318 096

Email janet@aqua-safety.com

Web www.aqua-safety.com

Aqua Safety Showers International Ltd is a worldleading, independently owned UK manufacturer of emergency safety showers and eyebaths with over 50 years’ experience in the safety shower industry.

Its products are manufactured to the latest ANSI Z358.1-2014 and BS EN 15154:2019 standards. The company is accredited with ISO 9001; ISO14001 and ISO45001 certification.

Aqua Safety Showers International Ltd offers high quality products designed specifically for onshore and offshore areas, that will meet both technical and commercial requirements, making it a company at the forefront of the emergency safety shower industry.

NEW PRIMARY MEMBER

Perpilion (Malaysia) Sdn Bhd

Unit E-20-1B, Level 20 Icon Tower (East Wing) No 1, Jalan 1/68F, off Jalan Tun Razak 50400 Kuala Lumpur Malaysia

Contact Aina Azami, Business Development Manager

Telephone +603 4815 1989

Email aina.azami@perpilion.com.my

Web

https://perpilion.com.my/

Perpilion (Malaysia) Sdn Bhd is your trusted partner in engineering and asset management excellence. Since 2014, it has been delivering topnotch services in maintenance, reliability, integrity and operational readiness.

The company’s expert team operates across Australasia, Southeast Asia, China and Africa, providing comprehensive solutions from concept design to end-oflife management. It is dedicated to driving operational efficiency, ensuring regulatory compliance and offering cost-effective strategies.

Perpilion prioritises innovation and client success, making it the preferred choice for businesses worldwide.

NEW GLOBAL MEMBER

Toll Group

5 Clementi Loop Level 3

Singapore 129816

Contact Lailah Soon, Senior Vice President Global Business Development, TGF Projects

Telephone +65 6462 2288

Email lailah.soon@tollgroup.com Web www.tollgroup.com

Toll Group does more than just logistics – it moves the businesses that move the world. The company’s 16,000+ team members can help solve any logistics, transport or supply chain challenge – big or small. Toll Group has been supporting its customers for more than 130 years. Today, it supports more than 20,000 customers worldwide with 500 sites in 29 markets and a forwarding network spanning 150 countries. Toll Group is proudly part of Japan Post.

As clients’ logistics needs grow more complex and international, they require the dedicated support of a truly global crossborder project solutions team to go beyond routine operations. Toll Global Projects works with clients to understand their specific

TUESDAY 3 JUNE WEDNESDAY 4 JUNE

Member news

Amarinth successfully executes £450,000 Harland & Wolff order

Amarinth, a world-leading, net zero designer and manufacturer of low lifecycle cost centrifugal pumps and associated equipment, primarily for the offshore and onshore oil and gas industries; nuclear and renewable energy generation; defence; desalination; process and industrial markets, has completed a substantial £450,000 order from Harland & Wolff to replace obsolete Girdlestone pumps during the refurbishment of a former Royal Navy vessel that is now destined for service with the Lithuanian navy.

Harland & Wolff, the British shipbuilding and fabrication company, secured a contract from UK Defence Equipment Sales Authority (DESA), awarded on behalf of the Lithuanian government, to refit HMS Quorn, the former Royal Navy Hunt-class minehunting vessel. This decommissioned vessel was acquired by the Lithuanian Ministry of National Defence from the UK Ministry of Defence in 2020.

The vessel was equipped with seven Girdlestone marine pumps that after 27 years in service had reached the end of their operational life. Due to the discontinuation of Girdlestone’s business and the obsolescence of their pumps, Harland & Wolff were advised to work with Amarinth for a reliable solution, leveraging Amarinth’s two-decades expertise in supplying marine pumps and services globally.

Obsolete pumps on vessels present significant challenges, often necessitating expensive modifications to accommodate the replacement pumps. In response, Amarinth engineered a range of marine pumps that seamlessly replace Girdlestone pumps with hydraulic and dimensional interchangeability. Furthermore, these pumps can offer enhanced performance and enable a straightforward transition without costly modifications to pipework and fittings.

A critical aspect of the project was the 32-week delivery schedule set by Harland & Wolff to align with the vessel’s refit window in Belfast, Northern Ireland. To control costs, Amarinth was also requested to conduct a strip and inspection of the old belt-driven Girdlestone pumps to see if any components could be reused. Following the assessment, it was decided the motors could be refurbished and so Amarinth collaborated with the original motor supplier on their overhaul to ensure the delivery schedule would be met.

Simultaneously, Amarinth commenced the manufacturing of the new pumps. For the harsh sea-water environment, marine pumps require robust materials and being for a naval vessel, the materials also had to be non-magnetic. Amarinth specified gun metal for the casings (a specific bronze alloy of copper, tin and zinc) and strong nickel aluminium bronze for impellers and other components. Leveraging its close partnerships with UK foundries, which enables Amarinth to secure high-quality castings in exotic materials, the timely production, assembly and testing of all seven pumps was achieved. The entire process concluded with the prompt delivery to Harland & Wolff in Belfast.

There will be a rapid growth in both technology in the coming years approach to risk management, particularly benefits of the new power systems.

DNV New Power Systems report: global grid infrastructure to double by 2050

DNV’s New Power Systems report finds that the pathway to a decarbonised energy system requires significant grid expansion, solutions for grid congestion and new business models to accommodate rising electricity demand and generation from wind and solar. The report also concludes that grid expansion is affordable, thanks to growing efficiencies in grid technology and the increased electricity load, with DNV expecting global grid charges passed to consumers to remain stable or decline in the long term.

Global economic growth and the electrification of transportation, heating and industry are primary drivers of the anticipated surge in global electricity demand. Additionally, the development of data centres, notably for AI applications, is also expected to contribute to this increase.

Amarinth marine pumps for Harland & Wolff during assembly

both information and operational which must be supported by a robust particularly on cyber security, to reap the Remi Eriksen, Group President and CEO, DNV

AI holds considerable potential to introduce efficiencies in both the provision and use of power.

By mid-century, electricity will constitute 37% of global final energy use, a substantial rise from 20% in 2023. This upswing is accompanied by a dramatic shift towards renewable energy, with wind and solar anticipated to generate half of the world’s electricity by 2040 and 70% by 2050. The decarbonisation trajectory predicts that nearly 90% of electricity will be sourced from non-fossil sources by 2050.

The research delves into evolving market mechanisms, highlighting the importance of flexible and resilient grids. Insights include strategies for market design, addressing congestion, costs trajectories and expanding transmission and distribution networks.

For more information or to access the full report, please visit www.dnv.com/publications/ new-power-systems-report

i For more information: www.dnv.com

ECITB Workforce Census achieves record response rate

The Engineering Construction Industry Training Board (ECITB) has thanked employers for taking the time to fill out its Workforce Census after it achieved a record response rate.

The ECITB has received data from 188 establishments, achieving a 63.5% response rate, up from 50% in 2021. Three years ago, the ECITB Workforce Census collected data on almost 50% of the workforce, but this figure has been massively surpassed this time with 85.3% of the workforce covered.

The significant response will enable the ECITB to build a clearer picture of future labour needs in the engineering construction industry (ECI) as data from the census directly feeds into the Labour Forecasting Tool (LFT). Thanks to the record response rate, the ECITB will be able to provide more precise, up-to-date data and make predictions on future workforce trends and labour demands for the benefit of industry.

The ECITB’s research team will now get to work analysing the extensive amount of data gathered from the questionnaire database. Reports on the findings of the census, including sectoral and regional views, will be published from January 2025. Visit www.ecitb.org.uk/research/census

Fulkrum announces relocation in APAC region

Fulkrum, a leading provider of inspection, expediting, auditing and technical staffing services, has announce the relocation of its AsiaPacific (APAC) headquarters to a new, larger office in Kuala Lumpur, Malaysia.

This strategic move comes in response to the company’s rapid expansion and significant personnel growth over the past few years, driven by a series of new clients and contract awards within the region. The new office space will support Fulkrum’s ambitious growth plans for the next five years, providing ample room for both current staff and future hires.

This expansion will not only enhance the working environment for the existing team but also allow for the recruitment of additional talent and continued development of the existing team to meet the increasing demands of clients across the APAC region. The new headquarters will serve as the central hub for all APAC operations, enabling Fulkrum to better co-ordinate activities and support clients more efficiently across the region.

Established in 2011, Fulkrum has evolved into a global enterprise operating in key regions worldwide, including the Americas, Europe and Africa, APAC and the Middle East.

i For more information: www.fulkrum.com

The Fulkrum APAC team in the new office in Kuala Lumpur

Glacier Energy investment by BGF to further shape energy services

BGF, one of the largest and most experienced growth capital investors in the UK and Ireland, has announced a multi-million pound investment in Glacier Energy, joining Averroes Capital as investors in the business.

BGF took a minority stake in the Aberdeen-headquartered energy services company after following its growth and expansion into the broader renewables market for a number of years.

With the support of Averroes and BGF, Glacier Energy will now continue the rapid growth delivered in the last two years and is investing in additional manufacturing capacity and establishing a technician training academy. It will also pursue further strategic acquisitions.

Glacier Energy is a specialist provider of products, services and engineered solutions for a wide range of industrial and energy markets. Its core capabilities include heat transfer and pressure vessels, machining, welding and non-destructive testing (NDT) and inspection services. These specialisms are well suited to the energy transition and Glacier Energy has been instrumental in advancing in-demand hydrogen, carbon capture and energy storage technologies.

Founded in 2011, the business has completed 11 acquisitions and has been an early-mover in leveraging its engineering and technical expertise to support low-carbon technologies. It directly employs 220 people plus 20 contractors and is now recruiting further capacity.

Building on strong growth and to realise further ambitions underpinned by new investment, the company recently welcomed Nick Horler as non-executive chairman and Mark Ritchie as group CFO.

Nick joined following a longstanding executive career across the energy, oil and related infrastructure industries in the UK and US.

Alongside his new role with Glacier Energy, he is also non-executive chairman of Horizon Energy Infrastructure and Smart Meter Assets. Nick was CEO of Scottish Power until 2010, following which he has held several non-executive roles with the Royal Mail, Go-Ahead Group, Thames Water, UK Power Reserve and more recently ESP Utilities group.

The addition of Nick Horler and Mark Ritchie to the company’s board underlines our ambition. We have secured two of the best in the industry who will drive Glacier Energy to the next level.

Scott Martin, CEO, Glacier Energy

Mark is a member of the Chartered Institute of Management Accountants. Mark has over 20 years’ financial experience, ten years of which have been spent in board level roles in private equity backed businesses. Prior to joining Glacier Energy, Mark was CFO of RCapital portfolio company Richard Irvin FM and a key member of the management team that led the sale of the business to the RSK Group. He has worked in the energy sector for a significant part of his career, with CFO roles at ICR Integrity (Graphite Capital) and AIM listed energy engineering company Enteq Technologies.

McDermott announces strategic collaboration to advance local content in Sabah

McDermott and TAS Institute of Oil and Gas (TAS), the first integrated oil and gas training institute in Sabah, Malaysia, have announced the signing of a memorandum of understanding (MoU) for co-operation on research and development, training, capacity building and institutional development.

McDermott is the first large multinational energy service provider to partner with a local training organisation in the Sabah region.

This collaboration with TAS seeks to upskill the local workforce and enhance institutional capabilities, to position Sabah as a strategic hub for energy projects in Southeast Asia.

The initiative, borne out of a shared commitment to local content, was facilitated by LANDAS Gemliang, an industry provider of electrical instrumentation solutions in the region and existing TAS partner.

It was formalised at the opening ceremony of the 11th Sabah Oil, Gas and Energy Conference and Exhibition and also has the support of the Sabah Oil and Gas Services Council, for the commitment to local content in the region.

Left to right: Nick Horler, Non-Executive Chairman; Scott Martin, Group CEO and Mark Ritchie, Group CFO

Colleagues recognise the NRL Group as a Great Place To Work®

Engineering recruitment and contracting specialist the NRL Group has proudly announced its official certification™ as a Great Place To Work ®, a prestigious recognition based on direct feedback from its employees. An incredible 97% of employees agreed the NRL Group is a great place to work, substantially surpassing the 54% average of UK businesses.

Certification™ is a significant achievement, backed by validated and anonymous feedback from employees that is collected through Great Place To Work®. As the global authority on workplace culture, Great Place To Work® utilises its rigorous, data-driven For All™ methodology.

Securing this employee endorsement demonstrates NRL’s commitment to nurturing a supportive and engaging work culture. The results from the comprehensive survey, conducted as part of the certification process, highlight high levels of satisfaction and wellbeing within the company. Other stand out statistics included 99% of workers feeling warmly welcomed on joining the business, and an impressive 95% feeling a sense of pride when they look at what they accomplish.

For over 40 years, the NRL Group has provided supply chain solutions to the engineering sector, building a reputation for excellence, compliance and trustworthiness. The longevity of service amongst the NRL Group’s workforce, with 27% of surveys completed by longstanding employees who have been with the business for over a decade, is a direct reflection of a workforce who see the business as a place they can grow and develop their careers.

STATS Group posts record trading results

STATS (UK) Ltd (STATS) has posted record trading results in 2023 with revenues increasing to £74.7m while EBITDA earnings rose to £12.1m, its latest annual accounts show.

The pipeline technology company increased revenues by 26% while earnings rose 33% compared to 2022.

Headquartered in Aberdeenshire, Scotland, STATS’ principal activity is the provision of pressurised pipeline isolation, hot tapping and plugging services to the global energy industry.

The group employs 440 staff globally in the UK, Canada, US, Abu Dhabi, Kingdom of Saudi Arabia, Oman, Qatar, Malaysia and Australia.

In the Middle East, STATS was engaged on Saudi Arabia’s largest ever subsea isolation project and recorded significant growth in key markets including Qatar and the United Arab Emirates.

In the United States, the company continued to broaden its customer base with notable expansion in supplying products and services to the offshore market, while in Canada, which is the group’s primary fabrication hub for North America, it delivered the fourth phase of a major intervention contract in support of gas distribution network upgrades throughout British Columbia.

The successful delivery of a large diameter subsea isolation project in Malaysia and completion of the first Remote Tecno Plug scope in Indonesia underpinned expansion in Asia, while the setting up of a new entity in Australia signalled the group’s commitment to responding to a growing customer base.

For more information visit the STATS Group website.

TÜV SÜD: technical programme released for Global Flow Measurement Workshop 2024

The Global Flow Measurement Workshop (GFMW) is pleased to release the main plenary technical programme for the 2024 event.

Sessions across the three days will cover single phase, multiphase, CCUS, hydrogen, emissions and digital developments. There will also be two panel discussions, one on CCUS and the other on flare emissions, poster presentations and technology breakout sessions.

The GFMW, taking place in Aberdeen on 22-24 October, will bring together individuals from the flow measurement supply chain – operators, service companies, manufacturers, consultants, regulators, researchers and standards bodies – to discuss industry issues and explore solutions. There will also be ample opportunity for networking and further discussions during refreshment breaks and social programme.

New for this year is an Early-Career Delegate Ticket which includes a halfday flow metrology and measurement training course immediately before the main workshop. Aimed at those in the early stages of their career, the course will help to provide context and information on the topics that will be discussed in detail throughout the following days at the conference. It is also hoped to encourage a new cohort of professionals that will bring new ideas and thinking to the industry.

For more information please visit www.tuvsud.com/en-gb/events/ global-flow-measurement-workshop

Voith performed well in the first half of the year despite continued major uncertainties in the markets. In particular, we were able to significantly improve cash flow and profitability. This means that Voith remains in a resilient position operationally and has the necessary resources to invest in its future. Dr Toralf Haag, CEO, Voith Group

Voith Group gets off to a good start in fiscal year 2023/24

The Voith Group performed well in the first six months of the current fiscal year 2023/24 (1 October 2023 to 31 March 2024) despite major uncertainties in the markets. The company’s focus was on further improving profitability: Voith was able to increase both the operating result and the net income in the reporting period. Net liquidity and orders received also improved.

As forecast, Group sales amounted to €2.64bn, which was slightly lower than in the previous year (€2.75bn). At €3.62bn, orders received were significantly higher than in the previous year (€2.95bn) – in particular due to a major order won by the Group Division Voith Hydro. Accordingly, the orders on hand reached a record level of €8.13bn as of 31 March 2024 (previous year €7.02bn).

The operating result (EBIT) improved again in the first half of the year to €129m (previous year €123m) – as did the net income at €38m (previous year €29m). The cash flow from operating activities (ONCF) showed a clearly positive development and amounted to €159m, compared to €35m in the same period of the previous year.

Voith continues to invest in climatefriendly technologies. In the area of mobility, alternative drive solutions are being moved forward, particularly in the field of hydrogen. In April of this year, Voith HySTech GmbH was founded. As an expert in carbon composite materials combined with many years of experience in industry and the automotive sector, Voith has a high level of knowledge in the field of hydrogen tank systems.

On this basis, a ready-to-install plug & drive hydrogen storage system for heavy-duty vehicles was developed. The integrated 700-bar hydrogen tanks have had the road approval required for marketing in Europe since the end of 2023.

In January 2024, Voith realigned its climate protection strategy and committed to the Science Based Targets initiative (SBTi). The goal is to make further progress in reducing greenhouse gas emissions. Voith is also committed to the ten globally applicable principles of the Global Compact, which includes the areas of human and labour rights, diversity and anti-corruption.

In the first six months, the Group Division Hydro recorded an increase in sales of 4% compared to the previous year at €587m. Orders received rose to €1.51bn resulting from a major order in West Africa. At €6m, the operating result was stable, but not yet satisfactory.

The Group Division Turbo increased its operating result to €48m (previous year €33m). Sales amounted to €977m (up 2%), while orders received fell slightly to €1.03bn (previous year €1.05bn).

In the second half of the current fiscal year 2023/24, Voith expects volatile markets and a global economy that will continue to be characterised by high interest rates and low economic growth. Nevertheless, Voith expects to achieve its targets for the fiscal year and is sticking to its targets for orders received, sales and earnings.

Wood to optimise hydrogen storage for Centrica’s Rough field

Wood, a global leader in consulting and engineering, has been awarded a contract by Centrica Energy Storage (CES) for the redevelopment of the UK’s Rough field in readiness for future hydrogen storage.

The Rough reservoir, located in the Southern North Sea, has been used to store natural gas safely for over thirty years and has the potential to provide over half of the UK’s hydrogen storage requirements.

The front-end engineering design (FEED) contract, awarded to Wood, entails new pipelines, a new unmanned installation, as well as onshore injection facilities at the Easington Gas Terminal, is the first step in making the field hydrogen ready. The contract award creates around 50 new roles in the UK.

CES recently announced their ambition for the Rough field to become the largest long duration hydrogen storage facility in the world however, a final investment decision for the Rough Redevelopment project is still dependent on a government support model that would underpin gas storage investment in the UK.

Wood is a global leader in consulting and engineering, delivering solutions to critical challenges in energy and materials markets. The company provides consulting, projects and operations solutions in 60 countries, employing around 35,000 people.

i For more information: www.woodplc.com

Social media round up

AEG Power Solutions introduces IGBT industrial UPS system Protect 8 PLUS

We want to use every opportunity to connect with our members, so please follow us on Twitter (@TheEICEnergy) and connect with us on LinkedIn –EIC (Energy Industries Council)

Below you’ll find a selection of some of the exciting EIC activities and useful industry information we’ve shared through our social media channels.

AEG Power Solutions (AEG PS), global provider of power systems and solutions for all types of critical and sustainable applications, has introduced a new range of uninterruptible power supply (UPS) systems, which feature a full IGBT architecture and industrial-grade build quality to provide a safe power backup to protect refining and petrochemical industries, transportation infrastructures, manufacturing and other critical businesses against all power disturbances.

EIC (Energy Industries Council)

EIC CEO Stuart Broadley says: “It’s time for Government to listen to the Energy Supply Chain.” Read our latest flagship magazine #EnergyFocus here https://lnkd.in/eNnCXDV4

Protect 8 PLUS supports a standard three-phase input and is available as single-phase or three-phase output from 10 to 40 kVA, with 216 Vdc or 384 Vdc battery voltage. By the end of the year, it will also support 60 to 120 kVA in both configurations.

EIC (Energy Industries Council)

Join us at EIC Connect Energy USA on 23 October at the Ion District in Houston! BOOK NOW to network with industry leaders https://lnkd.in/d72zyUa5

Thanks to its IGBT rectifier, the system offers a high input power factor of up to 0,99 and very low harmonic current rejection on the input side (THDi) which makes it a perfect fit in situations where the UPS is supplied by a generator set or to avoid harmonic perturbations of loads connected to the upstream busbar.

EIC (Energy Industries Council)

New webinar: North & Central America Market Update Series – US Market Update. Free for EIC members. SIGN UP NOW https://the-eic.com/EICTV

This results in substantial savings on the sizing of the upstream network. The bi-directional rectifier also enables several battery capacity tests feeding back into the grid without using the bypass line, requiring additional load banks or affecting the load.

With the Protect 8 PLUS, AEG Power

Events calendar LIVE events

EIC Regional Awards Middle East Queen Elizabeth 2, Dubai

ADIPEC Energiser 2024 The Club, Abu Dhabi

EIC CONNECT Energy USA 2024

Opportunities in Drilling Sector with SLB Macaé, Rio de Janeiro

EIC Regional Awards North America

and Power

UK’s Nuclear Future

ADIPEC

ADIPEC 2024

EIC

Global Events and Campaigns

Global events update

This summer the Global Events and Campaigns team has been busy planning and developing our portfolio of events and partnerships.

Last month bookings opened for our brand-new event Bankable Energies that is taking place on 2627 February 2025. Join us as we bring together the global investment community, key project developers, policymakers and regulators to discuss the global shift needed to attract investment and drive projects forward. An early bird offer is available until 31 October, giving you 20% off delegate passes. If you are interested in partnering with us for this event, get in touch to discuss how your company can get involved, with packages available from as little as £1,200+VAT.

Exhibition and sponsorship opportunities are also now open for Energy Exports Conference, taking place on 3-4 June 2025 in Aberdeen, Scotland. This event will bring together projects from across the globe to showcase the opportunities to the UK supply chain. Why not partner with us and have your brand showcased to companies globally. Packages start from £550+VAT.

This month we have our first webinar in our Opportunities in Europe series, focusing on Hydrogen Opportunities in the Netherlands. Join us on 3 October as we hear about projects in Europe’s leading green hydrogen market. Other topics in the series include Opportunities in Oil and Gas in Norway on 14 November and Opportunities in Offshore Wind in Germany on 6 February 2025. Partnership packages are available for individual webinars from £2000+VAT, or discuss partnering with us for the full series.

If you are interested in any of our partnerships please get in touch with the team global.events@the-eic.com

Jo Campbell Director of Global Events and Campaigns jo.campbell@the-eic.com

Jo Campbell

INTERNATIONAL TRADE

After a successful WindEnergy Hamburg, the International Trade team is looking forward to returning to Hamburg later this month to host the UK Pavilion at Hydrogen Technology Expo Europe.

Previously held in Bremen, Hydrogen Technology Expo Europe has moved to its new home in Hamburg to allow for the expansion of this fastgrowing show which is now the world’s largest suppliers’ trade fair for hydrogen technologies, materials, components and engineering solutions.

Taking place on 23-24 October the event will bring together the entire hydrogen value chain, focusing on solutions for low-carbon hydrogen production, efficient storage and distribution and diverse applications across stationary and mobile sectors.

With over 15,000 attendees from around the globe and more than 800 exhibitors, this event is set to be a hub of innovation and collaboration.

The UK, recognised for its pioneering role in hydrogen technology, will have a strong presence, showcasing its expertise and commitment to achieving net zero emissions by 2050.

UK companies, known for their extensive experience in the hydrogen sector, are in high demand. The UK government’s robust support for hydrogen, alongside significant investments in research, development and infrastructure, has positioned the nation as a leader in the global hydrogen market. Hydrogen Technology Expo Europe offers a unique opportunity for businesses to establish relationships with leading developers and the global supply chain.

The concept of hydrogen as a clean and renewable energy source is not new, but challenges remain. This year’s expo will focus on overcoming these hurdles to propel hydrogen into mainstream applications.

Europe is gearing up with 309 hydrogen production projects planned or in development by 2030, with an estimated CAPEX value exceeding US$121bn. The UK leads in the number of proposed projects, while Germany is on track to become a major hydrogen producer and importer, with a target of 10GW by 2030.

The UK Pavilion will feature over 15 innovative companies renowned for their contributions to the hydrogen industry. Participating companies include: Abtech, AFT Fluorotec Ltd, Advanced Propulsion Centre UK, Element Materials Technology, Finecast Foundry, Flexitallic, Green Tweed & Co, LoneStar Fasteners Hydrobolt Ltd, Pall Corporation, Scottish Development International (SDI), Seetru Limited, Solartron ISA (SISA), Sterling Therman Technology Limited, Oxford Innovation Services Ltd and John Crane UK Limited.

The EIC invites you to visit the UK Pavilion located in a prime position at the Hamburg Messe und Congress GmbH in Hall A1 to explore how the supply chain’s latest innovations and technologies can benefit your company.

Camilla Tew, Director, International Trade camilla.tew@the-eic.com

The UK Pavilion at Hydrogen Technology Expo Europe 2023

UK news

EIC NATIONAL

We are delighted to share news of the finalists for this year’s National Awards Dinner in London, taking place on 10 October at the Marriott, Grosvenor Square.

Honouring companies of all types and sizes in the energy supply chain, over 350 members of the energy sector supply chain will gather for an evening of celebration and glamour, where winners of each of the categories will be announced and presented with a prestigious World Energy Supply Chain Award #WESCAs

Kim Stephen

Our thanks once again to our independent judges who reviewed the success stories members shared during this year’s Survive & Thrive report process – which can be found here www.the-eic.com/MediaCentre/ Publications/SurviveandThrive – to whittle it down in each category. An unenviable task.

In addition to the 15 categories listed, winners of our Rising Star category, which is run in partnership with Robert Gordon University, as well as Company of the Year will be announced on the evening.

Congratulations once again to all our finalists, and good luck on the night. We look forward to raising a glass to you all on the evening. Kim Stephen, Regional Director, UK kim.stephen@the-eic.com

COLLABORATION

Bilfinger

Calgavin

ECITB

EthosEnergy

Forsyths

RelyOn Nutec (Denmark)

Vysus

CULTURE

ICR

Relfex Marine

Score

STATS

DIGITAL

ABB

Alderley

asset55

AVEVA

DNV

F H Bertling

Turner & Townsend

DIVERSIFICATION

Asstra

Atmos

BMT

Forsyths

Modutec

NRG Solihull

OGC

Proeon

Special Piping

ENERGY TRANSITION

ABL UK

Ducatus

Element Materials

Schneider Electric

Siemens Energy

Venterra

Wartsila

Wood

ENVIRONMENTAL

SUSTAINABILITY

ARC Marine

Clariant

Genesis Energies

ICR

Kent

VWS West Veolia

Wartsila

EXPORT

Klippon Engineering

Lloyds Register

Proeon

Safelife

TenzorGEO

INNOVATION

AAL Shipping

IMI

Intertec Hess

Oceaneering

Sensia

Walter Tosto

Wartsila

OPTIMISATION

AIS UK

Armstrong

Deepsea Tech

Eaton Crouse Hinds

Lonestar Fasteners

Rain for Rent

Score

PEOPLE & COMPETENCY

Airpac Rentals

deugro

Ellis Patents

Ponticelli UK

Royal Dutch LV Shipping

Samuel Knight

SPP Pumps

RESILIENCE

Bilfinger

Glacier

S3 ID

Serimax

Sulzer (Alba) GT Aero

SCALE UP

ERSG

Fulkrum

Global Maritime

NRL

Securex

Venterra

WeConnect

SERVICE & SOLUTIONS

Applica

ASCO

Eldor

Intertec Hess

LRQA

Ponticelli UK

Samuel Knight

Serimax

Turner & Townsend

TECHNOLOGY

Atmos

Crowcon

NRG Solihull

Oceaneering

Rotork

Siemens Energy

Whessoe

TRANSFORMATION

AIS UK

RelyOn Nutec (Denmark)

TUV Rheinland

TUV SUD Energietechnik

Wartsila

Wood

Middle East news

Regional update

I hope that you are strapped in as the final quarter of the calendar year includes the biggest show in the energy calendar, ADIPEC, taking place from 4-7 November 2024. EIC will once again be host to >125 exhibitors in the UK pavilion, in Halls 8, 12 and14, where we will have our ever-popular industry panel sessions and contractor briefings. In the weeks leading up to the event join us for our ADIPEC Energiser on 21 October and our first ever welcome breakfast on Monday, 4 November, to kickstart what is sure to be another eventful week at the world’s largest energy show.

Regional news

bp partners with Iraq to develop Kirkuk’s oil and gas reserves

bp has initiated negotiations with Iraq to develop the Kirkuk oil and gas fields, with a deal expected by early next year. The agreement includes commitments to invest in oil and gas, introduce solar energy and expand exploration activities.

Prior to this we have lots to keep you occupied and networked across the region. Following the launch of our Survive & Thrive VIII report, we are honoured to have 33 finalists competing across 12 award categories for our recently rebranded World Energy Supply Chain Awards (WESCAs), at our Regional Awards which will once again take place on the illustrious QE2, Dubai on Thursday 17 October. This event is open to all and is not to be missed. For those interested in participating in Survive & Thrive IX, which will lead into next years regional awards, watch this space as interviews will commence soon.

A special thanks to those of you who joined us for last month’s KSA Open Day where we launched KSA SupplyMap, alongside our updated KSA Country Report; and our Business Opportunities With Technip Energies in Oman, illustrating the opportunities across the region.

Our inaugural EIC Regional Technology Showcase was a resounding success, bringing to the fore the range of innovation across the energy spectrum. Having started my career in a technology role within the industry, I understand the challenges and rewards that come with this territory and we were delighted to provide a platform to a broad and engaged audience. We plan to build on this and are looking into events in Qatar, Kuwait and across Africa in the months ahead, alongside the dates for our returning EIC Connect KSA and UAE events in 2025.

The recently concluded EIC Connect Kazakhstan provided an eye-opening view of the opportunities within the country, thanks to exceptionally insightful presentations. If you missed out and are curious about the prospects in Kazakhstan, our team is more than ready to fill you in with all the details.

For the golfers amongst us we have launched this years EIC Christmas Cracker Golf Day, taking place on Thursday 12 December at the Abu Dhabi City Golf Club. Spaces are limited, so ensure your spot today.

Ryan McPherson

Regional Director, Middle East, Africa, Russia & CIS ryan.mcpherson@the-eic.com

The development will focus on the Baba and Avanah domes and three adjacent fields operated by Iraq’s North Oil Company. This move is part of bp’s strategy to streamline and enhance its operations, contributing to Iraq’s efforts to overcome power shortages and modernise its energy infrastructure.

Masdar collaborates with TotalEnergies on sustainable aviation fuel (SAF) initiative

Abu Dhabi’s Masdar has partnered with TotalEnergies to develop a project focusing on sustainable aviation fuel (SAF) derived from methanol produced via green hydrogen. This initiative, highlighted during a successful test flight at the COP28 climate conference, aims to decarbonise the aviation and maritime sectors by transforming carbon dioxide and green hydrogen into green methanol and SAF.

The project underscores the broader commitment to reduce aviation-related emissions, with the UAE targeting to supply domestically produced SAF to its national airlines by 2031 as part of its strategy to become a regional hub for low-carbon aviation fuel.

Forthcoming

Ryan McPherson

Asia Pacific news

Regional update

September 2024 was an eventful month for EIC APAC, as the team successfully organised and managed the UK pavilion at the Oil and Gas Asia (OGA) conference in Kuala Lumpur from 25-27 September 2024.

In addition, a networking event was hosted in Kuala Lumpur, aimed at engaging with existing member companies and recruiting new members within the Asia Pacific region.

OGA 2024, held at the Kuala Lumpur Convention Centre, is recognised as the region’s leading oil and gas event, bringing together exhibitors from the global oil and gas industry. This year, the EIC hosted several companies within the UK pavilion, including Hi-Force Limited, Vulcanic, Opito, Walter Frank and many others.

In conjunction with OGA, EIC APAC hosted a cocktail networking reception on 24 September 2024 at DEEP BLUE at THE FACE suites, Kuala Lumpur. This event provided a platform for EIC members and industry peers to connect with regional and global energy players attending or participating in the OGA 2024 Exhibition and Conference.

EIC also participated in the Petrochemicals Sustainability Conference (PSC) hosted by MPA in conjunction with OGA.

On 27 September, Neil Golding, EIC Director of Market Intelligence, served as a panellist in Session 8 – Hydrogen Economy: Voice from the Industry: Opportunities & Challenges, alongside representatives from Gentari, Sarawak Energy and Air Liquide. Neil presented insights into global activities within the hydrogen sector, highlighting the enablers and challenges associated with advancing these developments.

In October 2024, EIC APAC will host two significant events aimed at fostering collaboration and driving progress in the energy sector: Meet the Energy Players in Malaysia and Singapore.

The first event, Meet the Energy Players in Malaysia, will take place in the second week of October in conjunction with Clean Energy Transition Asia (CETA) 2024, as part of IGEM. CETA brings together public and private decision-makers to advance milestones in the clean energy transition by integrating both the clean energy and hydrocarbons sectors. This initiative promotes a transition bridge strategy, ensuring a just, secure and affordable transition. The collaboration between EIC and CETA is focused on driving impactful change and shaping the future of energy in Asia.

To conclude the month, EIC APAC will organise Meet the Energy Players in Singapore during the Singapore International Energy Week (SIEW). These networking events are designed to connect key stakeholders in the energy industry, offering valuable opportunities to forge new partnerships, explore collaborative ventures and accelerate business growth in the rapidly evolving energy market.

This approach highlights EIC APAC’s commitment to supporting the energy transition and enhancing collaboration across the sector.

Azman Nasir Head of Asia Pacific azman.nasir@the-eic.com

Indonesia to provide new power capacity to Sulawesi

The Ministry of Energy and Mineral Resources (ESDM) has announced that it will redirect natural gas from the Makassar Strait to Palu where it will be used to power a greenfield 1,800MW gas-fired power plant in Sulawesi. The power plant is intended to support the smelter hub in Sulawesi and around 337MMscfd of gas will be allocated, thanks to the Donggi Senoro natural gas contract which will be active in 2027.

PTTEP announces FID is nearing for Lang Lebah

PTTEP has announced that it plans to take on final investment decision (FID) by end of 2024 for its Lang Lebah CCS project and Arthit CCS following its completion of FEED works. First injection is expected to be in 2029. It is understood that the operator is evaluating bids for contract awards for the central processing facility, wellhead platforms and pipelines.

Keeping you up to date with energy news from around the world

Azman Nasir

North and Central America news

Regional update

With just a few weeks to go, its not too late to register and/or sponsor the EIC’s flagship regional event, EIC Connect Energy USA 2024. This year we welcome confirmed companies

Amanda Duhon

ConocoPhillips, GE Power Conversion, Bechtel, Subsea 7 and Kent.

Taking place on 23 October 2024 at the Ion in Houston, EIC Connect Energy USA will serve as the go-to-platform allowing the supply chain to engage, identify and discuss business opportunities in the US energy market. Register today and do not miss the opportunity to experience high level leadership panels, operator and EPC procurement briefings and one-to-one meet the buyer meetings.

Don’t forget to join us for one of our upcoming online and/or in-person events this Fall. On 5 November 2024 the 2024-2025 Market Update series will continue with a virtual event hosted via GotoWebinar covering the US GoM Decommissioning Market. This event will welcome EIC’s very own team of analysts and will be open to EIC member and non-member registrations. As a reminder, the 2024-2025 Market Update series is open to sponsorship. If you or your company is interested in becoming a Global Digital Supporter and would like to learn more about the profile-raising opportunities available, please click here

With regards to in-person events, EIC members will have the opportunity to visit the Petrofac offices on 12 November 2024 as part of our North & Central America 2024-2025 Business Briefing series. This event will allow only EIC members to network and hear from Petrofac as it discusses major activities open to new suppliers, key messages to vendors regarding vendor onboarding qualification, framework/master service agreements and much more. Seats are very limited, so do not miss your opportunity to attend. As a reminder to our non-members, to learn more about the benefits of becoming a member, including the opportunity to attend member-only events such as the 2024-2025 Business Briefing series, please email houston@the-eic.com

Finally, we are delighted to introduce you to the newest member of the EIC North & Central America team, Madison O’Malley, business development manager. Madison is based in Louisiana and eager to engage with EIC members on the ground. If you are an EIC member with a presence in Louisiana, refer your Louisiana colleagues to madison.omalley@the-eic.com to ensure that they are getting the most out of their EIC membership. Amanda Duhon

VP & Regional Director, North & Central America amanda.duhon@the-eic.com

USA 23 October 2024 • Houston

Energy

Upcoming events

EIC Connect Energy USA 2024

Wednesday 23 October 2024, Ion, Houston

Market Update Series: US GoM Decommissioning Market Tuesday 5 November 2024, GotoWebinar

North & Central America Business Briefing Series: Petrofac Tuesday 12 November 2024, Houston

North & Central America 9th Annual Clay Tournament Wednesday 19 February 2025, Houston

Regional news

DOI announces US$775m for orphaned well cleanup

The Department of the Interior (DOI) has announced US$775m in funding for 21 states to clean up orphaned oil and gas wells as part of the BidenHarris Bipartisan Infrastructure Law, with the financing included in the US$4.7bn allocated for plugging orphaned wells. States are required to measure methane emissions, assess water impacts and prioritise wells affecting disadvantaged communities. The deadline to apply is 13 December 2024, with funding ranges determined by previous allocations. Pennsylvania could potentially receive up to US$152.8m, Texas US$119.5m and Ohio

US$86.6m. Alabama, with the smallest potential funding, could reach US$1.6m. If all states receive their maximum allocations, total funding could reach US$864m.

Forthcoming events

South America news

Regional update

October is a busy month for EIC in South America. We start with our latest initiative in Brazil, Minas Gerais Breakfast: Oil & Gas Opportunities with PetroReconcavo and Actemium, featuring a morning debate on the oil and gas market.

Our second edition of the Macaé Breakfast series is also coming up. On 8 October we invite you to an exciting discussion about drilling opportunities with SLB. This month’s Breakfast in Rio invites Yinson Production and Oil States for a discussion on deepwater opportunities and networking on 17 October.

Continuing our São Paulo Breakfast series, join us on 30 October to explore opportunities in renewables and power generation with Andrade Gutierrez and Petrobras.

We held our second edition of the Lunch: Women of Energy on 8 August and it couldn’t have been better. Our guest speakers, Larissa Sigiliano, from BW Offshore and Silvia Nunes Ruggeri, from Constellation Oil Services, shared their inspiring experiences on leadership and were joined by a group of outstanding women to celebrate and network.

Regional news

Low-carbon hydrogen law approved by President Lula

Brazil’s President Lula has sanctioned H2 bill No 14.948/2024, which establishes a new legal framework for clean hydrogen in the country, in what is referred to as the ‘Hydrogen Act’. The new law represents an important milestone for Brazil’s energy landscape, as the country already has several competitive advantages to become one of the most relevant economies for this new industry globally.

The enacted bill encompasses the pillars for the regulatory framework for low-carbon emission hydrogen, targets the development of public policies and provides the baselines for tax incentives for the industry. However, these tax incentives were not fully approved, as the US$3.3bn tax credit programme was vetoed and will be regulated separately through bill No 3,027/2024, yet to be reviewed in congress ahead of further approval by the executive branch.

Some of the many topics worth highlighting were the fact that, to generate equality in the area, companies have a fundamental role in taking affirmative action and changing lives and that women in leadership positions have an even more important role in driving this change, not only for inclusive and humanitarian reasons, but also for economic reasons.

In addition to the panel, all the women played an active role in the event through discussion circles where topics such as prejudice, salary disparity, lack of opportunities, mentoring, examples of female leadership and lack of global co-operation/networking were brought up. Our next lunch is scheduled for November.

Next month, we are also planning the Regional Awards Ceremony, join us for the most prestigious event of the year.

Clarisse Rocha, Director – Americas clarisse.rocha@the-eic.com

Perupetro launches bidding for onshore blocks in Talara Basin

Peru’s hydrocarbons regulator, Perupetro, has launched a bidding process for Lots I and VI, two onshore blocks in the Talara Basin, to sustain oil production in the country’s northwest area. The regulator is offering 30-year contracts to whoever presents the best exploration and exploitation programme. For the first lot, the minimum requirements include one exploration well, 32 development wells and 64 workover wells while the second lot demands one exploration well, 71 development wells and 33 workover wells. Currently, Perupetro operates these blocks under a temporary agreement, with production of 500b/d in Lot I and 2,000b/d in Lot VI. Proposals are expected by 10 February 2025, with contract awards scheduled for the following week.

Clarisse Rocha

Left to right: Clarisse Rocha, Larissa Sigiliano and Silvia Nunes Ruggeri

DNV

Empowering energy industry players to navigate AI with

confidence

How is DNV thriving?

Story type

#digital (main category)

#service & solutions, #transformation

Benefits

▸ DNV aligned with the market’s AI needs and promoting adequate adoption.

Saffy Ahmad

Graham Faiz ESG Consultant Head of Digital Energy

DNV has demonstrated its deep commitment to supporting energy industry stakeholders in integrating AI technologies. By bolstering its internal expertise and actively engaging with 850 experts from across the UK, the independent assurance and risk management provider has successfully encouraged AI adoption and best practice implementation, underpinned by the widespread uptake of its highly humanised, methodical standards.

The challenge - Operating as an unbiased provider of engineering and technical consulting services, DNV serves the energy industry, which includes the oil and gas, transmission and distribution, low-carbon energy and renewables markets. The company believes that working together and sharing ideas across industries is key to solving common problems, and it dedicates five per cent of its annual revenue to research and innovation initiatives.

With a presence in over 100 countries, DNV offers access to more than 700 industry standards and recommended practices, fostering the development and maintenance of best practices within the sector.

Of course, it is vital that standards and best practice recommendations remain relevant – a challenge that DNV is tasked with staying on top of. Recognising the accelerating pace of change within the energy sector, driven by rapid technological advancements, the company undertook a strategic re-evaluation, working to align more closely with the needs of the market and its customers through effective forward planning.

The solution - In recent years, the challenges and opportunities around AI have become increasingly prevalent in all sectors, with adoption steadily growing within the energy industry. Recognising the significance of this trend, DNV has prioritised the steering of its strategies to support industry stakeholders in integrating AI technologies into the energy sector, helping them to leverage potential benefits, such as cost-effectiveness, operational efficiency and counteracting emerging skills gaps.

To ensure alignment with market demands, DNV conducted extensive engagement ac-

tivities involving key stakeholders, such as industry representatives, policymakers, governmental bodies and financiers. This included interviews with thought leaders to gauge the sentiments and trends surrounding AI adoption, with discussions spanning both risks and opportunities.

Internally, DNV also conducted workshops to assess potential customer pain points and determine how best to leverage its existing expertise to address emerging AI-related challenges. DNV possesses a significant understanding of the implications of AI for various industries – thus, it is focusing on ensuring that its workforce is well-informed and well-equipped to engage with AI-related initiatives.

Indeed, these efforts have spanned multiple areas. In the UK, for example, DNV’s energy experts are now trying to bring AI closer to home, showing how it can be a highly valuable, safe and secure solution in several energy market applications.

The advisory and certification provider also continues to hone its communications plans in line with this, working to highlight the opportunities that AI can bring to energy. In alignment with this, it has focused on humanising published standards. For example, its recommended practice published in August 2023 was issued in the form of a methodology, facilitating easier adoption.

DNV promotes the message of opportunity at industry events. This included Offshore Europe in Aberdeen, where it held a press event that shared key AI headlines and findings. DNV also keeps strengthening its own skills and knowledge, adding 15 positions to relevant teams in this space in the last two years.

By combining the knowledge, insights and sentiment of 850 UK-based energy experts spanning everything from oil and gas to power grids to renewables, DNV has been able to more effectively align with market needs and promote AI adoption and best practices in a highly relevant manner.

Indeed, this has proven to be one of DNV’s most successful campaigns to date. Since the publication of DNV-RP-0671 – Assurance of

▸ Inclusion of 15 staff in the AI space in the last two years.

Key findings

For industry

▸ Inspire people as an industry through humanisation and storytelling.

▸ Yield emerging talent pool in the UK so that digital skills and interest in the energy industry make an impact.

For government

▸ Regulation is key and the UK is lucky in this sense. We need more of the same.

DNV at a glance:

Key products and services: advisory, monitoring, verification and certification services.

Main industries served:

▸ Oil and gas – 30.6%

▸ Conventional power – 21%

▸ Hydrogen and carbon capture –19.2% ▸ Offshore renewable energy – 9.1%

Onshore renewable energy – 5.9%

Energy storage – 2.2%

▸ Others (energy): energy efficiency, markets & regulations, power grid, substations – 7.4%

▸ Others (non-energy): buildings, data centres, industrial plants – 4.5%

Headquarters: Oslo, Norway

Year established: 1864

Number of employees: 15,000

Revenue: £1.8bn

AI Enabled Systems in September 2023, there have been over 400 downloads. The organization has successfully aided many of its customers in navigating a highly challenging and complex industry trend – one that will be pivotal to the success of energy firms moving forward.

Ducatus Partners

Adopting a fresh, structured approach to support private equity firms in the energy transition arena

Story type

#energy transition (main category)

#service & solutions

Benefits

▸ Client now has hydrogen at its core thanks to Ducatus’ work.

Allister Graham

Mark Ingram Manager Partner Senior Partner

How is Ducatus Partners thriving?

Recognising the opportunity to support different clients in the low carbon arena as the sector grows the energy mix and reduces a primary reliance on oil and gas, Ducatus Partners has grown its service offerings to specifically support clients expanding their businesses into new forms of energy. With new structures in place, the company is better able to utilise its best-in-class research and extensive knowledge of the global energy sectors to help clients explore these new energies and technologies, as well as with specific executive hiring.

The challenge - Founded in 2016, Ducatus Partners has proven itself in helping oil and gas companies to source top leadership talent for their exploration, drilling, and production operations. Leveraging its specialist team with formidable knowledge of the sector, the firm’s track record includes work with operators, service providers, advisors and financiers across the entire value chain.

Indeed, Ducatus Partners possesses deep knowledge and understanding of downstream, midstream and upstream operations, underpinned by a long history of delivering successful executive search mandates, board searches, talent mapping and other services to clients. In addition to large corporates, the firm also works with smaller, tech-driven enterprises which are private equity-backed and in high growth phases.

In recent years, Ducatus Partners has observed more and more investors moving back into the energy space, with a particular focus on low carbon technologies as energy transition trends gather momentum. Meanwhile, larger corporates in the oil and gas market are making moves to decarbonise.

The opportunity for Ducatus to play its part in these shifts was clear, the key question being how it could add the most value.

The solution - Because Ducatus is itself a private equity-backed company, it held a natural advantage over competitors because it lives and breathes the PE world and knows how high-growth, fast-moving enterprises work. This, combined with its corporate oil and gas

experience, meant it was naturally well-placed to step into the energy transition arena.

Since 2022, Ducatus Partners has refined and formalised how it works with private equity and PE-backed companies, organisations which make up almost two thirds of its customer base. Previously, it would offer initial advice on an informal basis and often pro-bono basis. Now, the process is more structured, with advice and services being presented more concisely to customers.

Often this involves extensive research on a role from scratch, with Ducatus Partners mapping out all data and insight concerning candidates in a particular space. Over time, the company is able to build up detailed and deep networks of executive talent, this ‘universe of candidates’ underpins the advice its gives to clients.

Thousands of searches have been completed to date. For example, for one of the largest low carbon investors in the US, Ducatus Partners conducted a major research exercise to map the emerging hydrogen sector across both North America and Europe, a process which saw it compile information on 500 companies. From this, Ducatus Partners mapped over 1000 executive and board member candidates, with a top 50 shortlist being created. The private equity client met with these top 50 and went on to make direct investments as a result, as well as dramatically growing their understanding of the sector and key players.

This is just one example of hundreds. In addition to the investment support, Ducatus Partners will often go on to support in the executive team growth of the new portfolio, further bolstering successful outcomes for the client. Indeed, since Ducatus Partners started out in 2016, it has gone on to work with hundreds of organisations of all shapes and sizes and completing thousands of searches and advisory projects along the way. Now, with a newly structured proposition for PE firms in place, the company is much better positioned to make the most out of its clients’ activities and interests in the decarbonisation and energy transition space.

▸ Hundreds of organisations supported and thousands of searches and advisory projects executed since foundation.

Key findings

For industry

▸ Encourage collaboration and learn from others, including totally unconnected industries.

▸ Surround yourself with great people, it pays dividends.

For government

▸ Emphasise the energy sector as being critical for everything – it needs help, not to be villainised.

Ducatus Partners at a glance:

Key products and services: executive search and advisory services.

Main industries served:

▸ Hydrogen – 30%

▸ Oil and gas – 20%

▸ Carbon capture – 10%

▸ Offshore renewable energy –6.5%

▸ Energy storage – 6%

▸ Onshore renewable energy – 5%

▸ Conventional power – 3%

▸ Nuclear power 2.5%

▸ Others (energy) – 7%

▸ Others (non-energy): mining, plastics, manufacturing – 10%

Headquarters: Houston, US

Year established: 2016

Number of employees: 20

Revenue from exports: 66%

Eaton Crouse Hinds

Embracing change through consolidation and digitisation

Martin Freeman EMEA Commercial Director

How is Eaton Crouse Hinds thriving?

After underdoing change on several fronts, Eaton Crouse Hinds is now better able to serve a broader pool of customers operating across a wide variety of energy-related markets. By consolidating 11 businesses, investing in state-of-the-art manufacturing, digital sales channels and onboarding new channel partners, the company is now much better placed to respond to market events and move with the energy transition.

The challenge - As a global producer and supplier of products for the energy, industrial, utility, harsh and hazardous industry, among others, like many, Eaton Crouse Hinds faced an enormous amount of disruption during the COVID pandemic.

With economic activity brought to a standstill and travel restrictions preventing people and products from moving from A to B, supply chains around the world were disrupted in unprecedented ways.

While Eaton Crouse Hinds was able to keep its factories open, the disruption prompted a discussion around how the company could accelerate its strategy to become more responsive to market change, both from a technological and organisational perspective. The company knew it needed to consolidate and simplify its business to better serve clients – the question was, when and how quickly could this happen?

The solution - Indeed, prior to the outbreak of COVID, Eaton Crouse Hinds was already aware of the need to consolidate the 11 businesses operating under its umbrella. Having listened to customers, the leadrership knew it had to find ways to simplify its offering to provide a more streamlined and less disrupted service, all while being able to increase market share.

Core functions such as HR, operations and finance were the first to be centralised, with commercial teams now undergoing a similar process.

Central to this has been clear communication of a vision for people to rally behind, coupled with the creation of opportunities for employees to enhance their skills and career development in line with the newly shaped business. Feedback loops were established, with changes and adjustments being imple-

mented in a continuous improvement cycle. While the pandemic certainly did not help in terms of operational disruption, it did provide a catalyst to drive change faster, especially in the area of digitisation and utilisation of technology within standard business processes.

Online digital sales increased significantly. Here, Eaton Crouse Hinds was able to support that uptick business by ensuring it held the correct inventory profiles to enable quick deliveries, developing digital interfaces and significantly improving its online presence. In the post-pandemic period, much of this digital buying behaviour has remained in place alongside the return of business derived through direct project procurement.

The establishment of new channel partners has also been highly successful. Not only are these partnerships opening up new opportunities in different markets, but they are adding incremental and local value to the company’s end customer supply chain.

Alongside this, staff satisfaction levels have increased with employee development perspective. Many colleagues have progressed through the ranks into more senior roles, a higher proportion of which are now being held by females.

From a revenue perspective, the trajectory is also looking promising. Turnover has recovered beyond pre-pandemic levels thanks to an average annual growth of 17% recorded between 2020 and 2023.

Now, with a consolidated organisation which can draw on the collective strength provided by its various specialist entities, Eaton Crouse Hinds is much better positioned to move forwards with its vision.

Indeed, the company is guided by its commitment to do business ethically, to operate sustainably and to help its customers manage power � both today and well into the future. By capitalising on the global growth trends of electrification and digitalisation, it is accelerating the planet’s transition to renewable energy sources, helping to solve the world’s most urgent power management challenges, and building a more sustainable society for people today and future generations.

Story type

#transformation (main category)

#optimisation, #service & solutions

Benefits

▸ Turnover going above and beyond pre-pandemic levels.

▸ Average annual growth of 17% recorded between 2020 and 2023.

Key findings

For industry

▸ To read outside your own discipline is key to achieving success.

▸ Problem solving with a customercentric approach to improve product and services.

For government

▸ Simplify policy. Less complexity would increase competition and enhance economics.

▸ Implement cross-party energy strategy that will last for the next 50 years.

Eaton at a glance:

Key products and services: power management services.

Main industries served:

▸ Oil and gas – 71%

▸ Offshore renewable energy – 2%

▸ Hydrogen – 2%

▸ Others (energy) – 2%

▸ Others (non-energy): industrial, commercial and institutional – 23%

Headquarters: Cleveland, US

Year established: 1911

Number of employees: 100,000

Revenue: £23.2bn

ECITB

Leading industry learning to build resilient energy workforces

How is ECITB thriving?

Andrew Hockey CEO

Through its Connected Competence programme, set up in collaboration with major engineering construction service companies, the Engineering Construction Industry Training Board (ECITB) is providing a means for sector-wide collaboration when it comes to safety and skills. Set up in 2021, its impact has already been widely acknowledged.

The challenge - For decades, the ECITB has been the statutory skills organisation for the UK engineering construction industry. Its remit is to develop and qualify the workforce across numerous disciplines and entry levels, including in the energy sector as it transitions towards a net zero footing.

The need for the ECITB’s services has never been greater. According to its Labour Forecasting Tool, 40,000 extra workers will be needed across the engineering construction industry by 2028.

A further challenge centres around safety and technical competency. Evidence of workers’ technical competence is varied. While workers are required to undertake basic safety training before being deployed to safety-critical sites, this does not necessarily translate into a demonstration of their ‘current’ technical competence.

Incidents such as Piper Alpha, Bacton Gas Terminal and Deep Water Horizon were all avoidable. Serious managerial failures were attributed to these events, including the lack of diligence around assurance of competence standards.

The solution - In partnership with eight major service companies, the ECITB developed and launched Connected Competence as a means of addressing these challenges.

Formally adopted as an industry-wide framework in 2021, it initially focused on aligning base technical competence standards across both temporary and full-time employed oil and gas workers.

In short, Connected Competence streamlines assessments and costs, expediting personnel deployment while enhancing safety by ensuring ongoing technical competence. It establishes a standardised approach benchmarked against

National Occupational Standards, requiring workers to demonstrate technical proficiency every three to four years – achieving this standard earns individuals a digital badge, affirming their skills online and facilitating transferability among energy industry employers.

The initiative is endorsed by major service companies and asset owners in the UKCS upstream oil and gas sector, not least because it assures uniform technical competence akin to sector-specific safety training. Furthermore, Connected Competence is supported by a client charter signed by prominent industry players such as Shell and BP, affirming its status as the industry standard.

In just a few short years, the impact of Connected Competence has been tangible. Participating employers have shown a strong dedication to safety by working together to establish a standardised level of technical competence for site-based trades. Combined, their efforts have contributed to the recognition of ongoing technical competence, promoting a proactive commitment to safety among both employed and transient workers.

Instead of competing solely on competence, the founding members of the initiative have demonstrated continuous support to foster an aligned and transparent approach to technical safety. This collaborative effort is facilitating the development of a transferable and more resilient skills pool throughout the energy industry. Critically, Connected Competence will be a requirement as a base technical standard in all future tendering activity across 20 asset-owner organisations in the UK offshore industry.

To further underline its impact, an external consultancy produced a report analysing the benefits delivered by Connected Competence in relation to improved safety standards, a reduction in lost time incidents, increased confidence of workers operating safely, and reduced risk of business interruptions due to incidents and accidents. Two-thirds (67%) of contractors expect to see a reduction in waste, increased efficiency, and productivity gains as a result of Connected Competence.

So far, a total of 20,963 digital badges have been issued to workers since 2021, which represents around a third of the UK’s off-

Story type

#people & competency (main category) #collaboration

Benefits

▸ ECITB ready to expand Connected Competence to other sectors.

▸ Nearly 21,000 badges issued to workers since 2021.

Key findings

For industry

▸ It is vital we collaborate to ensure we have the skilled workforce the industry needs to carry out key projects.

For government

▸ Lay the groundwork to ensure the workforce is competent to deliver the just transition.

ECITB at a glance:

Key products and services: qualifications and training.

Main industries served:

▸ Oil and gas – 37%

▸ Nuclear – 35%

▸ Conventional power – 5%

▸ Renewables – 3%

▸ Others (non-energy): chemicals, food, pharma, water – 20%

Headquarters: Kings Langley, UK

Year established: 1964

Number of employees: 100

Revenue: £30m

Revenue from exports: 2%

shore workforce. Looking ahead, the ECITB’s goal is to expand the Connected Competence initiative across other energy sectors such as nuclear, wind, onshore refining and chemical industries. This will better enable skills to be transferred across sectors, and thus support workforce resilience and diversification as the just energy transition process continues.

Eldor UK

Story type

#service & solutions (main category)

Benefits

▸ Cybersecurity-certified engineers from renowned industry authorities including TÜV Rheinland and ISA.

Carl Townsend Managing Director

How is Eldor UK thriving?

Eldor UK has found a way to thrive in the challenging oil and gas market by developing a valuable cybersecurity offering. Recognising the growing cyber threats facing operators, the company invested in building expertise through training engineers and consulting closely with clients. It now provides customisable cybersecurity services such as secure OT network architectures, employee awareness training programs, developing robust incident response plans and disaster recovery solutions as an integrated part of its cybersecurity management system contracts.

This value-added cybersecurity solution has allowed Eldor UK to deepen relationships with existing clients and win new business. By proactively addressing a critical industry need, the firm has strengthened its market position and differentiated itself from competitors.

The challenge - Moving to the UK and setting up shop in Aberdeen in 2016, Norwegian firm Eldor has established solid roots in the upstream and downstream oil and gas sectors. Operating as Eldor UK, the company is an expert in the interface between engineering and production of automation solutions and is a system integrator for both new and legacy ABB products.

However, it has not all been plain sailing. To thrive in this market, Eldor UK knew it had to continuously find ways to work smarter and offer greater value to clients, many of which are facing their own headwinds around issues such as windfall taxes and the knock-on effect this has on defining operating field life investments. In addition, the company also sought to find new clients and growth opportunities. The solution - To this end, a key focus has been on developing a cybersecurity offering. Cyber-attacks have become an increasing menace for oil and gas operators in the UK. Indeed, the growing digitisation and interconnectivity of industrial control systems have rendered these critical infrastructure assets more susceptible to sophisticated cyber threats.

Malicious actors, including nation-states and cybercriminals, have targeted oil and gas companies with ransomware, phishing campaigns and advanced persistent threats. These at-

tacks can disrupt operations, compromise sensitive data, and result in substantial financial losses. Robust cybersecurity measures are therefore crucial for protecting against these evolving cyber risks, and can take the form of secure network architectures, employee training programmes, and comprehensive incident response plans.

Recognising the opportunity to add value, Eldor UK has built out an offering designed to help oil and gas operators remain vigilant and proactive in safeguarding their OT systems from cyber threats.

This has involved investment in developing knowledge among its engineering through expert certifications, and clients consulted on their pain points and needs to help determine how cyber protection could be added into its system upgrade services.

Building out cybersecurity capabilities to better serve clients reserve

Now, this is sold to customers as a value-add feature and is included in all contracts and services, with the first contract involving cyber protection being secured in 2022. In 2023, another significant milestone was reached as Eldor UK engineers attained specialised cybersecurity certifications tailored specifically for industrial control systems (ICS) from renowned industry authorities including TÜV Rheinland and the International Society for Automation (ISA). This achievement underpins a commitment to excellence and reliability, solidifying the company’s reputation as a trusted cybersecurity partner.

In addition to providing the appropriate programs, Eldor UK also provides in-person and remote basic awareness for offshore personal and core competency training, as well as the development of Cyber Security Management plan for customers. Such training is customisable depending on the client and runs on their operational setup simulator – this is a facet which has proven popular, with Eldor UK working closely with customers to help them achieve HSE compliance.

With this new string to the bow successfully added, Eldor UK has been able to find that additional piece of the jigsaw. Its offering enhanced, the company can look forward to both extending its relationships with clients and winning over new players in the oil and gas market.

▸ New and customised set of services already securing new contracts.

Key findings

For industry

▸ Keep it simple and always have open eyes and ears.

▸ Engage with your audience on a personal level and be friendly.

For government

▸ Don’t abandon mature assets.

Eldor UK at a glance:

Key products and services: engineering services.

Main industries served:

▸ Oil and gas – 100%

Headquarters: Stavanger, Norway (Group), Aberdeen, UK (Eldor UK)

Year established: 2006 (Group), 2016 (Eldor UK)

Number of employees: 50 (Group), 10 (Eldor UK)

Revenue: £2.1m (Eldor UK)

Revenue from exports: 15%

Element Materials Technology

Proactively repositioning to capitalise on H2 opportunities

Mark Eldridge Director of Hydrogen

How is Element Materials Technology thriving?

Element Materials Technology is taking noteworthy strides to capitalise on current and future hydrogen market opportunities. Having committed US$10m to organic investments and acquired several key companies since 2022, it has already seen a significant expansion and enhancement in its expertise and capabilities, standing it in good stead as it works to support its clients’ energy transition and digital transformation journeys.

The challenge - Established in 2010, Element has quickly become a leading global provider of testing, inspection, and certification services for a diverse range of products, materials, and technologies in advanced industrial supply chains.

With over 60,000 customers and 9,000 employees spanning 280 locations in 31 countries, the company’s annual revenues exceed a staggering US$1.5bn, with the energy sector representing roughly 10% of its total income. Despite this, Element has not been immune to the pressures that companies have faced recently. It has been confronted with the pressing needs of the energy transition, the company actively working to diversify its operations to improve its prospects both within and outside of hard to abate sectors, such as oil and gas and aerospace.

Critically, Element recognised that it needed to remodel its energy-centric footprint. To do that, Mark Eldridge was brought on board as the company’s Director of Hydrogen.

Before then, hydrogen had been a market that the company had limited engagement with. However, forecasting that as much as one fifth of the global energy market will be driven by hydrogen in the future, Element has been working to proactively align its operations in the sector to spearhead the global transition and capitalise on future opportunities.

The solution - After achieving board sign off, the hydrogen strategy was kickstarted in 2022, with Element using market projections over the next 10-15 years to outline its own hydrogen ambitions. Since then, the firm has set about implementing a multi-pronged progress programme to expand capabilities on several fronts.

The firm has invested US$4.5m in upgrading its existing laboratory capabilities to support fracture mechanics and non-metallic polymer permeation testing to more closely align with the needs of the hydrogen market, specifically to meet growing demand from European and UK gas networks, wide scale hydrogen infrastructures, and the characterisation of materials exposed to hydrogen in a variety of applications. Elsewhere, the firm has upgraded its Malvern EMC testing laboratory for large vehicle testing and has invested in its safety teams to ensure they are well equipped to handle the specific challenges that hydrogen presents.

With such improvements, Element is now actively running testing programmes relating to different temperatures, pressures, cryogenics to improve understanding of systems and products exposed to the unique properties of hydrogen. Investments into liquid helium capabilities at its Milan facility are paying dividends as they allow liquid hydrogen temperatures to be experienced by products as a precursor to more complex and costly liquid hydrogen systems.

The last two years have also seen Element complete several acquisitions to bolster its capabilities – notably into broad digital engineering and hydrogen. The company acquired its 50th enterprise in 2023. One notable recent acquisition in this period includes Filton Systems Engineering – a UK-based Airbus spinoff specialising in the development of aircraft fuel and engineering systems and has been key to Element’s movement into demonstrator gaseous and liquid hydrogen, with an on-site liquefier at its airside facility in Gloucestershire. Further, the purchase of NTS in 2022 in the US has also proven fruitful – an organisation with a large portfolio of 26 labs, including an ex-rocket facility in California with large scale liquid hydrogen testing facilities.

These assets, combined with concerted internal efforts to improve pressure and temperature testing capabilities, have given Element a solid foundation. Between liquid helium and fracture mechanicals capabilities in its Milan and UK factories, its aerospace capabilities, and plans to grow its system engineering and digital modelling capabilities, the firm is well placed for long term success.

Story type

#energy transition (main category)

#collaboration, #digital, #innovation

Benefits

▸ Several new teams implemented throughout the company’s structure.

▸ Solid ground to become a prominent player in the hydrogen market.

Key findings

For industry

▸ Best of times to be in the energy industry: if you want a challenging problem to solve, this is it.

▸ Engage from day one to get the real value.

For government

▸ Jumping from nothing to ultimate solution is hard, prone to going wrong – we need meeting of minds in the middle.

▸ Collaborate with the industry.

Element Materials

Technology at a glance:

Key products and services: leading global provider of testing, inspection, and certification services.

Main industries served:

▸ Oil and gas – 9%

▸ Nuclear power – 1%

▸ Others (non-energy) – 90%

Headquarters: London, UK

Year established: 2010

Number of employees: 9,000

Revenue: £1bn

Revenue from exports: 85%

To date, Element has organically invested US$10m in its move into hydrogen in addition to numerous notable acquisitions. It has put together several new teams spanning hydrogen safety, electrolyser and fuel cell capabilities, and regulatory specialists covering key markets such as the UK, Germany, Netherlands and France. And its hydrogen footprint is set to grow further.

With its vision underpinned by a multi-year strategy, Element Materials Technology is one to watch as it goes from strength to strength.

Ellis Patents

A multi-pronged, multi-year strategic transformation

How is Ellis Patents thriving?

Kelly Brown Sales Director

Ellis Patents continues to pursue an ongoing strategic transformation, dedicating substantial resource to optimise project engagement, refine communication channels, and bolster customer interactions to closely align with client needs as it delivers innovative cable cleats of the highest standard to an ever-expanding global project landscape.

The challenge - North Yorkshire-based Ellis is renowned as the world leader in the design and manufacture of electrical cable cleats for industrial applications.

Founded in 1962, it now has 70 employees helping it to achieve annual revenues close to £10m, the firm exporting its market-leading products in markets spanning everywhere from Norway to Australia.

With a rich history of 60-plus years of tried and tested solutions backed by continual product innovation, the company has established a reputation for quality, trust and reliability in the cable cleat market.

However, in recent years, to cement their position, the firm knew they couldn’t rest on brand reputation alone and recognised the need to review its future strategy and direction.

This opportunity came in 2022 during an executive reshuffle. With the previous Managing Director becoming the Chair of the company, Operations Director and Deputy Managing Director Danny Macfarlane stepped into the shoes that had been left vacant, and alongside a new Senior team, brought a vision of strategic change to the table.

The solution - Macfarlane set about implementing a multi-faceted strategic reinvigoration that was focused on several key areas.

Talent was a priority within this, the firm opting to strengthen its team to bolster its core competencies. Several other experienced industry names were brought on board, while the team was also expanded to ensure all clients were receiving the right support. Further, marketing activities were brought in house for the first time, providing the enterprise with direct control over any significant changes in messaging.

Ellis recognised the need to develop their

market intelligence systems and focus on communications with client decision makers. To address this, the firm sought to find ways to bridge the knowledge gap, settling on a shift towards cradle-to-grave involvement in projects that would enable it to assess client needs and obtain key insights more effectively.

The changes have been gradual, with key appointments driving key step changes in each of the firm’s strategic priority areas.

The appointment of Chris Davies as a Project Specification Manager in 2022, for example, has proven significant in enabling the firm to engage more actively with UK-based EPCs on their global projects. In January 2023, Georgette Donoghue was then brought in as the new Marketing Manager, tasked with aligning marketing to resonate more closely with the company’s target audience. To help further the firm’s international ambitions, additional export sales managers were brought on board in the shape of Isabelle Gantier-Houston in November 2022 and Tom Rooney in January 2024.

Several innovations have also supported this strategic shift. For example, a new online tool developed in 2020 has enabled clients to develop their own short circuit calculations via the Ellis Patents website – this is due to be updated in 2024.

On the product side, the firm’s launch of its Pegasus Hanger solution and a new suite of four polymer cable hanger solutions in the last four years have proven key, serving to differentiate and broaden the company’s overall product offering.

With such significant improvements happening on all fronts, Ellis Patents has reaped the rewards.

Having improved project tracking capabilities, the organisation now monitors 30 different projects at any one time, its cradle-tograve approach proving crucial in informing future innovations and enhancing client successes.

This can be most notably seen in the form of a £200,000 contract secured with Aker Solutions. Having been involved early in the key offshore substation project, Ellis Patents was able to provide its expertise to influence the specification, with the client in turn coming back for a second package of work.

Story type

#service & solutions (main category) #people & competency

Benefits

▸ Contract worth £200,000 secured with Aker Solutions.

▸ Company on track to hit the £10m revenue milestone in 2024.

Key findings

For industry

▸ The energy industry is an exciting space to be in now. Embrace the challenges and experiences of the people around you.

For government

▸ Adopt a forward-looking view and commit to net zero.

Ellis Patents at a glance:

Key products and services: steel and aluminium cable cleats for single, multiple and trefoil applications.

Main industries served:

▸ Conventional power – 25%

▸ Offshore renewable energy – 20%

▸ Oil and gas – 15%

▸ Carbon capture – 5%

▸ Energy storage – 5%

▸ Others (non-energy): construction, data centres, plumbing – 30%

Headquarters: Malton, UK

Year established: 1962

Number of employees: 70

Revenue: £9.2m

Revenue from exports: 50%

With many similar examples paving a more promising path for the firm, its revenues have jumped from £5.6m in 2021 to £7.5m in 2022 and £9.2m in 2023. Given this trajectory, the opportunity for Ellis Patents to hit the £10m milestone in 2024 looks more than realistic.

Emerging EPC

Focusing on innovation and customer-centricity to overcome an array of industry challenges

Dr. John Loh Director of Operations & Strategic Development

How is Emerging EPC thriving?

Emerging EPC Sdn Bhd (EEPC) has diversified its offering, embraced new technologies and doubled down on its commitment to customers in order to overcome a complex and nuanced mix of internal and external challenges. Combined with its already-longstanding reputation as a safe and sustainable solutions provider, the company is now well on the way to being futureproofed.

The challenge - EEPC has been ably serving the oil and gas industry in Southeast Asia (SEA) since it was founded in Malaysia in 2006. During this time, the company has grown its reputation and customer base, although recent years have presented a mixture of external and internal challenges that it could not ignore.

The oil and gas industry has been extremely volatile, driven by fluctuating oil prices, geopolitical tensions, and global economic conditions. This volatility impacts project demand and investment decisions, while intensified competition necessitates differentiation and continuous enhancement of value propositions to win contracts and maintain market share. At the same time, global supply chain dependence exposes the industry to material shortages, logistics disruptions, and reliability issues, leading to delays, cost overruns, and inefficiencies.

Delays and uncertainties also arise from regulatory changes, client budget constraints, and geopolitical risks, disrupting schedules and straining finances, while recruiting and retaining skilled talent, especially in specialised areas, presents challenges that can affect project delivery and operational effectiveness. Alongside this, evolving regulatory requirements, particularly in health, safety, and environmental standards, also require adherence to mitigate risks and avoid legal or reputational consequences.

It is certainly a complex mix of issues. To overcome them, EEPC knew it had to implement a variety of innovative and transformative measures.

The solution - Such measures have, broadly, been delivered across three major strands, the first of which centres around the diversification of services. Here, the company expanded its portfolio to include services beyond traditional oil and gas, such as petrochemicals, pow-

er generation and semiconductors, a move which has helped to mitigate risks associated with fluctuations in specific sectors and provided new avenues for revenue generation.

The second focus area has been innovation and technology, with EEPC investing significant time and resources into research and development to enhance its capabilities and offer cutting-edge solutions to clients. This has involved embracing industry 4.0 technologies such as IoT, AI and data analytics, which has enabled the company to optimise operations, improve efficiency and deliver value-added services to customers.

Strengthening client relationships has been the third major priority. To help navigate through market uncertainties, EEPC has focused heavily on understanding client needs, providing personalised solutions and delivering high service quality. By fostering longterm partnerships based on trust, transparency and reliability, the firm has been able to benefit from enhanced customer loyalty and secured repeat business opportunities.

EEPC’s longstanding reputation for providing safe, innovative and sustainable solutions has also helped it through a volatile period.

Indeed, the company has a proud track record working with some of the world’s leading independent oil and natural gas exploration and production companies. One of those is Murphy Oil, for whom it solved a serious problem related to compressed air systems in 2012, a project which cemented EEPC’s position as an air compressor one-stop solution company in the region. The Murphy Oil platform at offshore Sarawak, Malaysia, had multiple brands of air compressors, specifically from Atlas Copco and Ingersoll Rand. After the OEMs’ own engineers identified no faults with the compressors, EEPC offered to investigate on a ‘no cure, no pay’ basis. The company’s engineer discovered the root cause of the problem, a faulty control valve design system, and successfully resolved the issue.

With this kind of track record to lean on, EEPC is now supremely well-positioned to bring its upgraded value proposition to even more customers in the SEA region.

This is being reflected in the financials, with 2023 seeing revenue of almost RM69m and profit of RM5.75m, up from 2021’s figures of RM46m turnover and RM2.3m profit.

Story type

#people & competency (main category) #digital, #diversification

Benefits

▸ Emerging EPC’s strategy is bringing value to customers in the region and revenue growth.

▸ Success in employee engagement, customer satisfaction and reductions in incidents and losses as well as awards win.

Key findings

For industry

▸ Focus on innovation, sustainability, teamwork, and digitalisation.

▸ Be agile and keep up with the latest technology and market trends since the energy sector is always evolving.

For government

▸ Promote sustainable initiatives, innovation, investments on infrastructure, address regulatory obstacles and enhance industry expertise.

Emerging EPC at a glance:

Key products and services: system integrator and solutions provider for the oil and gas industry.

Main industries served:

▸ Oil and gas – 95%

▸ Others (non-energy): general industry – 5%

Headquarters: Puchong, Malaysia

Year established: 2006

Number of employees: 73

Revenue: £1.04m

Revenue from exports: 15%

Alongside this, the company has also enjoyed success in the form of growing local and regional market share, boosted employee engagement and customer satisfaction, reductions in incidents and losses, and awards.

Thanks to its response to a series of tough challenges, EEPC is now far better placed to thrive in the longer term.

EquipSea

Taking risks in order to better serve an evolving, dynamic oil and gas sector

Andrade Pereira

Vitor Ramos

Cláudio José Evangelista

Story type

#people & competency (main category) #collaboration, #transformation

Benefits

▸ Turnover increase of US$6m in two years.

▸ Commercial and operational processes improved.

Key findings

For industry

▸ Be willing to take risks.

How is EquipSea thriving?

Recognising that the oil and gas market was evolving at pace, EquipSea refused to stand still. Making some bold strategic decisions following an evaluation phase with its clients, the company has built out a new ‘dream team’ that can better meet new customer demands. Coupled with operational and process-based improvements, the firm is now well placed to compete with players from abroad to fulfil the upcoming challenges of the oil and gas industry.

The challenge - EquipSea has already overcome an array of challenges stemming from the low tide of the oil and gas market, emerging stronger from a period of crisis thanks to its belief in the sector and Brazil’s ability to serve it. As a result, the firm now stands as the number one fabrication supplier of OneSubsea Taubaté and among the three most relevant fabrication suppliers of OneSubsea São José dos Pinhais (formerly Aker Solutions).

But to say that the past few years have been a breeze would be short-sighted. With the oil and gas sector continuing to evolve at speed, EquipSea has recognised the need to take risks to embrace the opportunities that such change offers.

The solution - In the middle of 2023, the company completed a strategic evaluation with its main client base to see how it fitted into their respective businesses, and where a new and more complex type of offering could add even more value.

It was an illuminating exercise, not least because it revealed which products, solutions and services provided it with a competitive advantage.

The evaluation also revealed where EquipSea needed to invest in human talent as it progressed through its diversification journey. This led to the building of what the company’s leadership describe as its ‘dream team’ – the heart of the business which, ultimately, will be responsible for the firm fulfilling its

ambition to become the best and biggest fabrication company operating in the energy sector in Brazil.

Commercial Manager CEO CCO

The dream team started with the commercial division to process new demands from clients. Quickly, this spread to other departments such as engineering, quality, and production.

Another critical bet to make the company more competitive was investing in supply chain capabilities to be ready for the new long-run demands the energy sector posed. This has helped the firm to manage and buy raw material in a more strategic way, as well as properly evaluate machinery acquisition. Given that competition is rough, coupled with high operating costs in Brazil, this has been a hugely significant move, enabling EquipSea to become among the most competitive fabrication players in the market.

Adding up new capabilities to its portfolio to better suit client needs in a changing oil and gas scenario has been no small undertaking. Indeed, such a transformative step was naturally met with some resistance among employees who did not see where they fitted in the transition – here, communication has been vital, with EquipSea investing time into explaining why the changes were necessary.

This aside, the strategy has already provided significant reasons for optimism. On the commercial side, the company now operates with a shorter evaluation time, meaning it can develop and submit proposals to clients more efficiently. On the operational side, more refined processes have emerged thanks to greater time being invested during project planning stages, a move which has cut down mistakes and increased the level of proactivity across the organisation.

All of this fed and keeps feeding into an outstanding revenue trajectory that already looks like as though it is trending in the right direction. The past two years have seen income increase by US$12m, with the US$18m recorded in 2023 representing a trebling of revenue from the US$6m generated in 2021. With its new plans and processes in place, EquipSea looks well-positioned to remain among the most competitive fabrication companies in Brazil for years to come.

▸ Understand the market you’re into to overcome clients’ expectations.

For government

▸ Review legal tax systems to simplify and reduce tax burden.

▸ Make the big financial institutions feasible and accessible for small and medium entrepreneurs.

EquipSea at a glance:

Key products and services: manufacture of welded, machined and coated parts and turnkey tested sets.

Main industries served:

▸ Oil and gas – 100%

Headquarters: Piracicaba, Brazil

Year established: 2017

Number of employees: 219

Revenue: £14.4m

Revenue from exports: 0%

Alexandre

ERSG

Sticking to its strengths following a tough pandemic period

How is ERSG

thriving?

Jim Ryan

CEO

Every business and business owner will make mistakes. For ERSG’s Jim Ryan, his mistake was venturing into the unknown world of data centre project delivery prior to the COVID crisis. However, the experience taught him and the company a valuable lesson – by staying true to its core capabilities and continuing with the organic growth plan which had worked well up until 2020, ERSG would begin to thrive once again. With new and exciting activity emerging in the Far East, and continued expansion of the Offshore Wind market in the US and Europe. 2023 was a record year for the business, and more growth is on the cards for 2024 and beyond.

The challenge - Set up in 2008, ERSG is an award winning, international leader in staffing services to the global renewable energy market, covering both permanent and direct hires, contract and freelance engagement and workforce solutions.

Its first decade in operation was spent growing organically and solidly, with new office openings representing hubs from which the firm offers its services to clients operating across a range of energy subsectors, including onshore and offshore wind, solar, marine, technology, transmission and distribution and power generation.

Not surprisingly, when the Covid pandemic arrived in 2020, ERSG faced an almighty challenge. Many worksites were forced to scale back or cease activities due to restrictions on the movement of people, while the structure of its ongoing scopes of work meant that the company lost control on projects and endured revenue losses.

Just prior to the pandemic, ERSG decided to venture into the world of data centres, setting up a line of business to provide technical service staff to data centre builds in Belgium, Denmark, and the UK, operating as a subcontractor/consultancy. The venture backfired, with CEO Jim Ryan learning many valuable lessons as he and the company decided to revert back to plan A, focussing on what ERSG does best – delivering staffing solutions to the renewable industry.

The solution - Plan A has involved building on ERSG’s already strong network of nodes around the world which are engaged in its core business.

Following its major clients into new markets, the company has set up bases in key offshore wind locations to support companies operating across the full life cycle of assets, including multi-national energy providers, project developers, cable manufacturers, steel fabricators, design and build service providers, surveyors and more.

Its mantra has been to focus on supporting and creating local jobs, tapping into local skills bases and delivering workforce solutions to both locally based and international companies. Growth has been organic, with the offi ce network growing out from its UK HQ from 2016 onwards. During this time, sites have been opened in the American cities of Seattle, Orlando and Boston, Germany, the Netherlands, Taiwan and, most recently, Japan. The latter represents a particularly exciting market for ERSG, not least because Japan is shifting away from nuclear power towards renewables such as offshore wind.

In addition, the company is working with Vestas on a resource process outsourcing (RPO) arrangement for sites in Taiwan, Japan, the US and South Korea (where ERSG expects to open its next office hub).

Momentum has continued to build at ERSG, through its vertical expertise approach and willingness to take risks to gain first-mover advantage, has grasped the nettle in its key markets. Staff retention is also high, with open and transparent processes helping to create a culture where collaboration is encouraged, and high performance rewarded. Every office opening has proven successful so far, with no sites closed even amid the challenges posed by the Covid pandemic. In monetary terms, 2023 was ERSG’s most successful year in operation to date in terms of revenues and profitability, with company turn-over hitting £175m. This is a marked uplift in 2022, which saw £150m revenue. Looking ahead, ERSG expects to grow its turnover by some 20% during 2024 expecting 50% to be generated from international offices. By sticking to its strengths, the firm has continued to plot a solid and sustainable path forward.

Story type

#scale up (main category) #export, #people & competency

Benefits

▸ Increase of revenue and profit amid the challenges posed by the Covid pandemic – no sites were closed.

▸ High staff retention, collaboration culture among employees, and high performances are being rewarded.

Key findings

For industry

▸ Focus on renewables – the demand for jobs in this area are increasing.

▸ Go for it, think big. Get the best people around you and leave your ego at the door.

For government

▸ We need to be less focused on the cost of green economy and more on support. Take steps to derisk and accelerate deployment of renewables by prioritising early investment in the grid and transmission infrastructure and move swiftly to streamline permitting processes. We will long-term benefits to net zero targets and cost benefits further down the line too.

ERSG at a glance:

Key products and services: staffing services.

Headquarters: Bromley, UK

Year established: 2008

Number of employees: 185 Revenue: £175m Revenue from exports: 76%

EthosEnergy

A OneEthos transformation journey to meet market needs

Ana Amicarella CEO

How is EthosEnergy thriving?

To better support clients on their energy transition and decarbonisation journeys, EthosEnergy has undergone a cultural transformation under the banner of OneEthos. In just a few short years, the company is smashing performance records and already looking ahead to the next chapter of its growth story.

The challenge - EthosEnergy is on a mission to help make energy affordable, available and sustainable around the world. Specifically, the firm delivers services and solutions for rotating equipment used in the power, oil and gas, industrial and aerospace markets through operations spanning over 100 countries.

However, fulfilling its mission has become more difficult in recent times due to a number of headwinds. These include the COVID-19 pandemic and knock-on supply chain challenges, geopolitical instability caused by conflicts, European gas price surges and policy ‘flip-flopping’ in the US. To overcome these pressures and be better positioned to help customers bridge the energy transition, EthosEnergy needed to embrace change and do things differently.

The solution - In 2020, the company launched its OneEthos transformation journey. In short, the strategy centres around an aim to revitalise a culture that places the customer at its core so that the firm can meet changing market needs.

New CEO Ana Amicarella knew EthosEnergy had the capabilities to thrive in the energy transition arena. As an independent services provider, it is able to provide support on all types of assets, regardless of the OEM in question. Its people are problem solvers at heart, and the idea of the cultural transformation was to position this expertise in a way that customers could feel comfortable approaching the company with bespoke issues.

Circularity has also been a key focus. Rather than prescribe new equipment by default, EthosEnergy seeks to fulfil client needs in the most sustainable way possible. On average, 80% of the parts it encounters are repairable, meaning it can help to avoid the production of unnecessary new components and the associated emissions.

A sign of EthosEnergy’s recent success is the breadth of its client base and the nature of the

relationships it builds with customers, with many viewing it as a strategic long-term partner.

For example, since 2018 the firm has been providing gas turbine and gas compressor equipment maintenance services to a major UK operator’s offshore platforms and onshore terminal. In line with net-zero ambitions, the customer has an approved plan to repurpose existing assets for carbon capture and storage, as well as hydrogen production, using a phased approach. The plan involves capturing and injecting CO2 into offshore wells, followed by a focus on hydrogen production. EthosEnergy’s role entails the maintenance of late-life equipment until its end of life, thus enabling the operator to execute its strategies effectively. Looking ahead, it will provide technical assistance for the client’s CO2 reduction initiatives, decommissioning of gas turbines, and the repurposing of older assets such as gas turbines and compressors where possible.

Additionally, as a municipality in the USA that aims towards its zero-carbon target, EthosEnergy is providing O&M services for its gas turbine power plants. To assist in the client’s goal, EthosEnergy conducted in-depth studies highlighting the feasibility of asset layup for swift reactivation if required, as well as the importance of reliability runs, performance tests, and preventative maintenance to minimise reliability risks during the crucial transitional phase. EthosEnergy’s proactive approach supports the client’s vision and helps them navigate the complex shift from fossil fuels to a zero-carbon future, ensuring reliable power delivery and cost-effective risk management throughout.

It is success stories such as these which are feeding into a broader positive trajectory for the company since it launched OneEthos. For example, 2023 was a record year in terms of financial and safety performance, while Q1 of this year was 50% ahead of budget. Alongside this, the company’s culture is much more cohesive with a better-balanced workforce in terms of age demographics and a strong retention rate of more than 90%.

The next phase of the transformation is now underway. Named ‘Turning on Tomorrow’, it is focused on providing even greater support to companies helping them bridge the energy transition gap while supporting them on their

Story type

#transformation (main category) #collaboration, #diversification, #energy transition

Benefits

▸ EthosEnergy’s success is proven by its record revenue growth.

▸ A strong company culture is helping EthosEnergy achieve the impressive mark of 90% staff retention.

Key findings

For industry

▸ Make sure you have a seat at the table but also use your voice when you have it.

▸ It is important to build a strong business culture.

For government

▸ Governments and policymakers need to be facilitators, enablers and catalysts for global collaboration. By fostering partnerships, facilitating the sharing of data and best practices and aligning policies, they can help accelerate progress within the energy transition.

EthosEnergy at a glance:

Key products and services: services and solutions for the power, oil and gas, industrial and aerospace markets.

Main industries served:

▸ Conventional power – 62%

▸ Oil and gas – 20%

▸ Others (non-energy): industrial, aerospace and defence – 18%

Headquarters: Aberdeen, UK

Year established: 2014

Number of employees: 3,700

Revenue from exports: N/A

decarbonisation journeys and, given how Q1 has unfolded, promises to be an exciting time for EthosEnergy.

ExcelTech Solutions

A tale of diversification and resilience in the face of industry turbulence

Hafriz Fayadh Bin Haji Musa Managing Director

How is ExcelTech thriving?

ExcelTech’s story is one of diversification and resilience. Initially heavily reliant on the oil and gas industry, the oil price plunge between 2014 and 2016 underscored the need to build capabilities and capitalise on opportunities in new markets.

Since then, the company has consistently developed its internal competencies to ensure sustained growth and survival. Now operating in diverse sectors such as renewables, telecommunications, and soon, cybersecurity, the company has proven successful in reducing dependency on a single industry and positioning itself for long-term stability and growth.

The challenge - ExcelTech Solutions Sdn Bhd is a dynamic and rapidly expanding Bruneian company providing tailored solutions for the energy industry. Specialising in onshore and offshore electrical and instrumentation works, as well as mechanical and civil projects, the firm has its roots deeply embedded in the oil and gas sector.

Founded in 2008, ExcelTech started with just three employees, taking nearly five years to secure its first contract. While this initial struggle might have deterred others, the company persevered, firmly believing in its strategies with a distinct determination to succeed.

In these early years, with Brunei’s economy being heavily reliant on oil and gas, ExcelTech initially saw no need to diversify beyond this sector. Observing the success of other local players reinforced this belief. However, the landscape shifted dramatically in 2014 when the oil market crisis hit, slowing the industry almost overnight.

Recognising the vulnerability of relying on a single, cyclical sector, ExcelTech’s leadership decided to adapt and explore opportunities outside the oil and gas industry.

The solution - As a result, the firm decided to shift away from its original strategy and explore business opportunities outside the oil and gas sector. This bold decision was unprecedented for ExcelTech, as the company had never ventured beyond its established domain. At that time, Brunei’s economy was almost entirely dependent on oil and gas, with little emphasis on energy transition or renewable energy.

In 2021, that outlook began to change. Indeed, the government began to encourage Bruneian companies to venture into renewables and digitalisation. Embracing this support wholeheartedly, ExcelTech really began to ramp up its diversification into alternative industries from this point onwards.

Since then, it has successfully diversified into the telecommunications sector, supplying and installing 400,000 utility meters across the country, a process which demonstrated the company’s ability to explore new markets effectively and, in turn, lead it towards the renewables segment.

The journey into new sectors hasn’t been without challenges. Gaining customer confidence and proving the firm’s capabilities in uncharted areas required overcoming significant hurdles. Additionally, a degree of trial and error was necessary to gain experience and establish contracts. Nevertheless, through perseverance and an unwavering commitment to diversification and futureproofing the business, ExcelTech has thrived. Having grown from three to 40 employees between 2012 and 2018, the firm has since blossomed further into an enterprise with 130 staff members, engaging in oil and gas, renewables and telecommunications.

Looking ahead, ExcelTech now plans to continue diversifying into new business area. For 2024, the firm is firmly focused on the cybersecurity sector and decommissioning, recognising the growing demand for these services in Brunei and its readiness to provide solutions. Additionally, it aims to establish presence in several other ASEAN countries.

With a broad array of future expansion plans and a proven track record of effective diversification, ExcelTech is poised to thrive for many years to come as a resilient and diversified enterprise.

Story type

#diversification (main category)

#people & competency

Benefits

▸ Company reached a staff of 130 members, soon to increase with expansions to other ASEAN countries.

▸ Cyber security and decommissioning to be explored in the near future.

Key findings

For industry

▸ Persevere despite challenging obstacles.

▸ Have a loyal and capable employee base – they are essential to the business.

ExcelTech Solutions at a glance:

Key products and services: onshore and offshore electrical, mechanical and civil works.

Main industries served:

▸ Oil and gas – 60%

▸ Onshore renewable energy – 20%

▸ Others (non-energy): telecommunications – 20%

Headquarters: Darussalam, Brunei

Year established: 2012

Number of employees: 105

Revenue from exports: 0%

EXS Synergy

Proving the value of patience with a dual-pronged diversification strategy

Fairuz Yahaya Managing Director

How is EXS Synergy thriving?

Electrical and instrumentation services specialist EXS Synergy’s strategic decision to diversify into new areas, has proven a stroke of genius. Indeed, its energy business has now grown 63% since 2020, and accounted for almost half of its overall revenue in 2023 – up from 19% in 2021.

In taking its time to define the right target markets, hire the right talent (61% of which are female), and identify its USPs in high opportunity segments, the firm is now well placed to continue deploying its innovative solutions to help address key industry challenges relating to net-zero.

The challenge - Renowned as a go-to provider for Explosion Protection solutions and Hazardous Areas services, EXS Synergy also provides associated Electrical and Instrumentation services including installation, inspections, maintenance, packaging, troubleshooting and logistics support.

EXS has spent the past decade adapting to rapidly changing energy market needs. Having initially started out supporting traditional oil and gas firms, the firm has had to innovate and diversify to mitigate the implications of compressed margins and growing competition from both new and established players.

Recognising that its USP would be wiped out if it stood still and let others pass it by, EXS has actively been working to establish itself in energy transition markets during the last three years. However, this hasn’t been without its challenges, the company having faced several hurdles in relation to slow cross-sector penetration.

The solution - Working to refocus its priorities, EXS set about employing a twin diversification strategy: strengthen its core business, while also expanding its capabilities and portfolio in new markets.

In bolstering its core activities, the organisation opted to expand its range of hazardous areas services, adding package assessment and certification, the construction and installation of electrical packages, and training to its offering. It also capitalised on its IECEx certification and competencies by offering specialised electrical services to highly regulated markets such as Australia. This market has proven to be particularly fruitful, with EXS securing contract wins on the Barossa FPSO and Scarborough FPU offshore projects.

Seeking to expand its expertise and equipment in relation to power, temperature control and new energy, EXS established a relationship with flexible energy specialist and fellow EIC member Aggreko in late 2020.

Through this partnership, EXS hired a product specialist to focus on the marketing and sales of its new portfolio. Initially efforts were focused on the oil and gas sector with this being familiar territory, but the company has since grown into several new verticals including electronics, plantations, semiconductors, and data centres.

Patience has proven a virtue during these diversification efforts. Recognising the steep learning curve ahead of it, EXS spent an entire year working to define its market and USP, speaking to many prospects and participating in several tenders to learn more about markets, supply chains and competitor offerings. Both EXS’s talent base and Aggreko’s support have also proven crucial, the former having been effective in driving the new portfolio forward, with the latter remaining on hand to offer key guidance and technical support.

By the end of 2021, EXS had become confident in its market positioning, and since then has been working to identify high quality prospects as it becomes more selective in its tendering activities.

Critically, the firm found that its generators are a perfect fit for activities demanding safety and reliability. Its load banks cut across sectors to ensure seamless testing and commissioning. Its Flare2Power technology answers immediate demand in net-zero ambitions. Its temperature control solutions help petrochemical and refining companies improve productivity. And its battery storage solutions provide much-needed bridges to plug new energy gaps between production, transmission and consumption.

One example stood out, with EXS Right-Sizing solutions helping an offshore operator in Malaysia’s North Malay Basin reduce operating costs and cut emissions by more than 50%, significantly helping the client towards their net-zero ambitions.

Leaning into its core competencies to bring such a broad variety of innovations to a several new sectors has been the key for EXS. As a result of its diversification strategy, the company’s energy portfolio contributed 19% to overall revenue

Story type

#diversification (main category)

#culture, #people & competency

Benefits

▸ Business and revenue growth in the last few years.

▸ Contract wins and cross-sectoral penetrations into petrochemical, data centres and electronics.

Key findings

For industry

▸ As Miguel Cervantes wrote in Don Quixote “don’t put all your eggs in one basket”, it is important to diversify your portfolio.

▸ Make a conscious effort to increase the quality of your network.

For government

▸ Policymakers should agree on one over-arching target, be consistent in setting policies to support this target, and ensure co-ordination between ministries to ensure proper implementation.

EXS Synergy at a glance:

Key products and services: electrical and instrumentation services in hazardous areas.

Main industries served:

▸ Oil and gas – 75%

▸ Onshore renewable energy – 0,6%

▸ Hydrogen – 0,4%

▸ Others (non-energy: plantation, data centre, semiconductor, port, manufacturing) – 24%

Year established: 2014

Number of employees: 70

Revenue: £1.7m

Revenue from exports: 26%

in 2021. In 2022, this weighting grew by 86%. And in 2023, the energy portfolio was deemed responsible for 45% of total turnover.

With the division growing quickly, EXS is now forecasting its energy activities to account for almost two thirds (65%) of group revenue in 2024 – testament to the value that the firm has been able to bring to the table through its well thought out and implemented diversification strategy.

F H Bertling

Incorporating emissions reporting to provide additional value for clients

Richard Jones Global Sales Manager

How is F H Bertling thriving?

To overcome pandemic disruptions to its relationship-driven business model, F H Bertling has doubled down on technology and turned its attentions towards sustainability.

Chiefly, it has enhanced its long-standing inhouse BLU IT platform with innovative emissions reporting capabilities tailored to each client’s goals. Comprehensively tracking data such as freight distances and vessel emissions, this cutting-edge solution generates repeat business from impressed clients and new wins seeking elevated emissions visibility. Adapting its technical expertise to modern sustainability demands, the 160-year-old company has been able to overcome disruption by delivering the digitally-driven, eco-conscious services the market now demands. By doing this, F H Bertling continues to further enhance its endto-end sustainability and emissions reporting solution, which is available to all its clients, whatever their size.

The challenge - F H Bertling has come a long way since it was founded by an entrepreneurial 23-year-old German, Friedrich H. Bertling, in 1865. Starting out as a ship owning and operating company seeking to provide transportation links through Scandinavia and the Baltic States, the company today stands tall as a truly global shipping and logistics player, operating an international network of 50 offices and sub-contractor partners with 700 employees on the books. The firm serves critical global industries, including the energy sector. Key to its success and reputation building over the years has been the ability to develop relationships in a highly personal manner, with face-to-face interactions being the foundation of its modus operandi. Over its near-160-year history, F H Bertling has had to navigate through many obstacles, among the latest being the onset of the Covid pandemic in early 2020, which cut off the prospect of meeting customers and would-be customers in person. The pandemic, as well as ongoing geopolitical conflicts, have led to a shortfall in new projects.

The solution - To overcome the challenge and lay a more solid foundation for itself moving forwards, F H Bertling turned towards a mixture of technology and a sustainability-driven mindset as the answer.

Tech has, for several decades, been a core part of the company’s offering. Named BLU, its IT project forwarding system was initially developed in the mid-1990s and has been subject to continual refinement and upgrading ever since.

The Covid pandemic shone a light on the importance of operating sustainably and prompted F H Bertling to consider the idea of integrating emissions reporting into its BLU platform.

Crucially, this is now able to be crafted in bespoke manner for each client depending on their sustainability KPIs, including emissions targets. Data collection and analysis is central to the offering – here, the system collects and monitors key information such as distance freight travels, and average emissions per container for each vessel based on weight, dimensions and journey parameters.

Developed entire in-house, the sustainability reporting service is now automatically bolted onto every client’s setup, with optional added services such as emissions offsetting also being offered.

The decision to build all of this out in-house was a bold one, and one could argue it was a risk given the precedent already set by other major players, which failed in their attempt to develop a similar system internally, prompting a move to leverage third-party software provider.

However, over the course of almost 30 years, F H Bertling has mastered the art and has proven more than capable of adding the emissions reporting string to its bow.

Indeed, the BLU platform continues to deliver successes and has been influential in overcoming the challenges caused by the pandemic and other destabilising events of recent years. The biggest impact is the amount of repeat and expanded business it generates – as clients get used to working with the system, the more they expand their use of technology, the more BLU is tapped into. And although the sustainability reporting feature is still in relatively early stages, it is already winning over clients seeking to enhance their emissions reporting capabilities. It is giving them the ability to offset their emissions by using one of F H Bertling’s nominated and approved solutions or by offsetting via their own approved programme.

Story type

#digital (main category)

#environmental sustainability

Benefits

▸ Able to recover from the stress caused by the pandemic and recent global events.

▸ Expansion of BLU’s use from customers.

Key findings

For industry

▸ Be persistent. There’s no such thing as an overnight success.

▸ Adopt a people-centric approach: people do business with people they want to do business with –it’s trust.

For government

▸ Make it easier for British companies to work overseas and intervene in favour of critical industries rather than leave open to market forces.

F H Bertling at a glance:

Key products and services: global logistics and shipping services.

Main industries served:

▸ Oil and gas, renewables – 70%

▸ Others (non-energy) – 30%

Headquarters: Hamburg, Germany

Year established: 1865

Number of employees: 900

Revenue: £785m

Revenue from exports: 70%