Sales pipeline fuels further investment at Surface Technology Renfrew
Surface Technology, a specialist in high performance surface treatments to the oil and gas industry, is celebrating securing more than £1 million of new business just months after the opening of its new, state-of-the-art facility in Renfrew, Scotland.
The site, opened in October 2014, is strategically located due to its proximity to M8 motorway links, Glasgow Airport and the opening on the new dockyard for easy and cost effective shipment from overseas locations. This is important for the larger more complex components used within the oil and gas industry, a key sector for Surface Technology. In only a matter of months since the facility was officially opened, Surface Technology is beginning to reap the benefits of its latest investment, winning a number of significant contracts – the majority being for Riser and Stem Joints and Length Adjustment Joints for strategic platforms. Surface Technology will manage these larger projects and provide added value services including pressure testing.
The Renfrew facility was opened in response to a growing demand for turnkey supply options of larger more complex components used within the deep-water offshore oil and gas industry and boasts some impressive equipment. As a result of the new business win the existing 45 ft. curing oven is being extended to 60ft. accompanied by a 45 ft. blasting room and 100 ft. crane.
Continued growth within the business has created many new jobs since the facility was opened, with a view to potentially taking on more recruits in the future. Most importantly, however, is that it has increased Surface Technology’s overall capacity, which means they can provide a shorter lead time and reduce costs by delivering dual and triple coatings processes under the one roof. Similarly, increased capacity improves Surface Technology’s responsiveness to changing market requirements and will undoubtedly prove to be decisive in landing additional new business in the future.
John Millar, Sales Director at Surface Technology commented: “The new site in Renfrew gives us a great platform for securing long-term, sustainable business opportunities. We now have more flexibility in terms of size and scope, adding a completely new dimension to our work. This opens up new avenues for us, allowing us to target a different set of customers while expanding into a more added-value offering. For example, a 16 tonne Length Adjustment Joint requiring three coatings from multiple sites would incur costs just from being lifted on to a truck. We now have the ability to eliminate these cost and time expenses through a lean manufacturing model and better planning alongside our customers.
“As we are seeing in the media the global Oil & Gas industry is currently affected by uncertainty and low levels of production and the barrel price has only just bounced back from its lowest point in years. For this reason we are experiencing more companies in the sector turning to our innovative coating capabilities in order to make savings by refurbishing existing equipment rather than making significant capital outlays. Our facility in Renfrew could not be better equipped to see this through.”