New cash for subsea production facilities

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New cash for subsea production facilities

Posted 20.04.2012 12:31:34 av John Bradbury

Norway's Aker Solutions is to invest NOK 500 million (US $87 m) to boost its presence in the global subsea market by doubling capacity at two new manufacturing plants.

Investment is going into Aker's existing manufacturing facility in Tranby, Norway, and at Port Klang, near the capital Kuala Lumpur, in Malaysia, where a new service is also being built.

Physical expansion of the Tranby and Port Klang sites will be made possible with the new investment, allowing Aker to increase production of subsea hardware, including trees, control systems, pumps and work-over systems.

Money will be spent on new machines, equipment and tooling, Alan Brunnen, executive vice president of Aker Solutions' subsea business explained. “The subsea market has strong fundamentals and this steady growth is expected to continue. We are now preparing for expansion in all markets and regions and these investments give us great momentum,” Brunnen declared as Aker unveiled the new investment today.

“These planned investments are a response to a wave of existing orders and recognition of the growing market demand,” the Norwegian contractors says.

Up to 80% of the cash will be spent this year to buy new machinery, equipment and tools, and the rest of the cash will go in 2013 and 2014.

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