Press

IOS Wins £12.5m of New Contracts and Embarks on £3m Expansion Programme

Posted by Kate Yuill

10-Jan-2018


Leading North-east storage and inspection firm Independent Oilfield Services (IOS), has secured two major new contracts, worth more than £12.5 million.

The Sumitomo Corporation Europe has awarded IOS an eight-year, £10million contract to carry out OCTG management and inspection services while Odfjell Drilling has agreed a £2.5million contract for the management and inspection of drillpipe.

IOS is now proceeding with a £3million expansion to Longside Supply Base near Peterhead in order to significantly expand its capacity to service the two new clients as well as IOS's existing customer base.

This represents the second phase of a new £5.5million investment by IOS in the region. Last month, IOS, a privately owned and privately funded company, announced that it had purchased its previously leased 32 acre site at the former Longside airfield for £2.5million. The company retains a 15-year option to lease additional sites at Longside with potential to extend their facility to 100 acres.

Following the granting of planning permission at the end of last year to create an additional 35acres of storage, work has now begun on the construction of new warehousing, an inspection facility and a machine shop. The expansion will create around 20 additional jobs with the company, which has already doubled its workforce in recent years.

IOS's new inspection facility will give it additional capacity to handle the requirements of the Sumitomo contract.  The OCTG inspection and preparation resource will prepare and inspect up to 300 joints a day, triple the current capacity.

The key factors in Sumitomo's selection of the facility were the close proximity to the Peterhead port, the comprehensive range of services provided and the potential for future expansion.

Donald MacKay, VP for European business at Odfjell Well Services said: “We awarded this contract to IOS because the size of the facility and the range of equipment they have available enables quick and efficient loading and offloading which allows us to meet our very tight deadlines and deliver a reliable service to our growing client base.”

Also included in the expansion plans is a new machine shop which will become operational this month and an additional 2000m2 of new warehousing will add to IOS's existing indoor storage capacity of 4000m2.

Glynn Geddie, Managing  Director at IOS, said: “We are delighted to have won these two important new contracts. We have already made major investments in our Longside site to ensure that we provide a first class service in a state-of the-art facility for our customers. Our expansion will significantly increase our capacity to meet the operational requirement of all our clients.

“We chose the site at Longside because of its prime location only four miles from the quayside at Peterhead. The proximity to the port provides a very competitive alternative through reduced transport and fleet costs for oil and gas operators and service companies who berth at Peterhead's deepwater quays.”

Over the past year the company has enjoyed a period of steady growth and is forecasting a 30% turnover increase over the next 12 months.

IOS opened its Longside base when the company was set up in 2014. It incorporates both hard-standing outdoor storage and internal warehouse storage. Services include OCTG, drillpipe and offshore inspection, equipment rental, transportation and tubular management.

Future plans for growth at the site include additional warehousing for increased internal storage.



New service from OilVoice
Trip Shepherd is for companies who need to track their staff in areas of risk.
It's free to use, so we invite you to try it.

IOSOdfjell DrillingNorth SeaPeterheadStorageSumitomoOCTGinspection servicesScotland

More items from kateyuill


Archer secures multi-well P&A contract for modular rig Archer Topaz in the UKCS

Archer has announced its formal contract award for provision of modular drilling unit and associated services by TAQA.   "We are delighted with the award of this contract which secures the rig work until late 2023." said Dag Skindlo, Chief Executive Officer of Archer.   Archer's rig has been co ...

Kate Yuill


Posted 2 months agoPress > ArcherTAQACormorant Alpha +3

Archer’s UK Engineering division awarded Cormorant Alpha Derrick Removal contract.

Archer today announces its formal contract award for the provision of Derrick Equipment Set (DES) & Derrick removal services on Cormorant Alpha by TAQA. The scope of services includes the engineering design and preparation activities, derrick dismantlement in modular sections by specialist rope ac ...

Kate Yuill


Posted 2 months agoPress > ArcherCormorant AlphaTAQA +5

GQS SIGNS MULTI-YEAR CONTRACT WITH PREMIER OIL

GQS, a leading provider of technical, quality assurance (QA) and quality control (QC) services to the worldwide energy sector has started the new decade on a strong note after winning a major multi-year contract with Premier Oil. The contract, won following a competitive tender process, will see t ...

Kate Yuill


Posted 5 months agoPress > Third Party InspectionGQSAberdeen +3

Global Resources Network restructures to support growing skills shortage

A company restructure by Global Resources Network, specialist recruitment business to the offshore drilling sector, will provide greater support to clients facing the increasing challenge of a growing skills shortage across the global oil and gas industry. A subsidiary of Global Resource Managemen ...

Kate Yuill


Posted 10 months agoPress > recruitmentdrill crewOffshore Drilling +7

Jeanette Forbes joins pioneering penguins at Blue Gentoo

One of Aberdeen's most respected and seasoned entrepreneurs is swapping her role as head of her family business for the challenges of a high growth new start business in the oil and gas sector. Jeanette Forbes of PCL Group has joined the board of Blue Gentoo Ltd as CEO to help drive the business f ...

Kate Yuill


Posted 10 months agoPress > North Seapenguinsgas hydrates +10
All posts from kateyuill