FLEXLIFE has expanded its operations in Brazil, in order to increase capacity across South America and enhance its visibility when bidding for contracts, particularly with Petrobras.
The Aberdeen firm, a specialist in subsea project and integrity management, is targeting initial revenue of approximately £4million per year, but that is expected to ramp up by 30-60% per year within two years, if new business rolls in more or less on cue.
Besides investing in new office accommodation in Rio de Janeiro at Rua Assembleia, Flexlife is manufacturing its ground-breaking integrity management products locally and offering a full assembly, deployment and maintenance service from staff based in the region.
These are important steps to take as it is Brazilian policy that foreign firms should establish a local presence if they expect to secure significant business.
Flexlife has developed a suite of innovative products designed to identify breaches in flexible pipes and repair them without interruption to production; apparently a first in the history of the offshore oil and gas industry.
Brazilian semi-state company Petrobras is a heavy user of flexible riser pipes in its offshore developments, as many are deepwater and comprise subsea well suites tied back to floating production units.
Stuart Mitchell, Flexlife chief executive, told Energy: “We’re experiencing a period of significant growth and our new South American operation will expand our capability to offer specialised support to clients.
“Flexlife has continued to build on its reputation for offering a full subsea integrity and project management package, assisting clients to cost effectively manage all of their subsea assets and infrastructure.
“We have built up high levels of expertise in deepwater markets and have a proven track record of providing a service that helps operators reduce risk in a cost-effective manner.”
Leonardo Dias, who heads the Brazil operation, said: “Our aim is to establish ourselves in Brazil and also target work in Venezuela. We have recruited a team of engineering, technical and support staff who are all highly experienced in the Brazilian oil and gas market.”
As part of a continuing global growth strategy, Flexlife also recently appointed Stephen Burgdorf as vice-president for business development covering North America.
Based in Houston, his brief is to promote Flexlife’s offshore project and integrity management services to operators throughout the region.
Here in the UK, a Newcastle-upon-Tyne base has also been opened in the last few months, and plans are in place to open an additional base in Angola.
Flexlife has also recently been contracted to provide subsea engineering and integrity management services to E.ON Ruhrgas’s UK North Sea assets through Great Yarmouth based Offshore Design Engineering (ODE).
ODE won an integrated services contract worth up to £35million to continue providing operations and engineering support to E.ON Ruhrgas throughout the UK.
Flexlife was identified as Scotland’s fastest-growing young company in 2010, and estimates that its total workforce in the UK and around the globe will rise to 120 by the end of 2011.
The firm reported an increase in turnover of more than 50% for the year 2010-11, with a rise from £4.8million the prior year to £7.5million.
A further leap to around £18million is forecast for the current financial year.
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