LLOYD’S Register has made what it says is its most significant move yet in its mission to become the leading authority in the provision of business assurance and risk management services to the oil&gas, nuclear and transportation markets by taking over Scandpower of Norway.
Scandpower and its subsidiaries in Sweden, China and the US have 235 staff who particularly specialise in providing risk management services to the oil&gas and nuclear sectors. About 60% of staff are based in Norway and 30% in Sweden. Other employees are located in offices in Houston and Beijing.
Scandpower’s expertise is expected to provide LR with substantial growth opportunities in the Arctic, Russia and the Barents Sea.
In the nuclear field, the group’s services are entirely focused on civil power generation. It has developed a number of proprietary tools, including the industry “standard” safety tool, RiskSpectrum. Used by more than 400 clients, RiskSpectrum has a good reputation and is licensed to almost half the world’s nuclear power generating companies.
Iain Light, energy director for Lloyd’s Register, said of the deal: “Strategically, it will give us a very significant position on the Norwegian Continental Shelf – a region that is increasingly active as energy exploration and production moves further north into more harsh and challenging environments.”
LR, which has a big Aberdeen presence, says that, for the domestic Scandinavian market, the acquisition will provide customers with a major alternative supplier of safety, environmental, integrity and reliability services, a market “previously dominated by one provider”.
“The combination of ever-tightening safety and environmental expectations and the need for operational efficiencies means that the demand for energy-related risk management services is expected to increase in the future,” it said in a statement.