GE Oil and Gas has started work on a £9million expansion of its centre of excellence facility at Montrose.
The project is due to double the site’s size, to about 45,200sq ft, and create 40 jobs by next year, said GE.
GE said it would also mean the firm can build larger deepwater vertical Christmas trees – equipment used on wells on the seabed – at the site.
The firm said growing subsea activity and its increased market share had prompted the investment.
Rod Christie, vice-president of Subsea Systems at GE Oil and Gas, said: “Deepwater applications are a rapidly growing segment within the oil and gas industry, with the subsea market a key strategic area for us and many of our customers.”
GE Oil and Gas employs 246 people across two sites at Montrose, and 646 in Aberdeen, providing equipment and services to offshore drilling and subsea sectors.