A Scottish firm behind revolutionary technology which could make marginal oil and gas fields more viable has secured a fresh cash boost worth more than £1million.
EC-OG said its latest injection of funds was from outsourcing specialist Castle View Ventures (CVV) and the Scottish Investment Bank, the investment arm of Scottish Enterprise (SE).
It is just over seven months since EC-OG, which stands for East Coast Oil and Gas, announced a £1.2million SE research and development grant to help it develop innovative subsea power generation technology.
The Aberdeen-based oil and gas technology company was founded in April 2013 by managing director Richard Knox and engineering director Rob Cowman.
Its “smart” subsea power hub (SPH) converts ocean currents into renewable-energy for remote subsea locations, reducing the cost of repairing or replacing umbilicals after all-too-common power failures.
The developer and its backers are confident it will radically change the economics of providing reliable electrical power for offshore subsea systems.
It is hoped the technology will be a catalyst for progress on marginal oil and gas projects and sway decisions to extend the life of infrastructure.
EC-OG said its latest boost to funds would be used to drive the company’s growth by focusing on commercialisation of the SPH.
Mr Knox added: “This investment forms part of the continued support from Scottish Enterprise, where the high-growth team in particular has delivered personalised support to promote domestic and international growth here at EC-OG.
“The investments from Castle View Ventures and the Scottish Investment Bank are concrete votes of confidence in the strategy of EC-OG and will allow our rapid growth to continue.
“We’re building a future where power supply and distribution costs are substantially reduced. Our subsea power hub is at the heart of this next generation of subsea systems which we will shortly deliver.”
Bridge of Allan-based CVV is led by managing director Martin Bell, whose father, Frank, founded the company in 1964.
Martin Bell said: “We are thrilled to add the EC-OG SPH project to our portfolio and to be part of an exciting period of growth at EC-OG. The SPH is a beacon for the future of the oil and gas industry, such an original concept which will provide real results for clients.”
SE chief executive Lena Wilson added: “It’s great to see the excellent progress EC-OG Ltd has made since I visited them in December. Today marks a significant milestone in their growth journey.
“As the oil and gas sector continues to face considerable challenges, this forward-thinking, innovative company is creating new jobs and building optimism in the sector.
EC-OG was among the finalists at the Offshore Achievement Awards in March. Since December, when it employed nine people, it is has steadily been building its team into double figures and also relocated from Aberdeen’s west end to larger premises in Aberdeen Innovation Park at Bridge of Don.
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