Fabrication giant Harland & Wolff (H&W) expects to create at least 200 new jobs at Arnish, on Lewis, and 400 in Fife through a £270 million investment in its the Scottish shipyards.
The company (AIM: HARL) aims to transform its facility at Arnish, near Stornoway, and another in Methil, Fife, into major hubs for renewable energy.
New opportunities at both locations would include those created by an apprenticeship and graduate programme for about 30 people, it added.
The firm aims to “work closely with local suppliers and educational institutions to ensure the benefits of any investment are felt throughout the Methil and Arnish communities”.
H&W’s two Scottish sites have both advanced to the next stage of a key route to public and private sector partnership funding.
It is hoped the Scottish Offshore Wind Energy Council (Sowec)’s Strategic Investment Model (Sim) programme will deliver major infrastructure upgrades.
According to H&W, support through the scheme will significantly boost its ability to service and maintain the “burgeoning” renewable energy.
Arnish and Methil will become “state-of-the-art” centres for the fabrication and assembly of turbines and other structures for the offshore wind industry, the firm said.
Belfast-based H&W is best-known for its shipbuilding, including the ill-fated Titanic.
The company rescued the Arnish and Methil yards from administration in 2021
It applied to the Sowec scheme in partnership with Stornoway Port.
What’s in store for Arnish?
A £99m investment at Arnish is expected to deliver a new quay and floating dry dock.
This is forecast to increase the site’s construction capacity to 255 megawatts (MW) of installed capacity per installation season.
Meanwhile, an upgraded port at Stornoway would boast a laydown area of more than 24.5 acres, providing “ample space for the assembly and storage of renewable energy components”.
And what’s planned for Methil?
Investment in the site in Methil would “greatly expand its capacity to build fixed and floating offshore foundations, capitalising on its status as one the most geographically advantageous areas to support Scotland’s offshore wind developments,” H&W said.
The company added: “Through investment of around £172m and improvements such as a quay extension, the site would have the ability to construct approximately
750MW of installed capacity each installation season and enable Harland & Wolff to take on large-scale renewable projects.
“By increasing the capacity and capabilities of the Methil and Arnish sites, Harland & Wolff is positioning itself as a key player in the development of sustainable energy solutions for Scotland and beyond.”
More than a dozen offshore wind developers are already speaking to H&W about its investment plans, the firm said, adding its proposed investment would have a “profound impact” on local communities, creating numerous direct and indirect jobs.
H&W chief executive John Wood said: “The seas around Scotland are a rich resource for renewable energy.
“We feel the proposed investments into our sites would best maximise this opportunity and support growth in this increasingly vital sector.
“The plans we have submitted to Sowec are indicative of our ambitious plans for Arnish and Methil, and our desire to make Harland & Wolff a leading player in the renewables industry.”
He added: “With the investment outlined for Methil, we hope to build upon Energy Park Fife’s reputation as an offshore wind hub, whilst funding for Arnish is focused on providing critical capacity for projects on Scotland’s west coast.
“In each of their own way, proposals for both sites aim to greatly enhance Harland & Wolff’s manufacturing facilities to best ensure a quality service for our offshore wind
clients.
“Our proposals would support the creation of hundreds of jobs.
“We are committed to nurturing a skilled workforce that will both contribute to local economies and reinforce Scotland’s reputation as a global leader in sustainable infrastructure.”
First Minister says Harland & Wolf’s ability to service renewable energy industry from its Arnish and Methil yards is ‘clear to see’
H&W’s investment news follows a recent visit to Arnish by Humza Yousaf.
The first minister said: “There is clearly a wealth of important work taking place.
“It was fantastic to see the opportunities that Arnish is offering to local people, including through its apprenticeship programme.
“Harland & Wolff’s ability to service and maintain the renewable energy sector through both of its Scottish sites was clear to see.
“I look forward to hearing more about the continued progress in Arnish and Methil throughout the ongoing Sowec process.”