NXG, the global drilling technology and services specialist, has invested more than £1 million in a new Aberdeen HQ and a site to support projects in Latin America.
The business has moved its headquarters and rental division from Hareness Circle in Altens to a nearby site at Ness Point, Blackness Circle.
A new Mexico operation, which includes an industrial unit, offices and yard space, is based in Villahermosa, and will be headed up by regional manager (LATAM Region) Jesus Martinez, who has more than 20 years’ experience in the drilling sector.
These latest announcements come in the wake of NXG securing contracts with three of the ‘Big 4’ global oilfield services firms in recent months. The agreements potentially represent a substantial seven-figure boost to NXG revenues.
The investment in the new Aberdeen base positions the business to support an expected increase in demand for its technology, expertise and services throughout 2021 with a substantial addition of warehouse and yard space. The combined size of the new site is 45,000 sq ft.
Rod Coffey, managing director at NXG, said: “The significant investment in Aberdeen and Mexico is an essential part of our strategic plan for sustainable growth through 2021 and beyond.
“The Aberdeen site is a first-class facility that allows us to meet our UK and international objectives. The addition of a Mexico site will be a huge asset to the business for Central and South American projects and reflects our confidence in the global oil and gas market.
“We are close to agreements for two additional international bases and hope to make an announcement before the summer.”
Rod added: “NXG is a dynamic, innovative, flexible and reliable business and this additional capability will allow us to enhance the delivery of high quality innovations and tools on tight timescales and is what the market is calling for.”
The firm recently secured the American Petroleum Institute (API) 7-1 accreditation – an internationally-recognised certification. NXG successfully demonstrated its quality management systems met all criteria set out by API. The accolade enhances NXG’s credentials in the drilling tools manufacturing and repair sector.