A Moray-based engineering and construction firm has unveiled a £2.5 million expansion plan which is expected to create dozens of new jobs.
AJ Engineering, of Forres, has already invested in land around its manufacturing facilities by acquiring 4.7 acres from Moray Council.
The company said further investment would allow it to more than double its production capacity and employ more staff.
Development will see existing buildings at the former sawmill site at Waterford, near the town’s railway station, refurbished and a high-tech fabricating machine installed.
AJ Engineering currently employs around 80 staff, including seven apprentices, across its operations at Greshop Industrial Estate.
Owner Alan James hopes the firm’s expansion plan will deliver up to 36 new jobs over the next three years.
He said: “We had previously rented the buildings and ground from Moray Council and we were delighted that they agreed to sell the site to enable our future development plans.
“Final agreement was reached at the end of October and we can now push on with the development.
“Highlands and Island Enterprise (HIE) has been fully involved in the development of these plans, and supported us in this project with a grant of £420,000 for our investment in the first and second phases.
“The plan now is to refurbish the buildings and install a new automated fabrication facility.”
Mr James said the 21-year-old firm’s latest investment was aimed at making it more efficient.
He added: “It will provide the company with the ability to increase its throughput but at a lower production cost.
“The new equipment will mean our skilled fabricators will be available to concentrate on the more technical projects, and no longer have to spend time measuring or marking beams or drilling them.
“The new machine will be able to do all this automatically from the details downloaded directly from our drawing office.
“With the skilled workforce being (more) available, we would be able to seek a greater number of complex projects.”
He said the new “cut and drill” line should be up and running by mid-summer 2021.
Another new plant, an automatic shotblaster and plate processor, will follow in second and third phases of the three-year project.
HIE business development account manager Steve Richards said: “Moray is renowned for innovation and manufacturing across many sectors, and AJ Engineering is a key part of this.
“This is a fantastic project and a great example of a dynamic Scottish manufacturing firm pursuing its growth ambitions through innovation and automation.
“It’s also brilliant news for Forres and the wider local economy, particularly in relation to the expectations of new opportunities for young people through apprenticeships.”
The last major investment from AJ Engineering was in October 2015, when it acquired Lochaber-based Northern Engineering & Welding Co (NEWCo) for an undisclosed sum.
AJ Engineering now has 2.25 acres at Greshop, while NEWCo operates from a 2.7-acre site at Glen Nevis Business Park in Fort William.
