EnerMech veterans Doug Duguid and Michael Buchan have launched a new energy services firm in Aberdeen, which could create a further 120 jobs through acquisitions.
The industry stalwarts started Aurora Energy Services through their I7V Renewables investment fund and have kick-started the business with two acquisitions.
Both of the firms being taken on board are north-east based, with Huntly’s offshore services and fabrication company R&M Engineering and rope access and training firm, Inverness Access Training Services (IATS) joining the new operation.
The new business has confirmed all existing jobs at R&M and IATS are secure and the firm is aiming to increase current headcount of around 80 to 200 through further acquisitions.
Aurora has seen investment in senior management with Alan McLean, who has been with R&M for more than 30 years, coming on board.
Mr McLean is joined by Alan Bailey, who has been appointed as new managing director at R&M after previously working alongside Mr Duguid and Mr Buchan at EnerMech for 12 years.
IATS co-owners, Andy and Lorna Johnston, will remain with the new entity and have also invested in Aurora.
Business looks to develop three streams
During the next five years, Aurora is looking to reach a turnover of £100 million while working with hydrocarbon professionals as they transition into renewables.
As it looks to the energy transformation, the Aberdeen business says it will develop three business streams.
The first of these three is renewables services, which include inspection, repair and maintenance, engineering and installation support.
The remaining two areas of focus are training and engineering, fabrication and design; the latter will see operation in both oil and gas and later, renewables.
Mr Duguid said: “Aurora Energy Services is structuring its operational capability to deliver an integrated service to the renewables industry.
“It is clear from conversations with wind farm developers and Original Equipment Manufacturers (OEMs) that there is some frustration with having to manage the various interfaces between different contractors and the increased costs and inefficiency this causes.”
Aurora is investing in developing a full design engineering function at its headquarters in Aberdeen. The site will provide a digital capability for customers to access real-time progress on all aspects of the work the firm is carrying out for them.
The new business will also be taking on a new 11,000 sq ft site in the Longman area of Inverness for rope access training.
Tremendous value transitioning Scotland’s energy base towards more renewable sources”
Doug Duguid
Aurora is putting down a £750,000 investment in the Inverness location and will focus on training the renewable sector’s workforce.
Mr Duguid added: “Aurora will be focused on providing localised support to our customers. By developing our own workforce and working closely with our customers to optimise work planning and execution, we will ensure our operations are streamlined.
“We have listened closely to the needs of both our renewable and oil industry customers who want their contractors to focus on minimising emissions and extending the life extension of energy assets, component refurbishment and in cases where the former is not practicable, recycling.
“We see tremendous value in transitioning Scotland’s energy base and workforce towards more renewable sources and at the same time utilising the immense offshore knowledge and experience from Scotland’s oil and gas industry.”
The value of both deals has not been disclosed.
Conversation