Global Energy thinking big as crude price bites

Oil price crash will damage many businesses but others will benefit. Picture: Hemedia

Oil price crash will damage many businesses but others will benefit. Picture: Hemedia

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GLOBAL Energy Group, the oil and renewable services firm that employs thousands of people worldwide, is to further diversify its business and target acquisitions and joint ventures as it battles the sliding price of crude.

The Inverness-headquartered group said the low oil price would be “damaging to many businesses in the UK service sector”, though it could benefit as major players look to reduce their cost base.

Newly-filed accounts show that the firm generated a profit of £28 million for the year to the end of March, up from £18.8m in 2012-13, on turnover of £472m compared with £358m last time.

It comes just weeks after the group laid off some workers at its fabrication yard on the Cromarty Firth in Easter Ross following a downturn in business.

Chief executive Iain MacGregor said the increase in sales was largely organic and reflected the increasing maturity of the business.

“The oil price crash will certainly be damaging to many businesses… and we will experience that in some parts of our group,” he said. “However, in the same way as our business flourished in Australia during difficult market conditions, we expect something similar will happen here in the North Sea.

“We have a unique offering that supports asset owners with cost-effective solutions to the integrity and modification of late-life assets.

“The group will further develop its international marine business, targeting acquisitions and joint ventures in the Mediterranean, Middle East and Asia.”

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