Motherwell Bridge seals Africa deal

MOTHERWELL Bridge, the Lanarkshire-based engineering contractor, has marked its return to West Africa with a £14 million deal in Liberia.

The company intends to use the contract as a platform to rebuild a presence in the region. It is looking to establish office facilities and agents in Ghana.

Motherwell Bridge's contract with the Liberian Petroleum Refining Company will involve the building and refurbishment of 19 oil storage tanks over three years in Monrovia, Liberia's capital city.

The contract represents a significant strategic investment by the small African country. Motherwell Bridge, working in partnership with a number of companies in the region, will manage the entire project.

Russell Ward, chief executive, said: "Motherwell Bridge was once very active in West Africa, so it's encouraging to be able to return to the region and establish a firm base.

"The contract will generate a significant number of local jobs and we will be sending out members of our own team to oversee the project, which will be completed in phases."

He described the Liberian deal as a major contract for the company in terms of value and significance and said that securing a contract of this scale in the current climate is a huge boost for its order book.

"The fact that it is over three years provides a degree of security," said Ward.

The region is becoming a major player in oil and gas and requires considerable investment in infrastructure.

Ward also sees opportunities for the company's materials handling and processing business.

The return to Africa after a gap of some 15 years is the latest development in Motherwell Bridge's international expansion. It is also working in the Middle East, India and Brazil.

Ward, who was promoted to chief executive in May after executive chairman Hugh Hayes opted to become part-time chairman, said: "We are currently exploring the possibility of creating a permanent base in Ghana, which we believe would enable us to take advantage of the emerging opportunities in the region's developing oil industry.

"We have worked hard in recent years to re-establish Motherwell Bridge as a major player in the UK market, and we are now concentrating on our global strategy, which centres on oil, gas, power and energy-based industries."

He said that globalising the business and moving into renewables were among his priorities for the company, which was sold to Kuwait Finance House two years ago.