Worldwide demand for UK subsea engineering hailed

Subsea companies are expecting to increase overseas activity in the next 12 months, according to a survey conducted by the industry body.

Subsea UK questioned 300 member companies and 27% are predicting increasing exports by 50% or more this year.

More than half (56%) expect overseas sales to increase between 1% and 49%, with only 17% not expecting any increase in export revenues.

A third did not yet know what effect Brexit will have on their export plans, with 49% believing it will have no impact.

By comparison, 32% expect domestic revenues to remain static while 22% are anticipating a decline.

The majority of those expecting domestic revenues to increase are forecasting between 10% and 30% additional revenues from the UK Continental Shelf.

Export sales account for over half or more of the annual turnover of 32% of respondents, with the majority of export sales related to oil and gas.

Subsea UK chief executive Neil Gordon said: “These findings underline the global demand for UK subsea engineering, technology and services and the fact that our enterprising companies are increasing their export efforts in a bid to reduce the reliance on the mature North Sea.”

He called, however, for companies to strive to maintain their market share in the North Sea.

Subsea Expo, Europe’s largest annual subsea event, is taking place this week in Aberdeen with thousands of delegates attending.

The event opened to the news that new business M2 Subsea is to create 30 jobs in Aberdeenshire – with a target of 150 in the pipeline by the end of the year.

The firm said it aims to become one of the largest independent providers of ROVs (remotely operated vehicles).