Aberdeenshire firm Elemental Energies is expecting a turnover boost worth more than £50 million this year alone though a new acquisition in Norway.
The Westhill-based oil and gas wells specialist has snapped up Well Expertise, which has its headquarters in Randaberg, just outside Stavanger.
The value of the deal was undisclosed.
Global giant created through deal
But Elemental said it had created one of the world’s largest specialist wells, subsurface and project management businesses, boasting more than 230 experts globally.
And the business combination is expected to generate revenue of more than £50m this year, across key sectors including oil and gas, decommissioning, geothermal, and CCS.
The deal is boosting annual turnover by 60%.
Norway ‘pivotal’ region for Elemental
Elemental chief executive Mike Adams said: “Norway is a pivotal region for us through its stable energy policy that prioritises both security and transition, aligning with our core ambitions as a business.
“As a mature market, Norway faces the challenge of managing new production with decommissioning and energy transition – which present significant opportunity.
“This deal marks the start of the next chapter for both companies, as we build a strategic global wells and subsurface partner that will allow operators to outsource larger and more diverse projects with confidence.”
Sigve Naesheim will continue as chief executive of Well Expertise and head up Norway operations for the enlarged group.
Mr Naesheim said: “This acquisition marks a significant milestone, underscoring our commitment to providing best-in-class well engineering and project management services.
“Our strategic alignment with Elemental Energies has fostered a shared vision to become the go-to global well management partner for projects spanning exploration, production, decommissioning, CCS (carbon capture and storage), and geothermal.
‘New perspectives’
“As part of Elemental Energies, we are able to expand the development opportunities for our team, bring new perspectives to our projects, and deliver expanded capabilities to our clients.”
Before the deal, Elemental directly employed a core team of 60 people in the UK and a further 10 staff across international locations including Houston, Milan, Mumbai, Kuala Lumpur and Singapore. It also provided work for about contractors globally.
Well Expertise had a core team of 35 across offices with offices in three Norwegian locations, while also providing work for 40 long-term contractors and 10 consultants.
Fledgling north-east firm Elemental has already completed string of deals
Elemental was founded two years ago.
It is backed by energy transition investor Elemental Squared and Pareto Bank who helped to fund the acquisition of Well Expertise.
The deal is the latest in a series of strategic acquisitions by Elemental.
Previous buyouts include Vysus Senergy Wells in December 2022, Norwell Engineering in May 2023 and Sentinel Group in February 2024.
According to Elemental, these deals underline its commitment to delivering on “its strategy to invest in the critical engineering skills needed to deliver energy security and transition projects globally”.
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