Oil services company Wood Group has acquired the trade and assets of Aberdeen-based fabrication and manufacturing business Enterprise Engineering Service (EESL) after it went into administration.
Last month, EESL appointed administrators KPMG following a fall in orders and announced the loss of more than 50 jobs.
Wood Group said that the acquisition will further improve its asset integrity management capabilities and add fabrication to its services.
Post acquisition, the employees of EESL’s Aberdeen-based fabrication business will be moved to Wood Group and will remain at the existing 4,000m² fabrication facility located on Craigshaw Road, Aberdeen.
Wood Group PSN CEO Dave Stewart said: "Wood Group’s relentless focus is on enhancing value and driving cost efficiencies in the technical solutions we provide to our clients.
"The acquisition of Enterprise Engineering Service Ltd’s fabrication and manufacturing business broadens our repair order capabilities, enabling us to offer a fully integrated, end-to-end service that supports our clients in assuring the integrity of their assets.
"Our focus is on providing the expertise that enables the life extension of onshore and offshore assets, which is critical in this mature phase of the UKCS."
Furthermore, the company will provide manufacturing and fabrication solutions to the oil and gas sector and secure jobs for the company’s existing Aberdeen fabrication workforce.
KPMG joint administrator and UK head of restructuring Blair Nimmo said: "The joint administrators are delighted to conclude a sale of EESL’s manufacturing facility and key assets in Aberdeen to Wood Group, following a successful marketing exercise."
