Oil and gas partnerships ‘paying dividends’

Oct 21 2008 by Peter McCusker, The Journal

A BODY which represents North East energy companies says an increasing number of partnerships with similar organisations overseas is paying dividends for members.

In the last year NOF Energy has struck-up partnerships with seven overseas organisations and wants to add a further three similar agreements by the end of the year.

It believes these contacts have generated £7m worth of business so far, and yesterday it announced its latest agreement with the Dutch oil and gas organisation IRO – the Association of Dutch Suppliers in the Oil and Gas Industry,.

Joanne Leng, director of business development at NOF Energy, said: “The new agreement is a perfect fit for NOF Energy. Both organisations’ members operate in similar areas of the oil and gas sector.”

NOF, which recently moved to new offices in Durham, has 300 member companies in the region with many operating in the booming oil and gas sector. Since April 2007 it has been actively seeking overseas partners and now has agreements with two Venezuelan organisations, one in the United States, Canada, Malaysia, South Africa and now the Netherlands.

Ms Leng explained the benefits were tangible for members in providing access to contacts which often progressed on to orders.

She explained that recently one of its members had contacted NOF’s sister body in Halifax, Canada, in a bid to access professional support in North America and how this had snowballed into winning a supply contract.

On a recent visit to Venezuela by a 10 NOF members five companies ended up bidding for large contracts from some of the countries’ major oil companies. NOF marked the Dutch agreement with a trade visit to the Netherlands, which saw North East companies meeting with Dutch operators and suppliers.

Ms Leng added: “There are direct parallels between the values of IRO and NOF Energy, which will benefit both sets of members. The Netherlands has a rich oil and gas heritage and has a strong network of operators and suppliers. We are looking forward to working closely with IRO to help build Europe’s reputation with oil and gas operators across the globe.”

Hans de Boer, managing director of IRO, said: “We are very pleased with the cooperation between IRO and NOF Energy.

“It adds a new network to our existing network of suppliers in the oil and gas industry and with that creates business opportunities for both Dutch and British companies. We look forward to working together.”