News release

Industrial Fabrication Capacity Report Released

PETROLEUM DIRECTORATE--Industrial Fabrication Capacity Report Released


A report on the ability of Nova Scotia companies to manufacture structural equipment for the offshore oil and gas industry concludes that there is considerable manufacturing capacity within the province to produce structures for offshore projects. The report states there are many opportunities for local companies to become involved in offshore development as fabricators of components for traditional suppliers.

"This report documents the extensive industrial fabrication capacity that already exists in Nova Scotia", said Petroleum Directorate Minister Gordon Balser. "It also suggests ways to make oil companies more aware of Nova Scotia companies and to engage more local firms in offshore development."

The report has a number of extensive appendices which outline in detail the capabilities of Nova Scotia fabrication facilities and machine shops. It is expected to serve as a valuable promotional tool for the province in attracting new offshore fabrication contracts.

Conducted by LN Perry Consulting Inc., the study recommends that design and project engineering work for offshore projects be done within the province so that Nova Scotia manufacturing firms are more aware of product needs for the offshore. It also recommends that petroleum companies be more open and provide names of potential equipment suppliers so that Nova Scotia firms can form joint ventures and partnerships with those suppliers.

The report notes that many fabricators share the same skilled labour pool. For example, when one company completes a project, the trades people often find work with another company. This makes it difficult to accurately count the labour available for the large offshore projects expected in the next few years. Accordingly, the report recommends government initiate a followup study on the skilled labour pool capacity in the region.

"Multiple offshore projects happening simultaneously will require that we develop a pool of skilled labour," said Mr. Balser. "We are now working with industry and other government departments to determine how to gather the missing information as quickly as possible, and to develop strategies to fill any skilled trade gaps."

The study was sponsored by the Nova Scotia Petroleum Directorate and the Enterprise Cape Breton Corporation. The report is available on the Petroleum Directorate Web site at www.gov.ns.ca/petro . The document can be accessed through links in the news section.