Demand from the oil and gas and subsea industries has triggered huge expansion at Dyer Engineering, which has more than doubled its manufacturing facilities as part of a multi-million pound investment programme.
The Annfield Plain-based company has agreed a long-term lease on premises in Harelaw, giving the firm an additional 58,000sqft of production capacity and taking its overall facilities to a whopping 90,000sqft.
That now makes the firm one of the largest precision machining and fabrication businesses in the North East. The expansion forms part of a £2.5m investment programme, which includes a £651,000 Regional Growth Fund grant secured through The Journal-backed Let’s Grow Fund.
The firm’s growth plans have already created 25 new jobs with plans to increase the workforce from 125 to 160 within the next two years, which includes a commitment to maintain its 10% ratio of apprentices.
The new facility will be used for the production of larger, bespoke fabrications to complement the Annfield Plain site, which will focus on repeat, batch production products.
Set less than two miles from its existing site, the Harelaw facility includes full overhead craneage as well as offering office and meeting spaces.
Dyer Engineering has also created a 14,000sqft department dedicated to making high integrity stainless steel and aluminium structures – the standard demanded by the subsea and offshore sectors.
The new facility also houses a new client assembly space, where customers have the option to subcontract the manufacture and paint fabrications with Dyer Engineering and then use the space to complete the final build stages of their products.
Alongside the additional new facilities, Dyer Engineering is also growing its production capabilities with investments in new manufacturing technology.
It has already purchased and installed a cutting system and a £500,000 milling machine is on order.
Dyer Engineering, which is a member of energy sector business development organisation, NOF Energy, is aiming to follow up these investments at the start of 2015 with the creation of a new 10,000sqft shot-blast and paint facility.
Graeme Parkins, managing director of Dyer Engineering, said: “These investments will support our growth plans through the creation of a more comprehensive and specialist manufacturing service to the sectors we serve.
“The offshore sector has proven to be a real growth market for Dyer Engineering and this programme of investments will allow us to not only increase the size of the projects we can deliver but also the complexity and exacting standards of contractors and manufacturers in the oil and gas and subsea industries.”
Paul Livingstone, business development manager, at NOF Energy, said: “Dyer Engineering is experiencing the benefits of entering the offshore sector supply chain and this investment will help bolster their position in the market.
“It is an excellent example of how companies with transferable skills and services, which are in demand from the oil and gas and subsea sectors, can achieve further success and growth.”