Oil and gas firms predict major growth

The oil and gas industries are expecting serious growth in the next couple of years, according to a new report on the sector’s short term prospects from Lloyds Banking Group. […]

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By Tom Gibson

The oil and gas industries are expecting serious growth in the next couple of years, according to a new report on the sector’s short term prospects from Lloyds Banking Group. Of the 100 top decision-makers surveyed, 75% expect to create new jobs in the next two years, with 28% aiming to recruit over 500 staff.

Alasdair Gardner, Managing Director for Lloyds Bank Corporate Markets in Scotland said: “The net result of larger contracts and more orders for products and services is more jobs. Oil and gas companies already know they will need more capacity to handle the extra business coming their way next year and that is heartening news for the economy and for the jobs market.”

A large majority of key executives say they are on track for growth next year, with much of the positive effects reaching the supply chain. Doug Duguid, Managing Director of Aberdeen-based mechanical engineering services business, EnerMech said: “We have been recruiting heavily in 2011 and have already doubled the size of our workforce. The findings of this report reflect our experiences and we certainly count as one of the companies expecting growth next year.

“We want to create more jobs – the issue is finding the skilled staff we need to meet demand for our services. The industry must put a focus on training and apprenticeships if we are to meet the full potential suggested in this report.”

Oil & Gas UK figures suggest the annual turnover of the UK supply chain is around £16 billion.