Forgemasters’ demonstrates world class credentials in Brazil
23 June 2011
Sheffield Forgemasters is well positioned to further capitalise on the lucrative Brazilian oil and gas market after attending a UK Trade & Investment (UKTI) business mission to South America.
Sheffield Forgemasters is well positioned to further capitalise on the lucrative Brazilian oil and gas marketafter attending aUK Trade & Investment (UKTI) business mission to South America.
The UK engineering giant showcased its current and future capabilities to key players in the Brazilian oil and gas sector, including Petrobras and Shell, who learned about Forgemasters’ increasing role as a key exporter to South America’s largest country.
The UKTI UK Energy in Brazil: Oil & Gas Business Mission, organised with Aberdeen City Council and Scottish Development International, was designed to build on the UK’s highly-regarded reputation in the energy sector, and to assist UK companies in identifying and pursuing business opportunities in this high-growth market.
Forgemasters’ key objectives from the trip were to demonstrate its world class experience, gain strategic awareness about how the evolving Brazilian market, consider possible future opportunities and foster relationships with potential future business contacts.
Ian Nicholls, managing director of Sheffield Forgemasters’ subsidiary company Vulcan SFM, said: “Forgemasters first supplied parts for a Brazilian project in 2007 supplying insert nodes for the construction of the P56 floating platform. We were interested to see how things have moved on, and understand how future opportunities will develop in light of the new pre-salt oil finds and the increasing requirements for local content.
“Our current business with Brazil’s Papa Terra oil field development is with customers operating outside of Brazil with orders placed from companies based in the UK and USA.
“Structural castings are delivered from Sheffield direct to the fabrication yards in Brazil. Therefore it is important for us to understand well in advance how the dynamics of this procurement operation will change so we can have an effective sales strategy.”
Forgemasters is a worldwide leader in the manufacturer of large bespoke steel castings and forgings for the global offshore industry and already exports to 29 countries worldwide.
The week-long programme of activity included attendance at the UK Brazil Energy Excellence Forum with more than 250 Brazilian delegates from the energy sector.
Ian said: “One of the most beneficial elements of the week was the opportunity I was given to act as a speaker in front of a large group of Brazilian delegates involved in procurement of products and services in the oil and gas arena.
“It gave me the vital chance to reinforce our company’s capability which is built on an ethic of high quality manufacturing supported by the latest available technology and with the benefit of the experience of exhaustive qualifications and years of manufacturing experience in this sector.
This is a capability beyond indigenous Brazilian manufacturers so it is important that Forgemasters is recognised as the preferred manufacturer for castings and forgings contributing to an industry focused on reliability.”
The mission took the company to Rio and Macae in Brazil and included presentations, one-to-one meetings, dinners and informal networking.
Ian added: “To have the opportunity to network with companies of that calibre was invaluable.
“The organisation of the week was also fantastic – UKTI were incredibly helpful.
“As a company we now have a much better understanding of how trading in Brazil works especially with the new local content rules.
“We are confident that the relationships we have made will turn to contracts in the future particularly when companies move from external locations such as Houston in America to within the confines of Brazil. Having these relationships on the ground is imperative.
“I would highly recommend UKTI missions to other businesses.”