Niche services, seamlessly integrated

Angola

Fabio Torrente, country manager for Southey Contracting, talks to The Energy Year about the opportunities the company sees in the Angolan market and how it is capitalising on maintenance initiatives in Angola. Southey Contracting provides industrial and marine inspection, maintenance and engineering services and has established operations in 10 sub-Saharan countries.

What opportunities does Southey Contracting identify in the Angolan market?
We specialise in niche services and integrate them seamlessly. This strategic alignment presents us with unique opportunities. Additionally, our symbiotic relationship with our Group’s South African and Namibian shipyards enables reciprocal referrals, fostering mutual benefits within the group. We are confident in our competitive offering, although we acknowledge the need to meet strategic local criteria to maintain relevance and competitiveness.
Our involvement in inspection work enables us to identify forthcoming maintenance needs, which positions us advantageously along the value chain. Moreover, our expertise in ensuring that we have multi-skilled operations teams is one of our unique market differentiators.
With a group fleet in excess of 35 ultra-high-pressure water blasting pumps, we possess unparalleled capabilities in industrial cleaning, including onshore and offshore applications, as well as specialised tasks such as specialist drilling riser, tube bundle and heat exchanger cleaning activities. This expanding application of industrial cleaning solutions further enhances our ability to provide services beyond the initial cleaning, inspection and assessment of the integrity of critical assets in the oil and gas industry.

How does the company capitalise on renewal initiatives in Angola?
We perceive that there is a significant need for asset renewal initiatives in Angola. Across the country, ageing assets, including platforms and FPSOs, are reaching 10-15 years old or more. As these assets age, the frequency of maintenance opportunities increases, and in some cases major critical life extension projects are being planned. The renewal and upgrading of offshore assets initiates a ripple effect, offering us various opportunities to offer technical value in the supply chain.
These include tasks such as the inspection of repair works, as inspection plays a crucial role in the planning of future planned maintenance activities, where our organisation can provide further comprehensive solutions.

What is your strategy for fostering local content and capacity building?
A fundamental aspect of our operations involves enhancing training capabilities, strengthening recruitment processes and facilitating skills development within the organisation.
This approach remains highly relevant in our current market context and is integral to our business model, which is aimed at maximising local competency. The skills within our group, which have been cultivated across various West African countries where we operate, provide a solid foundation for driving initiatives and capitalising on growth opportunities while also facilitating skills transfer.
Despite our efforts to resolve it, the perennial challenge of a skilled personnel shortage persists. Training initiatives continue to be crucial, especially given the anticipated influx of new market entrants and heightened competition for skilled labour. Currency fluctuations pose another obstacle, as they influence investment dynamics.
Logistical hurdles in material procurement remain a persistent challenge. Therefore, maintaining a robust logistics division within the company is paramount for overcoming these constraints and ensuring operational efficiency. Moving forward, our focus will remain on addressing these key areas to sustain and enhance our operations.

What are Southey Contracting’s goals for labour expansion?
We are aiming to employ 200 individuals by year-end. The opportunities for expansion appear promising, particularly if we can successfully secure the project opportunities we are currently pursuing.
Over the past 10 years, we have cultivated fruitful collaborations with offshore giants such as Transocean and Saipem and currently employ 30 individuals in Angola’s offshore operations. However, our focus on local development drives us to amplify these numbers further, particularly by securing EPC contracts. We are optimistic about our prospects in this regard.

What are your key strategic initiatives for the future?
We’re currently in the process of establishing our office, which involves ongoing renovations and the recruitment of personnel to structure the organisation. Simultaneously, we’re continuously importing equipment to support our operations.
Fortunately, our inspection work is already underway, generating a steady stream of activity. Moreover, we can mobilise equipment relatively quickly, whether we receive it by air freight, vehicle transport from Namibia or through other means.
For fabric maintenance tasks, we’re acquiring heavier equipment such as ultra-high-pressure water blasting pumps, scaffolding, painting equipment and grit blasting equipment, which are being progressively delivered by road. We anticipate being able to provide fully equipped service within six months, although we’re already operational and generating revenue.
Our aim is also to secure long-term contracts with oil and gas operators and major EPC contractors, aligning with shareholders’ expectations and satisfying all stakeholders. Additionally, we’re committed to enhancing our internal capacity through training and career development opportunities for our employees, a goal that would make me happy to achieve.

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