JV Business Development

JAMES FISHER ANGOLAN BUSINESS DEVELOPMENT PLAN
MARCH 2011
THE JAMES FISHER (ANGOLA) LTD FAMILY A BRIGHT FUTURE
   
MARINE PRODUCTS, SERVICES AND SHIP-TO-SHIP LIGHTERING OPERATIONS

1 ANGOLA BUSINESS DEVELOPMENT

As a member of the James Fisher and Sons Plc group of companies, Fendercare has already supplied a range of marine products to Block 18 and a number of other clients based in Angola.

Historically, business has been conducted from the UK head office or from the West African office in Nigeria. The group's strategy is to develop our business locally, in line with our client requirements and to adopt the Angolan Governments aspirations for oilfield nationalization of its citizens.

A Joint Venture in the name of James Fisher (Angola) Ltd has been set up in partnership with BOUCLIER Ltd with a head office in Luanda in support of operations. Scantech and Rig Cool also part of the James Fisher and Sons Plc group of companies, already employ 7 National operators and support staff and employment of 6 National oilfield support trainees.

It is our intention to significantly expand on our current Angolan infrastructure and this plan sets out how we will achieve this.

2 WHAT WE DO

Renowned throughout the world for its Yokohama fenders, and now under the flag of James Fisher plc, James Fisher Fendercare has developed into the world leading supplier of marine products, services and Ship-to-Ship Lightering Operations. Not only has it successfully established over 20 bases around the world but it is directly involved in advising on safety and regulatory issues for the STS industry world-wide.

The James Fisher Fendercare service extends far beyond just this. With decades of experience and worldwide resources we offer consultancy and advice on every aspect of marine solutions. From designing FPSO berthing structures to replacing ropes or supplying anchors that will last a generation; from hoses and buoys to Fenders to ship-to-ship transfers James Fisher Fendercare is well-recognised and respected for providing all these top quality services and more.

3 DEVELOPING OUR BUSINESS FURTHER AND BRINGING SKILLS TO ANGOLA

As a major part of our customer base we are regularly in contact with Oil Majors, Trading Companies, Ship owners and Charterers on a daily basis. Through this contact we have already received strong interest about our plans for Angola. As a result of this and the core services we provide, we have identified a number of key areas where further investment will be made to expand our business activities in Angola.

  • Specifically these are :

4 DIVING ACADEMY

James Fisher Fendercare has recognised the shortage of expertise and skill shortage in the marine diving industry and, as a registered Diving Services operation, James Fisher Fendercare considers that there is excellent scope to open and operate an Offshore Training Academy in Angola to be based preferably in the capital Luanda.

The academy would focus on the divers servicing the military, inshore and offshore world of underwater construction, IRM and salvage. The academy should provide technical commercial training programme to students. We believe with the correct training we are able to transfer our 80 years experience knowledge from trainee to trained professionals.

Our Trainers have vast experience with diving plant and life support equipment that is fully compliant with the requirements of the Offshore Approved Codes of Practice (ACOP) as defined within the HSE Diving at Work Regulations 1997, IMCA recommendations and best industry practice.

We would look to train a variety of divers such as the below :-

We would also look to provide a training programme to include but not limited to :-

James Fisher Fendercare would make significant investment in the initial diving equipment outlay which would be required for starting this academy.

5 MARINE PRODUCTS SERVICES AND LOGISTICS BASE

In addition to the regular movements of shipping and normal Marine infrastructure in Angola, the Oil and Gas Industry has a large amount of FPSOs currently stationed off the Angolan coast. Most of the consumable items required by all these elements are currently imported in by each client and often taken directly offshore. James Fisher Fendercare intends to stock a large amount of marine hardware on site in Luanda and possibly long term in Cabinda.

This would provide all the Marine companies currently working in or off Angola, quick easy access to the products they require on a regular basis thereby establishing a reliable and quality source of supply encouraging more investment by them in the area as well as the achievement of greater productivity through lower downtime.

These products would include but not limited to :-

Consistent with its approach already stated in this tender, James Fisher Fendercare would look to train local Angolan personnel to become familiar with this equipment and such familiarisation would include a period in our UK office for sales and product training. The skills that will be learnt during this placement in the UK will be able to be transferred back to Angola on return.

6 YOKOHAMA FENDER REPAIR BASE

Yokohama fenders are recognised as the pre-eminent fenders across the world to the extent that Fenders are often referred to as “Yokohamas” such is the strength of the brand. James Fisher Fendercare is the largest distributor of these fenders world-wide and one of only a few Yokohama approved repair service providers.

We employ a team of over 28 fender engineers spread across the globe who are capable of travelling to almost any part of the world at a moments notice in order to affect repairs to fenders. What we would like look to achieve is an onsite base equipped with fender repair equipment and trained staff to carry out these repairs.

Our refurbishment service would consist of:

Consistent with its approach already stated in this tender, James Fisher Fendercare would look to train local Angolan personnel to become familiar with this equipment and such familiarisation would include a period in our UK office for sales and product training. The skills that will be learnt during this placement in the UK will be able to be transferred back to Angola on return.

Further to this, supplies would be sourced locally to assist with the maintenance which we believe will create opportunities and incentives to local economy and this approach is consistent with our stated objectives to source supplies locally where possible.

7 SHIP-TO-SHIP (STS) LIGHTERING BASE

James Fisher Fendercare is indisputably the leading provider of STS services throughout the world operating from over 20 bases world-wide and completing over 2,000 operations per annum. Its largest individual centre is in Lagos, Nigeria where it has operated for 10 years and now has a considerable infrastructure to meet the demand for its services.

The services involve supplying equipment and specialist trained personnel (Mooring Masters and Pilots) to berth vessels at sea (either under way or at anchor) for cargoes (crude, white and black products, LNG and LPG, other bulk) to be transferred between tankers for outbound/inbound or onward voyaging.

James Fisher Fendercare would very much like to repeat the success of Nigeria in Angola and would therefore look to set up a STS based in Angola with a view to offering this service to the industry. We currently employ a pool of over 40+ Master Mariners with a diverse range of experience of marine activities but the goal, as we have done in Nigeria, would be to train local Mooring Masters to carry out these services to Internationally recognised standards.

We provide a range of marine consultancy services including :-

The intended outcome is that Angola would become a major lightering location for Oil majors and Traders alike which in our experience has seen additional investment for the country involved once they have an assured and quality source of supply

8 INITIATIVES AND EXPANSION PLANS

To achieve the above the following planned expansion is envisaged.

  • Year 1
  • Year 2
  • Year 3

Staff projection based on the above 3 year plan

  Year 1 Year 2 Year 3 Total
Diving Academy 1 1 2 4
Ship-to-Ship Lightering Base   1 2 3
Marine Products services and Logistics base   1 1 2
Yokohama Fender Repair Base 1 1 2 1
      Total 10

This details only the local staff employed for the work and is a conservative estimate but figures could be much higher if the demand is there for these services.

Clearly many other Angolan nationals will benefit from the training provided either through the Dive School or STS base.