Sigma Offshore Clinches Funding
Sigma Offshore has secured funding totaling £4million (US $6.1m) from National Oilwell Varco (NOV), Energy Ventures.
This is the second time Scottish Enterprise's Scottish Venture Fund has backed Sigma, while it is a third tranche of investment from Energy Ventures.
The new capital allows Aberdeen headquartered Sigma Offshore to continue with its worldwide push and development of its innovative Smart Mooring System (SMS) and its other mobile production solutions.
The company has targeted SMS for markets in Gulf of Mexico, South America, West and North Africa, the North Sea, South East Asia and Australian waters. A bespoke SMS can cost from £10m (US $15.3m) to £30m (US $46m) or more, while competitive mooring systems can cost £25m ($38.1m) to £50m ($76.3m).
Alistair Dornan, Chief Executive Officer and President of Sigma Offshore, said, "Everyone at Sigma Offshore is excited by the latest investment and to have it backed up with the reputation and size of NOV is a testimony to the potential of the technology we have developed. This is great news for the business."
Derek Shaw, Investment Manager at Scottish Enterprise, said, "We are delighted to continue to support Sigma Offshore through this second round investment alongside our investment partner, Energy Ventures, and we are excited about the prospects for the business going forward as a result of the key investment made by such a global player in the oil and gas sector as National Oilwell Varco."
Greg Herrera, a Partner at Energy Ventures, said, "We expect the investment to act as a catalyst for the business in the rebounding FPSO market. We’re excited about the future for Sigma Offshore."
This fresh investment follows £2m of funding secured from Scottish Enterprise's Scottish Venture Fund and Energy Ventures in May last year. Sigma secured £1m investment from SVF, while Energy Ventures, an original investor and the company’s major shareholder, provided the rest.
The Scottish Venture Fund (SVF) has been set up by Scottish Enterprise, in conjunction with the Scottish Government. Norwegian headquartered Energy Ventures focuses on growth technology companies in the energy sector and has offices in Stavanger, Houston and Aberdeen.
Smart Mooring System is a cost-efficient external turret and fluid transfer system with unlimited weathervaning for oil and gas vessels. Benefits of the system include the ability to operate in harsh environments, efficient connect/reconnect systems, minimal invasion into the ship’s hull and low maintenance costs.
The company believes SMS, which uses proven technology in a more efficient way for many applications, could save clients up to 30%.