2,000 jobs in pipeline as Highland yard is reborn

AMBITIOUS plans have been unveiled to transform the mothballed Nigg fabrication yard on the Cromarty Firth into a service hub for the energy industry.

The announcement, which includes a pledge to create 2,000 jobs in the next four years, was hailed by First Minister Alex Salmond as marking the “potential renaissance of marine engineering in the Highlands”.

He promised £1.8 million of government funding to help kick-start the revival of a yard that once had a workforce of 5,000 and was worth £100m a year to the Scottish economy.

Major work at the yard effectively ceased in 2000 and the 238-acre site has been lying dormant since 2003.

It was first offered for sale in 2005 by American engineering giant KBR and the Wakelyn Trust, which owns part of the site.

It was confirmed yesterday the site has now been bought for an undisclosed sum by Inverness-based company Global Energy Group, which plans to turn the yard into a hub for companies operating across the energy industry – from oil and gas to renewables and platform decommissioning.

Mr Salmond said the plans to transform the mothballed site into a “multi-use modern energy park” would be widely welcomed throughout the region.

Speaking during a visit to the yard, he said: “Nigg is an excellent location for offshore oil and gas and renewables manufacturing. The scale and water depth here are ideal for fabrication and maintenance of the great electricity devices that will power the economies of the future.”

Mr Salmond said the £1.8m in funding, to be delivered by Highlands and Islands Enterprise, would help turn Nigg into a “major manufacturer of green energy machinery”.

The revival of the fortunes of the Nigg complex was also welcomed by Highland Council, which has campaigned for years to regenerate industrial activity at the former oil fabrication site.

Convener Sandy Park said: “This is great news for the Highland economy and promises to bring much-needed and high-quality jobs to the region. We wish Global Energy every success in unlocking the potential of the site. Success will significantly contribute to ensuring sustainable economic growth here within the Highlands but also for the overall Scottish economy.”

Councillor Ian Ross, who chairs the council’s planning, environment and development committee, said: “This couldn’t have come at a better time for the Highlands’ economy.

“It is a site capable of delivering an integrated manufacturing service for the offshore renewable energy industry, as well as ensuring that the Global Energy Group can continue to develop their services to the offshore oil and gas industry.

“The council will now work with the Global Energy Group to bring the facility back into productive use at the earliest possible opportunity and currently are in the process of considering grant assistance towards the removal of derelict buildings and opening up of the site for redevelopment.”