The energy services group Amec Foster Wheeler expects to expand in the Middle East despite cost pressures from persistent low oil prices.
Roberto Penno, the company’s regional head, said Amec was looking at locating its third regional hub in the UAE to market nuclear energy services in anticipation of the region’s plans to expand in this area. It already has nuclear business operations in the United States and Europe.
The company’s main business in the region is in oil and gas, where contracts include project management of Abu Dhabi’s offshore expansion of the giant Upper Zakum field.
The company, which was formed by the US$3.2 billion merger last year of London-listed Amec and Foster Wheeler of Texas, has been under pressure with the fall of oil prices.
It has been cutting costs mainly by eliminating jobs, but the company says its oil and gas business will hold up in the Arabian Gulf and there will be opportunities to expand in other areas.
“We have 700 people working in the UAE and in excess of 2,000 in the Middle East generally, and on top of this – which is essentially in oil and gas – we plan to build the other elements,” which include solar, nuclear, electricity generation in general and some mining operations, Mr Penno said. The company has also lined up a new joint venture in Saudi Arabia, he added.
“The diversification strategy is really the biggest part of our ‘revenue synergy’ strategy”, in which the company has extended contracts to business in its traditional oil and gas areas.
amcauley@thenational.ae
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MATCH INFO
Uefa Champions League, Group B
Barcelona v Inter Milan
Camp Nou, Barcelona
Wednesday, 11pm (UAE)
NO OTHER LAND
Director: Basel Adra, Yuval Abraham, Rachel Szor, Hamdan Ballal
Stars: Basel Adra, Yuval Abraham
Rating: 3.5/5
What is the FNC?
The Federal National Council is one of five federal authorities established by the UAE constitution. It held its first session on December 2, 1972, a year to the day after Federation.
It has 40 members, eight of whom are women. The members represent the UAE population through each of the emirates. Abu Dhabi and Dubai have eight members each, Sharjah and Ras al Khaimah six, and Ajman, Fujairah and Umm Al Quwain have four.
They bring Emirati issues to the council for debate and put those concerns to ministers summoned for questioning.
The FNC’s main functions include passing, amending or rejecting federal draft laws, discussing international treaties and agreements, and offering recommendations on general subjects raised during sessions.
Federal draft laws must first pass through the FNC for recommendations when members can amend the laws to suit the needs of citizens. The draft laws are then forwarded to the Cabinet for consideration and approval.
Since 2006, half of the members have been elected by UAE citizens to serve four-year terms and the other half are appointed by the Ruler’s Courts of the seven emirates.
In the 2015 elections, 78 of the 252 candidates were women. Women also represented 48 per cent of all voters and 67 per cent of the voters were under the age of 40.
'The Ice Road'
Director: Jonathan Hensleigh
Stars: Liam Neeson, Amber Midthunder, Laurence Fishburne
2/5
MATCH INFO
Uefa Champions League quarter-final, second leg (first-leg score):
Manchester City (0) v Tottenham Hotspur (1), Wednesday, 11pm UAE
Match is on BeIN Sports
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