Having recently merged Hanover and Universal Compression, Exterran, a global provider of operations, maintenance and equipment for oil and gas production and processing applications has announced its success, and plans to expand further across the Middle East.
“August 20th – we’ve been merged now for around ten weeks. Hanover started to expand in to the Eastern Hemisphere from Latin America through acquisitions – traditionally the model was to sell the equipment in to the Eastern Hemisphere and the customers would then own and operate it themselves,” said Norrie McKay, vice president, Exterran.
“What we’re trying to do now is to become more involved in the contract business, in other words, to build, own and operate in the Eastern Hemisphere, where we can use the operational experience of Exterran to bring some benefit in terms of services. So the merger was actually a merger of equals in financial terms, there was no buyer or seller. There is only one company,” he added.
Since the merge Exterran has grown considerably. With a market capital of more than US $5 billion, the company continues to expand throughout the Eastern Hemisphere, with current operations in Muscat, Egypt, Pakistan, and Kazakhstan.
“We are looking at geographical expansion – our goal is to become the local service provider in the countries that we operate in. We definitely have plans to grow organically and have plans for further mergers and acquisitions. Now that we are at a size where we can do that – we’ll go where we see accretive growth,” said McKay.
With two main workshops, namely their BELLELI division (headquartered in Mantova, Italy) is located in Jebel Ali and the Hamriyah free zone in Sharjah, Exterran controls compression, production and processing – covering the oil, water and gas sector.
“Our BELLELI divisions – one is based in Italy – which builds critical process equipment such as reactors for refineries – we see lots of activity in Kuwait – Qatar. So those reactors and exchanges are all built in Mantova, Italy and we ship them over here,” said McKay.
“The Middle East is certainly one where we see potential growth in the near, mid and present future. The majority of our growth will come from the Eastern Hemisphere, which is based here in Dubai,” he added.
