Mitsui buys Port of Nigg and two other GEG units

Port of Nigg has been sold to Mitsui as part of a deal that will see the Japanese company acquire three companies from Global Energy Group (GEG).

Global Energy (Fabrication) and Global Energy Services are also sold for an undisclosed sum to long term investor Mitsui & Co Europe (Mitsui), together with, Mitsui O.S.K. Lines (MOL), a global shipping and logistics provider.

Mitsui took a 25.5% stake in chairman Roy MacGregor’s GEG (Holding) in 2012 and post acquisition will own 51% of the company with MOL acquiring the remaining stake. The deal was approved by the European Commission, under the EU Merger Regulation, on 30 June.

The investment is expected to position The Port of Nigg for its next phase of development as a critical infrastructure asset within the UK’s energy transition. In 2023, it was awarded green freeport status by the UK and Scottish Governments, as part of the Inverness & Cromarty Firth Green Freeport consortium.

Since GEG purchased the facility in 2011, over £120m has been invested into Nigg’s redevelopment and expansion.

As a result, the port has played an integral role in the UK’s offshore wind sector, securing major contracts for Beatrice Offshore Wind Farm, Moray East Offshore Wind Farm, Seagreen Offshore Wind Farm and Moray West Offshore Wind Farm.

Mitsui has committed to further investment in the site, including expansion of its manufacturing capacity and quayside infrastructure to meet growing demand from a wide range of energy services sectors both for the oil and gas and offshore wind markets.

Following the divestment of the three business units, Mr MacGregor’s Inverness-based GEG (Holding) – operating as Global Energy Group – will continue to offer services at The Port of Nigg through its supply chain companies, Global Port Services, Global Crane Services, and Global Wind Projects – as well as the supply of labour on a project-by-project basis.

The Aberdeen-headquartered energy engineering company, Apollo, also remains part of the GEG portfolio.

GEG (Holding) will retain the rights to the Global Energy Group name. It will continue to operate its businesses from locations including The Port of Nigg, Invergordon port facility, as well as retaining offices in Inverness, Aberdeen and Edinburgh.

Mitsui is a global trading and investment company operating in more than 60 countries, with a workforce of 56,400 and a portfolio spanning 16 sectors, including energy and infrastructure.

This marks Mitsui’s first major investment in a Scottish port facility. MOL strengthens the partnership through its experience in offshore and renewable energy.

Mr MacGregor said: “We are hugely proud to be passing on the baton at The Port of Nigg having spent much of the last decade establishing it as a truly world class multi energy facility.

“Having worked closely with our trusted investor, Mitsui, since 2012 we believe the time is right to let them drive the next stage of development at Nigg – and we believe they are the correct custodian for a facility that provides so much employment and prosperity for the Highlands.

“Under their guidance the port will continue to grow and develop – providing long term, secure, skilled employment opportunities for generations to come, as well as driving Scotland’s energy transition.

“We look forward to continuing to work with them through our companies that service and deliver projects at the port, including Global Port Services, Global Crane Services, Global Wind Projects.”

Speaking on behalf of Mitsui & Co., Makoto Takasugi, chief operating officerat Iron & Steel Products Business Unit, said: “We are privileged to take on the stewardship of The Port of Nigg and the associated energy services businesses, building on the strong foundations developed by Roy MacGregor and the Global Energy Group team.

“For over 13 years, as a shareholder and board member, we have witnessed the impressive growth of Global Energy Group and the strategic importance of Nigg in the UK’s energy industry.

“We look forward to carrying forward that legacy, working with the skilled local teams across the three companies for years to come – servicing the huge demand for offshore wind power – as we grow our role in energy transformation across Scotland, the UK and Europe.

On behalf of Mitsui O.S.K. Lines, Masayuki Sugiyama, managing executive officer said: “The Port of Nigg plays an indispensable role in the UK’s energy transition, particularly in offshore wind, and holds substantial potential for future growth.

“In partnership with Mitsui, which has supported Global Energy Group for the past 13 years, we are fully committed to leveraging our expertise and experience in maritime operations to contribute to the long-term development of the Highlands and to accelerate a more sustainable future.”