New optimism in the Norwegian oil industry

The oil and energy industry in Norway is experiencing a positive increase after some years of reduced activity. Optimism became visible on the Offshore Technology Days (OTD), the industry's annual meeting place.

Oslo, Norway – Lesjöfors AS in Norway attended the Offshore Technology Days (OTD) that was held October 16-18 2018 in Bergen. OTD is the annual exhibition for the sub suppliers in the oil and energy industry and the location alternates between Bergen and Stavanger. This year there were a total of 250 exhibitors and more than 12,000 visitors. Lesjöfors has also previously participated at OTD with great success.
“Offshore Technology Days is where oil and energy professionals meet to do business, share technical knowledge and network. That is why it is natural for us to participate and show our belonging to this industry,” says Jan Erik Resch-Knudsen, Sales and Quality Engineer at Lesjöfors AS.

Super Alloys

Several exhibitors and visitors are already customers of Lesjöfors and know the business well. Others had less knowledge and used the opportunity to learn more about the possibilities that customers can benefit from. In particular, there is an increased demand for springs in super alloys and many participants wanted to learn more about the solutions Lesjöfors can offer in this field.

Most of the players in this market provide advanced equipment for the oil and gas industry with very high material demands. Therefore, it is natural that the spring material is compliant to the same requirements.
“In this industry, it is very common to deal with equipment located in extreme environments. The springs we supply to such environments are usually made in Elgiloy, MP35N, Inconel 718 and Titan Gr.5. We have received several inquiries regarding springs in these materials at this fair,” says Resch-Knudsen.

In addition to custom-made springs in more exotic materials, Lesjöfors also presented its standard range of stock springs.

Industry optimism

After some tough years of economic recess, there are now signs of a brighter future. Just four years ago, oil prices fell dramatically, which led to major consequences for Norway’s oil industry and sub suppliers. There has been a major uncertainty about future projects, but it seems that this uncertainty is more or less gone. This is, among other things, a result of necessary cuts made by the industry which has led to that Norwegian players are now highly competitive. Most experts believe that we have seen the bottom in 2018 and that an increase in investment activity on the Norwegian shelf will take place in 2019 and 2020. This will have a positive impact on oil suppliers and companies directly or indirectly linked to the oil and gas business.

New opportunities

Despite the past years of recession in the oil industry, industry people certainly see the importance of attending fairs like OTD.
Resch-Knudsen concludes: “We have received several interesting requests and new opportunities that we will pursue further. The high service and technical expertise we offer are proving to be highly sought after by many of the players in this market. Overall, we are very pleased with this year’s participation and we anticipate some exciting years in this industry ahead. We have already reserved a stand at OTD 2019, which will be held in Stavanger.”

Lesjöfors AB