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UK Supply Chain Focuses in on Middle East Business Opportunities at EIC Connect Energy in Abu Dhabi

400 delegates from over 150 companies; 12 leading operators and contractors from the United Arab Emirates (UAE), Saudi Arabia, Iraq and Kuwait - all establishing direct links to their current and potential supply chain; and 27 exhibitors showcasing their solutions to the Middle East market...These were some of the top line figures from EIC Connect Energy, the latest iteration of the highly successful EIC Connect series of supply chain networking events which took place at the InterContinental Hotel in Abu Dhabi on 29 March 2011.

The event was run by the EIC (Energy Industries Council), the leading trade association for UK companies that supply goods and services to the energy industries worldwide, with engineering giant Siemens the lead sponsor. And with currently 226 active and future projects in the Middle East (Source: EICDataStream), the timing of the event couldn't have been better.

EIC Connect Energy is the first time EIC Connect has come to the Middle East, providing a highly effective platform for the UK supply chain to promote its products and services to the main operators and contractors in the region. Contractors and operators who presented at the event included Abu Dhabi Gas Industries Ltd ( GASCO ), Abu Dhabi National Oil Company ( ADNOC ), BP , Jacobs, Kuwait Oil Company , Punj Lloyd , Masdar , Mott MacDonald, Shaw, Shell , Siemens , and WorleyParsons .

The format of the day consisted of a series of presentations by Middle Eastern operators and contractors to the supply chain, where they outlined current projects and procurement policies, carried out 224 1-2-1sessions where energy companies could put their cases direct to target customers, and the chance to view the products and services from the 27 exhibiting companies on display. Of particular interest were the current opportunities in Iraq with one workshop dedicated to this much talked about country and its potential for suppliers.

As part of the EIC Connect Energy programme, the EIC also held an 'Ice Breaker' Evening Reception as a prelude to the main event, bringing together senior individuals from the region, event speakers, exhibitors, sponsors, and the media in the hotel grounds which was opened by British Ambassador for the UAE, Dominic Jermey.

Delegate Feedback

"The event was beyond my expectations in terms of the quality of presentations, the attendees and the format," said Mike Smith, Vice President Sales, Middle East for Maclean Electrical, a leading electrical distributor to the energy sector. "My company will get nothing but positives on yesterday's event", he continued.

His words were backed up by many other delegates, including Jason Thomas of Teddington Engineered Solutions, manufacturers of bellows and expansion joints, who described the attendees as "highly relevant".

Mohammed Dada of FTV Proclad (UAE) LLC, who supply clad facilities, said: "Thanks for a well organised event and I hope to attend again in the future. It was perfect for networking with peers and major IOC's and NOC's as well as engineering companies."

There was also very positive feedback on the speakers. "The EIC's ability to attract major companies to present at this event was evident through the quality of the speakers, all of whom did a great job in engaging the audience," commented Andy Holt, Business Manager, Middle East and Africa for Leighs Paints, who manufacture industrial paints.

As always, however, it was the networking opportunities which shone through. "The event was successful for us. We particularly enjoyed connecting and networking with other companies from the industry," said Ahmed Saleh, Head of Business Development and Sales, EMEA at Atkore International, an industry leader in the manufacturing of galvanized steel tubes and pipes, electrical conduit, armored wire and cable, metal framing systems and building components.

He continued: "I do believe we gained some valuable market intelligence on key upcoming projects in the region. In addition, the sessions were very informative for us as it will help us plan our go to market strategies for the next couple of years with key customers. I look forward to the next event."

Finally, Phil Cherrie from engineering group, Sandvik, commented: "We found the event to be extremely well organised and useful. The speakers were relevant, interesting and the networking opportunities were excellent."

The Exhibitors

27 companies exhibited, all sharing the goal of making further inroads into the Middle East energy market and offering expertise across the supply chain from pipeline technologies and industrial devices to drilling, flow assurance, safety & surveillance, and water treatment.

Companies showcasing their solutions included Brunel Energy, CMP Products, DHL Supply Chain, Howden Middle East, Hydrasun and Pentagon Freight Services. A full list of exhibitors can be found at http://www.EIC Connect .co.uk/energy/11-03-29/EIC Connect -energy-exhibit.html.

"I liked the way in which the workshops took place in combination with the 1-2-1meetings," said Louis Harrewijn, Regional Director for the Middle East and India for Brunel Energy. "We also found it a very worthwhile forum for exhibiting."

"Our stand generated a good deal of interest in our services, with our Attbuild maintenance offering attracting the most interest," said Andy Long, Operations Director of Attric, a leading UK independent consulting and services company.

He continued: "We already have a follow up presentation to deliver to GASCO at their request at the back end of May and we now understand how the procurement process works for WorleyParsons , Mott MacDonald, and Shell and BP in Iraq. Attric will be following up on these contacts during my next visit to the region in May and it's now down to us to turn these contacts into sales."

The Speakers

12 operators and contractors presented at EIC Connect Energy covering a plethora of issues relevant to the UK supply chain and their goals of increasing business in the Middle East.

• The Iraq focused presentation theatre saw a variety of presentations, including from the BP -led Rumaila consortium that are set to further develop Iraq's largest oil field -the world's 4^th largest field with reserves of up to 17 billion barrels. In his presentation, Cameron McLean, PSCM Manager, Projects Iraq for BP focused specifically on the opportunities from Rumaila, the structure of the venture with PetroChina, and how the pre-FEED stage is currently underway.

Cameron highlighted the opportunities for the Rumaila supply chain in the areas of oil & gas, power, pipelines, water and infrastructure, as well the procurement process all interested parties must go through from pre-qualification to the awarding of contracts. The presentation was extremely positive with it being made clear that there would be a lot of opportunities for the supply chain in the next four to five years.

• Shell and Shaw Group also provided an overview of supply chain opportunities in Iraq. Frans Dietvorst, Contracting and Procurement Manager for Shell Iraq Petroleum Development Company, for example, looked particularly at the Majnoon field development, one of the world's largest untapped reservoirs, which is being jointly developed with Petronas and which is targeting production of 175,000 barrels of oil equivalent a day by 2012.

In his presentation, Frans provided an overview of the different project phases and the current contractual commitments over the 20 year contract period. Phase 1 alone will see the development of 15 new wells and three rigs, and phase 2 will then see 1,000 new production wells, 50 water injection wells and 20 to 30 rigs. Frans also provided practical advice on what the supply chain can do to prepare for possible engagement, the contractor registration process, and the shortly to go live Shell Iraq web portal.

• Ian Pirie, Project Director for Shaw's Energy and Chemicals Group, also presented. A Fortune 500 company with 27,000 employees around the world, Shaw serves the energy, chemicals, environmental, infrastructure and emergency response industries.

Ian provided an overview of supply chain opportunities on the Kirkuk and Maissan refinery projects in Iraq where Shaw was awarded the contract by the Iraq Ministry of Oil in December 2008. Ian also discussed the key elements of the refinery and the different process units as well as supply chain opportunities which included capital investment, equipment and bulk material providers, EPC contracts, logistics and IT deployment. "There are major opportunities for the oil & gas industry in Iraq," concluded Ian. "It's a question how companies take best advantage of that."

• Fatema Al Neaimi, Business Planning Manager E&P from Abu Dhabi National Oil Company ( ADNOC ), who manage and oversee over two million barrels of oil a day, also presented. Fatema provided an overview of the structure of ADNOC , its HSE guidelines and how the supply chain could engage them. "Any project doesn't get the green light until HSE guidelines are met", she continued. She also stated ADNOC 's aims of increasing production to 3.5 billion barrels a day and doubling refining capacity by 2014.

• Mohammed Mazen Al-Masri, Vice President, Commercial at Abu Dhabi Gas Industries ( GASCO ) provided a description of the new GASCO e-Registration system, a web-enabled system designed to capture suppliers' data and simplify and speed up the pre-qualification business. Mohammed also introduced GASCO 's new Commercial Directory Data Sharing (CDDS) System.

• Peter Barr, Senior Vice President, Oil & Gas for Siemens Middle East, discussed the Siemens value chain and its Middle Eastern activities. Peter also stressed their intention to focus more on oil & gas and building that capability local. In regard to Iraq, Peter stressed his belief that "the region provided the largest single opportunity for oil & gas companies over the next few years." He also provided details over local hubs in Saudi Arabia and the UAE.

• Carl Kohler, Vice President, Construction at Jacobs Engineering Group, one of the world's largest and most diverse providers of technical, professional, and construction services, told his audience about the organisation's Middle Eastern activities. The company has 1,374 procurement staff worldwide with $8 billion committed to the supply chain annually.

Carl talked about Jacobs' sub contracting principles and projects in the UAE and Saudi Arabia. Procurement systems and tools were also shared including the Jacobs Material Management System, and the Jacobs Global Supply Database. "We are anxious to meet old friends and develop new suppliers," concluded Carl. "We aim to meet our target of 15% growth a year and we need your help to do that."

• Mansour Johar Abdullah, Contracts Engineer for the Contracts Services Team at Kuwait Oil Company (KOC) told his audience about KOC's contracting and purchasing procedures and processes, as well as the typical tender models covering everything from engineering, procurement and construction through to specialised oilfield services and consultancy. Attendees were encouraged to use the KOC eTendering portal to submit contracts online.

• Julian Taylor, Country Manager for Mott MacDonald in Iraq, described the company's current activities in the Middle East with over 1,300 of its staff based in the Gulf and India and over 40 years of activities in the region. He also discussed Mott MacDonald's activities in Iraq which has been ongoing since 2003. Project examples were given including a systems upgrade for the Fahud oil field for PDO Oman, EPCM services for ZADCO, and a pipeline project which aims to inter-connect three refineries in the UAE.

• Dr Malcolm Cook, Head of Process at Punj Lloyd , a company which provides EPC services in oil & gas, process, civil infrastructure, and thermal power sectors, gave an overview of current projects underway for the Group in the Middle East, including the Shah Gas Gathering Project in the UAE, an integrated gas development project for GASCO , a strategic gas transmission project for Qatar Petroleum in Qatar, and the Jubail Export refinery for Saudi Aramco in Saudi Arabia. Dr. Cook also gave details on the strategic procurement process at Punj Lloyd and prospects for global suppliers.

• Dr. Afshin Afshari, Energy Manager from Masdar City, a planned city being built by Abu Dhabi Future Energy Company with the goal in Dr. Afshari's words of being a "test bed for innovation in the field of clean technology." Masdar itself is a new kind of energy company that operates across a wide range of renewable energy and sustainable technology fields. In his presentation, Dr. Afshari provided an overview of the different phases of the build and the opportunities for the supply chain.

• Finally, Tom White, GM Hydrocarbons UAE and Doug Brown, Regional Procurement Manager MENAI for engineering services company, Worley Parsons told attendees that current procurement expenditure levels for the group currently stand at $20 billion with 12,500 procurement professionals employed throughout the group. As well as giving an insight into the structure of the procurement organisation and Worley Parson's systems and tools, they also talked delegates through the supplier registration process and typical framework agreements. "Performance-driven and results-oriented," that's what are procurement is all about they concluded. "We value key supplier relationships very highly and will continue to develop these to everyone's mutual benefit."

The Sponsors

Finally special thanks should go to the event sponsors - Siemens , the lead sponsor; WEG Electric Corporation, who sponsored the speakers lounge; DHL, who sponsored delegate folders; Mott MacDonald, who sponsored one 2 one appointments; and Shaw, who sponsored the refreshments area.

" Siemens has been actively involved with the EIC around the world for many years", said Peter Barr, Senior Vice-President for the Oil & Gas Division in Siemens.

"Having now opened our oil and gas headquarters in Abu Dhabi, we are well-positioned to meet the regional challenges of providing value-proposition, integrated solutions to our clients and becoming the trusted technology partner in the region. With its first main EIC Connect event in the Middle East and specifically in Abu Dhabi, the EIC has provided us with a solid platform to meet both customers and suppliers from around the Middle East, which allowed us to showcase our technology, expertise and commitment to localization necessary for underpinning our engagement in one of the world's most dynamic regions."

Final Thoughts

Sarah Lansdell, National Event Manager for the EIC concluded on the success of the event:

"There's always a slight feeling of entering the unknown when you take what has been a highly successful series of events and replicate in a new market - in this case, the Middle East. We need not have worried!"

She continues: "Feedback from the event has shown what a key market the Middle East continues to be for the UK supply chain and the wealth of business opportunities on offer. We are delighted that EIC Connect Energy proved to be such an effective networking platform."

"The Middle East accounts for the highest proportion of EIC member company interest and we are sure it will only be a matter of time before EIC Connect returns."

The next EIC Connect event will be EIC Connect Power which takes place in London on November 23^rd and 24^th 2011 and will see the world's leading operators and contractors from across all aspects of the power sector present their buying policies and international project news to the energy supply chain, plus the chance for just 40 companies to showcase alongside them in the exhibition and join them at the evening reception at the Houses of Parliament. For more information, please visit www.eiconnect.co.uk

-Ends-

About the EIC
The EIC is the leading trade association for UK companies supplying goods and services to the energy industries worldwide. Established in 1943, the EIC has over 600 member companies and provides them with the capability to understand, identify and pursue global business opportunities. The EIC membership comprises contractors and suppliers from all areas of the energy sector who make a significant contribution to the UK economy, employing in aggregate around one million and generating £100 billion in revenues from their UK operations.

The EIC's head office is in London with regional offices in Billingham and Aberdeen, and overseas offices in Rio de Janeiro, Houston, Singapore, and Dubai.

The EIC Board of 20 Directors is elected by members annually and establishes overall policy and provides guidance and governance to the management team.

For a full list of members, visit http://www.the-eic.com/memberslist/memberlist.pdf

© Press Release 2011