A pipelin company based in Aberdeenshire has been acquired by the Japanese group Mitsui, with the deal expected to be finalized later this summer, subject to regulatory approvals. The acquisition brings together the pipeline technology firm with the iron and steel business unit of the Japanese company.

The acquisition is seen as a strategic move for Mitsui to establish a strong presence in the pipeline maintenance market as a service provider. STATS, the Aberdeenshire company, will continue to operate independently and deliver its services, products, and solutions to customers from its existing operational bases worldwide. The company has headquarters in Kintore and additional bases in Edmonton, Houston, Abu Dhabi, Oman, Qatar, Kuala Lumpur, and Perth, Australia.

Leigh Howarth, the Chief Executive of STATS, expressed excitement about the collaboration with Mitsui and the opportunity to explore both traditional oil and gas pipeline markets and emerging low carbon markets. The partnership is expected to open up growth potential for STATS, supported by Mitsui's extensive energy relationships and investments, leading to career development opportunities for its staff.

For Mitsui, this acquisition aligns with its medium-term management plan to contribute to the global energy transition by providing optimal solutions through business. Utilizing the equipment and services offered by STATS, Mitsui aims to strengthen its value chain in upstream oil and gas interests, focusing on areas such as carbon capture and storage (CCS) and hydrogen.

Upon completion of the transaction, STATS' executive members, including Leigh Howarth, will continue to lead the company. However, the chair and founder of STATS, Pete Duguid, will retire as a part of the deal.

This acquisition marks the exit of BGF, which had been supporting STATS since 2012, as the company realizes its investment in the business. It comes after a previous attempt by STATS to sell the business to Australian-listed SRJ Technologies Group for £73 million fell through due to market volatility caused by macroeconomic, geopolitical, and supply chain events.