Meet our CEO, Jørgen L. Jørgensen, and learn about Ross Offshore´s turnaround over the last few years. He also shares his view on the industry’s future and Ross Offshore’s plan for continued growth.
The tide has turned for Ross Offshore – what’s been your secret to success?
First and foremost, the sharp decline in the oil and gas market triggered a critical need to cut costs. Thus, we initiated a project to eliminate the “red numbers”, including new, challenging requirements for all aspects of our business. I was very impressed by the team’s ability to remain diligent, stick to the plan and remove the planned cost benefits. Within just two years, we were able to readjust our focus to growth.
This turnaround is also accredited to delivering new products and increasing our contract market share with third-party providers on behalf of oil companies. Our increased acceptance in the industry has, excitingly, led to Ross Offshore maintaining a larger role within operations. It’s true that Ross Offshore is governed by the exact same laws and regulations as other oil companies, including supervision from PTIL. Which verifies the premium quality of our management systems and people – therefore, we have built trust. Furthermore, it is expensive for oil companies to keep the required inhouse resources on standby between drilling operations; making Ross Offshore a preferred provider for efficiency in the long run.
So – while last year was about growth, our focus in 2020 will be to establish ourselves as a dependable service provider and build an even stronger organization to support this.
Understanding existing market activities is important – what are some of the ongoing changes in the industry right now?
There is heightened activity with regards to the trading of oilfields, where companies with license have made discoveries and want to sell. We also see oil companies and oilfield service companies merging to strengthen their market share while several of the leading oil companies eg. Esso, Shell and Total are indicating their intent to withdraw from NCS. Moreover, numerous major corporations are diversifying their portfolios beyond oil and gas development projects. Instead, they are increasingly moving into renewable energy projects.
What kind of services do you expect to deliver next year?
Our holistic team structure allows Ross Offshore to support the entire supply chain. Thus, there are multiple areas we will continue to provide and grow our services within.
First, as the activity on the NCS is quite high, we expect to maintain our level of service within well management. At the same time, we believe the demand for marine services will continue to grow. Thus, Ross Offshore aims to be the preferred provider of both marine services and future renewable projects.
Beyond these services, we aim to increase our market share within the transactional market, i.e. reserve audits and due diligence support from our excellent subsurface team.
Finally, the demand for our consultancy services quickly grew last year. As a result, we expect a continued, steady growth for 2020.
What is important for Ross Offshore to continue the growth?
Quality deliverance and maintaining the competence capacity to efficiently serve our clients are our two top priorities. Currently, we have increased in our recruitment and training of young professionals more than ever before. These recruits are experiencing quite a steep learning curve with on-the-job training and mentors. This ensures relevant manpower for our team to serve the market for the expected “boom” in 2021.
What do you believe are the company’s strengths going forward?
Our strength comes within is an accurate statement when describing Ross Offshore. Internally, we have a positive work environment, making people not only want to join our team but be willing to take the extra mile for the company when needed. Our “Ross Star” employees are adaptable and want to be close to the client, giving us an agile work environment. At the same time, I feel that Ross Offshore is a workplace with mutual flexibility that benefits all parties.
Secondly, we understand our clients – because we have been in their shoes. All of our employees have experience from the oil industry. Therefore, it is easier to communicate with clients and deliver on their expectations.
Where do you see Ross Offshore in 5 years from now?
In five years, I believe that size matters even more. Trust comes from being a reliable and preferred provider within the industry. Thus, we will continue to strengthen ourselves regarding our competitors and sustain our growth through the strong client focus we have today. We need to spend time with our clients to understand their daily operations and their success factors.
Simultaneously, we need to innovate and adapt to make sure we are still a preferred partner for renewable energy operations on the NCS. It is crucial that we strive to achieve sustainable solutions and make it easy for our clients to be green and sustainable. That is also why we have introduced “Ross Green Steps” as part of our future platform.