FRP Advisory pair appointed as Aberdeen offshore engineering firm enters receivership
A leading North East specialist supplier of small bore tubing systems, technology and services to the oil and gas industry, Aberdeen Fluid System Technologies Limited (AFST), has been placed in receivership, with Iain Fraser and Tom MacLennan, partners with FRP Advisory LLP, appointed joint receivers.
Incorporated in 1999 and based at ABZ Business Park near Aberdeen Airport, AFST provided a full range of small bore tubing products and services, from design and supply through to installation, servicing, maintenance, health and safety and training. Turnover was around £1m, and the company had built a blue-chip client base in the oil and gas industry.
The receivership was caused by rising costs and unsustainable cash flow problems, and the business has ceased trading with immediate effect, resulting in 17 staff being made redundant. The joint receivers will now market the company’s assets for sale, including property, specialist products and equipment, and are urging interested parties to make contact as soon as possible.
Joint receiver Iain Fraser, partner with FRP Advisory, said: “Aberdeen Fluid System Technologies was a long-standing supplier of specialist products and services to the oil and gas industry. Despite the best efforts of the directors, who explored every option to secure a future for the company, it was clear that severe cash flow problems could not be overcome, and the directors decided to appoint FRP Advisory as receivers. We will now focus on selling the assets of the business and will work closely with all agencies, including the Redundancy Payments Office, to ensure the employees receive as much support as possible.”