THE Middle East region saw the biggest increase in Scottish oil and gas supply chain exports in 2011/2012, according to new figures published by Scottish Enterprise and the Scottish Council for Development and Industry (SCDI). Scotland’s oil and gas sector exports to the region now account for $710 million, having risen by 82 per cent since 2010.

Total sales of supply chain exports, both direct and through subsidiaries, increased by 5.8 per cent to reach $26.72 billion. International sales rose by 8.4 per cent to $12.74 billion with exports to over 100 markets around the world. North America was the largest market, importing $4 billion of supply chain exports from Scotland. After the Middle East, Africa was the second biggest growth market with a 5.9 per cent increase in sales with Australia and Brazil also emerging as new markets of particular interest.

Based on a 2010/2011 to 2011/12 comparative, sales within the Middle East increased in the UAE from $190 million to $196 million; Oman $81 million to $89 million; Qatar $22 million to $45 million and Saudi Arabia $20 million to $42 million.

Welcoming these results, Mark Hallan, senior director, Europe, Middle East and Africa at Scottish Development International, said: “The Middle East is becoming an increasingly important market for Scottish expertise in the oil and gas sector. We share a historic and mutual bond in the growth and development of our respective fossil fuel and broader energy markets. In addition to considerable Middle East investment into our oil and gas industries, Scottish companies such as PSN and the Wood Group have been expanding their operations in the region by providing support services to help sustain international best practice in the GCC, allowing Scottish companies to partner internationally in technology development. This includes areas such as project management, subsea, well management and training services.”

The new figures, which are part of the latest survey of international activity in the Scottish oil and gas sector, were announced by Energy Minister Fergus Ewing as he headed a delegation of over 50 Scottish companies to the Offshore Technology Conference, the world’s leading oil and gas show, in Houston, Texas.

Ewing said: “Scotland has established a global reputation within the oil and gas sector and I am delighted that these latest figures show an increase in international sales, which now account for almost 50 per cent of total sales. Scotland is leading the way in the world of oil and gas and has a clear competitive advantage in this truly global industry. There are huge opportunities open to us internationally and we are determined to make the most of them.”