A local company is pursuing a significant opportunity to become a major manufacturer of equipment used in the offshore with the assistance of an equity investment of $970,000 by the Provincial Government.

The province�s investment provides partial funding for a $5-million capital program to expand the manufacturing facilities of Orphan Industries Limited to become the preferred supplier of Launch and Recovery Systems (LARS). These units are highly specialized, hydraulically-powered steel arms used to deploy and retrieve Remote Operated Vehicles (ROVs) used in the international oil and gas industry.

The capital program undertaken by Orphan Industries has the potential to create 70 jobs in the province, and will provide spin-off opportunities for local companies to supply components to be used in the manufacturing process associated with this venture.

"This is a success story of a local company achieving results in the global marketplace and government is proud to support this initiative with a strategic equity investment," said the Honourable Kevin O�Brien, Minister of Business. "Our government is demonstrating once again our commitment to strategic investments in local companies. These types of investments create local employment, stimulate economic activity, and enhance the investment climate in the province. Every local company that achieves success internationally builds the recognition of our province and, in turn, helps open doors for other Newfoundland and Labrador companies competing for global contracts."

Orphan Industries Limited has been awarded a contract by Oceaneering International Inc. to manufacture and export these systems. Orphan competed against 26 bids from around the globe including China, Singapore, the European Nations, and the United States to obtain the contract from Oceaneering, one of the largest manufacturers of ROVs in the world.

This investment will enable a local company to take full advantage of a new opportunity, positioning Orphan Industries as an internationally competitive business in the oil and gas sector.

"This project has huge export potential and represents an opportunity for this province to build a reputation for providing heavy equipment fabrication," said the Honourable Kathy Dunderdale, Minister of Natural Resources. "It is innovative and it has elements of skills and technology transfer. It is where we as a government want to help take our oil and gas industry."

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