Northern Engineering and Welding Company (NEWCo) is expanding its premises in Fort William by 50% and installing two new overhead cranes.

The company secured a £172,700 contribution from Highlands and Islands Enterprise (HIE) towards building and plant and equipment costs.

The improvements will enable the company to continue its growth through increased capacity and efficiencies in production.

Overhead cranes will make handling materials and projects more efficient, as well as improving safety and cutting carbon by reducing forklift use.

NEWCo specialises in all types of welding, fabrication and mechanical engineering. Capacity includes Mig, Tig and MMA welding, as well as rolling, shearing, punching, bending and plasma profiling facilities.

From its Fort William workshop, its team of skilled technicians services clients in sectors such as oil and gas, defence, transport and renewable energy.

In 2015, the company became a subsidiary of Moray based AJ Engineering and Construction Limited, one of the region’s foremost steel fabrication, steel erection and cladding specialists.

Since then, it has broadened its market reach to the point that extending the premises and improving the layout is necessary to meet increased demand and continue growth.

The expansion project will support five jobs, including an apprentice, and bring about an estimated £800,000 increase in annual turnover within three years.

Elaine Jones, senior development manager with HIE’s Lochaber, Skye and Wester Ross team, said: “We’re very pleased to be supporting this great project. NEWCo has grown steadily over the years and this latest expansion will enable it to continue that growth.

“The increase in capacity and productivity of the business will strengthen its position as a valuable provider of skilled job opportunities in Lochaber, including apprenticeships. It will also contribute to the region’s just transition to net zero. We look forward to continuing to work with the company as the project takes shape.”

Neil Worsdall, general manager of NEWCo, said: “The works on this expansion are ongoing. The fabrication of the steelwork for the extension is underway and will be ongoing and the civil side of the extension is also in hand.

“We are balancing managing the extension as we also work to meet the demands of our customers. It is flat out at the NEWCo facility as we work hard to look after our growing customer base.”

Managing director Alan James added: “We are very pleased that the works to expand our base at Fort William are progressing. NEWCo was bought in 2015 and since that time the workload there has been increasing month on month, and we are now at a point where we need to look at what we have in place for our hardworking team and make it even more efficient for them and therefore our growing customer base.

“The building currently houses offices and a workshop, but we need more space to meet the huge demand and to install the new overhead cranes which will make the processes more efficient.

“We are very pleased that Highlands and Islands Enterprise has seen the value in supporting this expansion and thank them for their support.”