Kongsberg Discovery and Naxys Technologies AS focus on underwater safety

By Marek Grzybowski

Kongsberg Discovery has entered into an agreement to acquire Naxys Technologies AS. The company, headquartered in Bergen, is a world leader in underwater environmental monitoring technology, specializing in recognizing the sounds of oil and gas leaks. It is significant that the information was published in January this year, when disturbing information about breaches of critical infrastructure in the Baltic Sea went out to the world.

Oceans and seas have been a place of exploitation of energy resources for years, and thousands of kilometers of cables and pipelines stretch along their bottom. Oil and gas extraction companies are still active on the shelves. Hundreds of “offshore windmills” generate electricity near the coast and in many waters, and new ones are constantly being built. Offshore energy installations and gas and oil transmission pipelines are today, like never before, a potential target of terrorist or military attack.

Kongsberg Discovery has excellently recognized the market and has been developing technologies useful to humans in the use of both ocean space, the seabed and space technologies for many years. The latter fundamentally support the exploration and exploitation of marine resources, ensure safe navigation of commercial vessels and fishing. They enable traffic management in ports and outer ports. They enable monitoring of hydrometeorological conditions and forecasting of threats related to weather changes.

KONGSBERG emphasizes that it is about “sustainable management of marine resources, as well as monitoring climate change and supervising critical infrastructure and ensuring national security”. The Norwegian manufacturer’s products are used in the fishing, marine research, underwater safety and marine operations sectors. The technologies offered support sea users in positioning their position on the oceans and provide necessary communication. Kongsberg Discovery products are also used in offshore wind energy, whose installations, in addition to offshore platforms in oil fields, are also at risk. It is no wonder that KONGSBERG CEO Geir Håøy emphasizes that Naxys fits well into the company’s technological profile.

 

– As a technology company and expert in the ocean space, we have developed world-leading solutions for mapping, monitoring and understanding the oceans, which in fact cover 70% of the Earth’s surface and remain largely unexplored. The acquisition of Naxys fits well with our technology portfolio and our growth ambitions as an expert in the ocean space, Håøy emphasized in the announcement announcing the acquisition of the Norwegian partner.

Naxys Technologies will be part of Kongsberg Discovery, a company spun off from Kongsberg Maritime and established as a separate business area within Kongsberg Gruppen in 2023. The rationale was to strengthen the company’s position and investment in advanced solutions including underwater sensors and robotics.

Underwater environment in the spotlight
– Kongsberg Discovery has delivered solid organic growth to the Group to date, and this acquisition is the first step in the inorganic part of its growth strategy. This move enables Kongsberg Discovery to strengthen its technology platform, equipping the company to meet the ever-increasing demand for both sustainability and safety, says Håøy.

Martin Wien Fjell, CEO of Kongsberg Discovery, points to the company’s top-class competence in passive hydroacoustics as key to the deal. Naxys provides environmental monitoring solutions for the oil and gas industry. The company is also well-positioned to develop technologies that are useful in both the exploration and defense markets.
– Naxys Technologies ensures that companies operating in undersea oil and gas fields can be quickly notified of any leaks. This is becoming increasingly important as the demand for environmentally friendly operations increases worldwide, says Fjell.

Protecting marine life and monitoring critical infrastructure are key areas of focus for Kongsberg Discovery.

– We have developed several market-leading products in the field of hydroacoustics since the introduction of the first sonar in the 1950s. With Naxys’ technological expertise, we are further strengthening this position, enabling us to deliver an even broader product portfolio to the market, continues Fjell.

Naxys Technologies was founded in 1999 and is now a world leader in passive acoustic leak detection. Its customers are mainly large offshore mining companies. Drilling platforms, oil and gas pipelines require constant monitoring. Drilling and transmission companies use this technology to detect leaks. Naxys Technologies devices are also used to monitor subsea drilling equipment, as well as underwater machinery such as pumps and compressors. The agreement to acquire the company by Kongsberg Discovery was signed on 20 December, and the news was announced in Bergen on 7 January.

Underwater synergy of knowledge and competence
Martin Wien Fjell from Kongsberg Discovery points out that the acquisition of Naxys Technologies AS will result in synergy of knowledge and competence, experience and production potential. He emphasises that “The team in Bergen has built a strong business with technology that is a perfect fit for Kongsberg Discovery. Environmental monitoring using passive hydroacoustics is key to Naxys and is in line with the importance of sustainability and safety for our company. I am looking forward to getting to know all the employees and starting our collegial cooperation”,

Both companies have a strong position in the offshore equipment market and access to the global market. Jens Abrahamsen, CEO of Naxys Technologies and co-founder of the company in 1999, is convinced that joining forces will provide a strong position on the international market.
– As part of KONGSBERG, we will now have the opportunity to grow further. In my opinion, there is only one technology company that has the strength and ambition that is in line with our way of thinking. This is Kongsberg Discovery, says Abrahamsen. The company will remain in Bergen and continue to develop its operations and technologies for ocean exploration and exploitation and maritime defence.

Naxys Technologies AS employs 28 people in Hegreneset in Bergen. The company expects to exceed NOK 100 million in turnover in 2024. The company has production, research and development, as well as sales and service staff. KONGSBERG employs more than 1,100 people in Horten, Trondheim, Bergen and Oslo in Norway, and also has operations in Alicante in Spain, Aberdeen in the UK, Lynnwood (Seattle), Houston and New Orleans in the USA, Vancouver and Halifax in Canada, Kuala Lumpur in Malaysia and Singapore. Kongsberg Discovery is part of KONGSBERG, a leading technology group based in Norway.

In Poland, KONGSBERG is well known for its products for the maritime industries and contracts for the Polish Army, including the Polish Navy. It is known that Kongsberg Defence & Aerospace will deliver the Naval Strike Missile (NSM) for three Polish frigates, and perhaps also the Joint Strike Missile for Polish F-35s. The Naval Missile Unit, the land component of the 3rd Ship Flotilla, is equipped with the NSM.