UK-based forklift manufacturer and distributor Nexen Lift Trucks Ltd has been forced to build an additional assembly plant offshore, while continuing to operate its main premises in the UK.

Nexen is a family owned business, based in Lowestoft, UK, that manufactures and distributes diesel, gas and electric forklifts and materials handling products. It has been involved in the forklift industry for more than 40 years.

Nexen was "desperate" to find additional space, a Nexen statement said.

The company had an available site next to its Lowestoft premises and planned to build an assembly plant for its newly launched warehouse equipment range and a new research & development building to conduct research into hydrogen fuel cell technology and a new hybrid electric counterbalanced range.

Nexen sales director Pam Oakes said the new plant would have created about 50 jobs.

However, she said local councils, late last year, had "acted with a vengeance and changed their minds", instead allocating the land for a 40 million pound (USD79 million) council base and marine science laboratory. The councils issued compulsory purchase orders to all property owners, including Nexen, that, if enforced, would have given the owners "no choice but to sell the land to the council".

Oakes said "the final straw was when no decision was granted for planning permission on the site.

"We have looked at all the options and the only solution was to move this expansion project overseas. We have been in negotiations for the last few months for relocation and are now at the final stage."

Oakes said she could not disclose the location of the overseas plant.

Nexen and its subsidiaries employ about 70 people in the UK and distribute products worldwide.