19th May 2015 09:19
LONDON (Alliance News) - MYCELX Technologies Corp Tuesday said it has identified further turnaround projects in the Middle East and new US onshore applications as targets for 2015, as it expects two major projects that it has already run trials for to move into contract negotiations.
The company, which has technology that removes oil and hydrocarbons from water and waste water for the oil and gas industry, is holding its Annual General Meeting Tuesday, and will also warn shareholders that the fall in the oil price makes projecting revenue difficult.
"The company continues to progress two major projects mentioned previously with trials now completed. The directors anticipate that these projects will move into contract discussions. In addition, we have identified further turnaround projects in the Middle East that have approved budgets and new US onshore applications as targets for 2015 that will provide diversification to the advanced pipeline," Chairman Tim Eggar said in a statement to be delivered at the meeting.
He highlighted that the company is well placed for turnaround projects that are short-term and maintenance-driven. These projects will support lease revenue streams as they are best addressed with modular, readily available equipment such as the equipment used by MYCELX, he said.
"However, we are operating in a sustained period of oil price volatility and this has resulted in slower deployment and less predictable expenditure of capital across the sector. As a result, predicting the timing of capital sales and revenue recognition continues to be difficult," Eggar will tell shareholders.
"Our current revenue projection is broadly in line with expectations but, as always, remains very dependent on the timing and successful completion of commercial negotiations," he will add.
MYCELX shares were untraded in London Tuesday morning.
By Steve McGrath; [email protected]; @stevemcgrath1
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