13th May 2019 11:23
LONDON (Alliance News) - MyCelx Technologies Corp on Monday said it swung to a profit in 2018 due in large part to its Rapid Response System deployments in Saudi Arabia.
The water treatment technology company, which specialises in removing oil from wastewater in refineries and petrochemical facilities, posted a USD4.3 million pretax profit in 2018. This was a significant turnaround from 2017, when MyCelx recorded a USD831,000 loss.
Revenue close to doubled, reaching USD27.0 million versus USD13.8 million the year before.
The change was attributed to the performance of MyCelx's Rapid Response unit, which focuses on water treatment issues that result from "unexpected plant upsets". In 2018, the unit completed the largest temporary waste water treatment system in Saudi Arabia.
Also, in Saudi Arabia, the company signed three contract extensions with an existing customer and two new contracts - one with an existing customer and one with a new customer - in 2018.
MyCelx Chief Executive Connie Mixon said: "We continue to make progress in regions outside the Middle East and see West Africa, Australia and North America as important markets for us, due to their need for first-rate water treatment capabilities to optimise operational performance through increased production."
"In West Africa, the company's unique technology has demonstrated that it can achieve superior water quality meeting regulatory standards compared with other options, and our first installation in Nigeria in 2018 will serve as a reference point for this. We continue to believe that [enhanced oil recovery] operations in North America are one of the largest opportunities for MyCelx and we are working hard to convert our pipeline into orders in this highly lucrative market."
In 2019, the company completed a USD1.8 million fundraise and its CEO said the company is now "well-funded" for its ongoing commitments.
Shares in MyCelx were down 1.8% at 201.39 pence on Monday.
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