Focus on MENA region pays off for MyCelx

Clean water technology company MyCelx Technologies Corporation issued its interim unaudited results for the six months ended 30 June on Wednesday, reporting a 107% increase in revenue year-on-year to $12.2m.

The AIM-traded firm said its EBITDA surged to $2.7m for the period, up from $0.3m at the same time last year, while it swung to a net profit of $1.5m, from a net loss of $0.5m 12 months ago.

Its gross profit margin dropped to 51.4% from 52.2%, however.

On the operational front, MyCelx said its contract awards in the period reflected the renewal of successful long-term installations, the initial results from its targeted business development efforts in the Middle East and North Africa region, and the opening of new markets.

Looking ahead, MyCelx said it was looking to maintain its “strong” momentum by leveraging business relationships and successful installations in the Middle East to continue to grow its footprint throughout the MENA region.

It said it would also use its successfully-produced water installation in Nigeria as a reference site to secure more projects in that country, and would continue to focus on EOR-produced water trials in Canada and Europe, which lead to equipment and recurring media sales.

The company said it would also continue to work with Schlumberger's global sales and marketing, targeting unconventional markets.

“Momentum grew in Saudi Arabia with a series of contract wins adding to our existing installation base within SABIC, the leading petrochemical company,” said MyCelx chief executive officer Connie Mixon.

“In addition to our SABIC success, the company made its first equipment sale into the LNG market in Australia and our recurring media sales to legacy customers remained robust.

“Looking forward, our focus will be on sustaining momentum by converting our pipeline of opportunities in Saudi Arabia, Nigeria and North America which should keep us in line with current market expectations.”

Mixon said the firm would also continue its “proven strategy” of engaging new customers for trials.

“We have secured trials at several opportunities in Canada and Europe for our proprietary RE-GEN media as the oil price recovery has led to reinvigoration of Enhanced Oil Recovery (EOR) opportunities.

“Our successful trials, together with strategic partnerships such as Schlumberger, Saudi Waste Management companies and Polymer Flood specialists help to increase industry recognition of our differentiating technology and the superior performance it brings to our customers.”