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SRJ receives first purchase order from EnerMech Australia

SRJ Technologies is pleased to announce it has received a substantial purchase order from EnerMech Australia for its weld-free pipeline containment solutions.

The order involves local manufacturing of a range of SRJ’s innovative pipe couplings and repair clamps, with local partners SixDe and Impact Engineering undertaking the precision work based on SRJ’s design specifications.

SRJ CEO Alexander Wood said the order and manufacturing operations had not been impacted by current COVID-19 lockdowns and border closures.

“The ability to provide containment solutions to the oil and gas sector is as essential now as it always has been,” Mr Wood said.

“In fact, with some operators being impacted by restrictions on movement of staff and contractors, the SRJ solutions come into their own.

“Compared to welded options, they can be installed faster, more easily and without the need to shut down production, while local manufacturing allows rapid deployment to site so repair and maintenance tasks can be carried out in a highly efficient way.”

The EnerMech Australia project is one of numerous deals underway across multiple markets. Highlights include:

CSBP (Australia)

SRJ was approached by chemical supplier CSBP to repair a leaking ammonia nitrate valve using a bespoke SRJ encapsulation unit. A solution was designed by the SRJ Perth team in five hours and was approved by CSBP as a compliant design and a purchase order for A$9,000 received. The deal positions SRJ to take advantage of future requests from CSBP given high service levels at the major industrial plant. It also raises SRJ’s profile with wider industry as a highly responsive, lean organisation that can adapt and provide solutions to clients despite challenging circumstances

Alcoa (Australia)

Alcoa is one of the world’s largest integrated bauxite mining, alumina refining and aluminium smelting organisations and has agreed to trial a 12-inch Multi-Shell Repair Clamp at the Pinjarra facility, south of Perth. If successful, SRJ stands to win work with Alcoa to provide A$3.6m (£1.8m) per annum worth of solutions with a gross profit margin of approximately 50 per cent. The results will also be shared with two additional Alcoa alumina refineries in Western Australia which each provide similar opportunities..

Supply Chain Disruption Opportunity

SRJ approached nine facility owners at an early stage of the COVID-19 outbreak to highlight the potential impact on the supply chain. Travel restrictions would disturb supply logistics to the point where raw materials became a critical issue for containment management. With partners Enermech, Impact Engineering and SixDe, SRJ offered to stock the necessary raw materials (steel and consumables) locally and provide the design expertise, machining capability and manpower to utilise this material for the rapid manufacture and installation of leak containment and integrity management solutions. This equates to an SRJ product value of A$250,000 per customer. The engineering teams at two clients, BP Kwinana and CSBP, have recommended to procurement to proceed while the WA Caltex refinery declined but indicated they would be keen to use SRJ for the next requirement.


Other Opportunities

Initial works and/or detailed discussions are also underway with various major multinational service providers and operators including SBM Offshore, Petrofac, EnerMech UK and Modec.

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