Fluence Corporation Awarded $7.1 Million Contract for Mayotte Desalination Project
FLUENCE CORPORATION LIMITED (FLC) Share Update August 2024 Sunday 11th
Fluence Secures $7.1 Million Contract for Mayotte Desalination Project
Fluence Corporation Limited (ASX: FLC) has announced a significant contract win worth $7.1 million to provide a Sea Water Reverse Osmosis (SWRO) system for a desalination plant in Mayotte, a French archipelago in the Indian Ocean.
Instant Summary:
- Fluence secures $7.1 million contract for Mayotte desalination project.
- The project involves a 10,000 m3/day Sea Water Reverse Osmosis (SWRO) system.
- The SWRO system will be skid mounted to reduce construction and commissioning times.
- Work is expected to commence immediately and be completed by the end of 2025.
- The project is part of the Grande-Terre desalination plant at Ironi Bé in Mayotte.
Project Overview
Fluence Corporation Limited has been awarded a $7.1 million contract to provide a 10,000 m3/day Sea Water Reverse Osmosis (SWRO) system for Stereau SAS on Mayotte, a French archipelago located between Madagascar and the coast of Mozambique. The project is part of the future Grande-Terre desalination plant at Ironi Bé in Mayotte, in accordance with the French Public Procurement Code.
Stereau, the main contractor on the project, is an engineering subsidiary of Saur Group, which operates globally and is involved in numerous opportunities to supply SWRO projects worldwide. The SWRO system will be skid mounted to aid in reducing construction and commissioning times. It will include feed pumps, cartridge filtration with dosing system, reverse osmosis, and clean-in-place skids to ensure desalinated potable water quality meets French standards.
Significance of the Contract
Reflecting on this substantial win, Steven Scheidler, General Manager of Fluence’s Municipal Water & Wastewater Group, remarked, 'We have closed another significant win through focus and execution of our One Fluence approach, using our teams in the US and Middle East to work closely with Stereau and leverage our expertise. Stereau is an ideal partner for Fluence where we can provide our expertise and extensive references to support their challenging technical needs for a win-win scenario.'
Fluence CEO and Managing Director Tom Pokorsky added, 'This is a great win that results from significant teamwork between three geographic regions of our Municipal Group. Led by Steve Schiedler, our new Municipal Group is showing exactly what we envisioned when we started our Company reorganization. This win comes on the heels of securing a significant $1.5M contract from our Industrial Wastewater & Biogas group for a food processor in the midwestern US along with several other recent contract awards.'
Future Outlook
Fluence's total new orders for SPS and Recurring Revenue for the third quarter alone are almost $12M. The company looks forward to building on this momentum and finishing the third quarter and FY 2024 strong.
This contract win is a positive development for Fluence Corporation, showcasing its ability to secure significant international projects. The $7.1 million contract will likely boost the company's revenue and enhance its reputation in the global desalination market. The successful execution of this project could lead to more opportunities in the future, positively impacting the company's stock price.
Investor Reaction:
Analysts are likely to view this contract win favorably, as it demonstrates Fluence's competitive edge and ability to secure large international projects. The company's strategic focus on growth markets and its recent reorganization appear to be yielding positive results.
Conclusion:
Investors should keep an eye on Fluence Corporation as it continues to secure significant contracts and expand its global footprint. The successful completion of the Mayotte desalination project could pave the way for more opportunities and further growth. Stay informed on Fluence Corporation's progress and consider the potential long-term benefits of investing in this innovative company.