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John Crane expands in Qatar
IN BRIEF/FINANCIALS/NEWS
Pump Industry Analyst
August 2004
IN BRIEF
FINANCIALS
• John Crane has launched John Crane Express - a program designed to better serve customers in high volume industries that require a large number of mechanical seals. The program, accessible by entering a unique name and password at www.johncraneexpress. com, allows customers to manage their orders and needs via the Internet. “To remain competitive in today’s rushed business environment, it is crucial to have the ability to easily manage procurement. John Crane Express was designed specifically to meet the needs of our high volume customers. Our goal is to make their procurement process easier,” said Rick Page, John Crane director of marketing. • QuantX Wellbore Instrumentation Ltd has bought UK-based Plus Design Ltd, an in-well electronic monitoring research and development technology company that manufactures downhole products for the oil and gas service sector. Established in 1988, Plus Design has developed and manufactured in-well sensor and electronic devices for QuantX and a number of permanent gauge and electric submersible pump (ESP) monitoring service companies. QuantX is a joint venture between Expro International Group plc and Baker Hughes Inc. • Curtiss-Wright Corp has entered into an agreement with a group of 10 banks establishing a US$400 million credit facility to replace existing lines of US$225 million. The company plans to use the credit line for working capital purposes, internal growth initiatives, and the funding of possible future acquisitions.
• Ampco-Pittsburgh Corp recorded sales of US$53.6 million and US$100.4 million for the three and six months ended 30 June 2004, respectively, against sales of US$45.5 million and US$89.0 million for the comparable prior year periods. Net income for the three months ended 30 June 2004 and 2003 was US$840 000 and US$391 000 and for the six months ended 30 June 2004 and 2003 was US$2.0 million and US$588 000 respectively. Despite an increase in sales, the results of the Air and Liquid Processing segment, which includes Buffalo Pumps, after adjustment for the reduction in asbestos-related costs, were close to flat on the same quarter in 2003 and are reflective of competitive pressures on prices as demand in the construction and energy sectors remains weak. • Dover Corp posted second quarter 2004 net earnings of US$112.3 million, compared with US$72.8 million for the same period of 2003. Sales for the second quarter of 2004 were US$1380.4 million, an increase of 26% on the US$1094.0 million recorded last year. Both Wilden and Blackmer are seeing improving market conditions resulting from increased investments in projects to upgrade and expand chemical and material processing facilities. Dover Resources’ positive leverage and favourable results were driven by continued strength in most markets, as well as by positive actions taken by many of its operating companies to offset the impact of rising raw material costs. Group backlog growth has been driven by strong bookings in Technologies and Resources.
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JOHN CRANE EXPANDS IN QATAR John Crane has opened another Customer Support Centre in the Gulf region, this time in Qatar. The move comes just weeks after the company opened a similar new facility in Saudi Arabia (see Pump Industry Analyst, May 2004). The strategically important new centre has been opened in conjunction with Al Ahed Trading & Cont Co Ltd, John Crane’s partner in Qatar for over 30 years. With more than 6000 wet seals and 400 gas seal cartridges installed in Qatar, John Crane now has a major market share and a strong customer base in the country’s oil and gas, power generation, chemical and petrochemical sectors.
STRING TEST SUCCESS FOR SULZER Sulzer Pumps has successfully tested the first of the world’s largest seawater injection pumps at the company’s new purpose built test facility in Leeds, UK. Each of the 27 MW pumps are mounted on a three point mounted frame complete with the gas turbine driver, seal and oil systems, instrumentation and cooling system. The whole package weighs around 120 tonnes. In addition to the ‘as new’ string test, one pump was modified to test performance and stability under fully worn conditions. Sulzer says that the pump performed “exceptionally,” with vibration levels below the limit set for brand new machines. The ability to undertake a full load, full speed test using the RB211 driver and all associated auxiliary systems was of particular significance to the customer, Azerbaijan
International Operating Co (AIOC). As the pumps will be finally installed offshore in the Azerbaijan sector of the Caspian Sea, it is critical that the performance of the whole package is proven before dispatch. Testing on the remaining pumps is scheduled for completion by the end of the summer.
FLOWSERVE, WOOD GROUP FORM SERVICE ALLIANCE Flowserve Corp and Wood Group Gas Turbine Services Holdings Inc have both announced an alliance to deliver a wide range of field and shop-based services for the maintenance, repair and upgrade of pumps and related equipment throughout the United States and Canada. The alliance is designed to enable both companies to more comprehensively meet the life cycle equipment support needs for their customers in the petroleum, power generation, chemical, water resources and general industries. These needs include installation, commissioning, repair, service, overhaul and upgrade of pumps and related equipment (excluding electric submersible pumps). “This alliance, representing another step forward in the company’s end-user market strategy, is in direct response to our customers’ increasing demand for life cycle cost management service from a single-source supplier,” said Tom Ferguson, Flowserve Pump Division president. The service is available for both Flowserve and nonFlowserve products. Wood Group Gas Turbine Services Holdings Inc is part of the Gas Turbine Services division of John Wood Group plc.
Pump Industry Analyst
August 2004
IN BRIEF
FINANCIALS
• John Crane has launched John Crane Express - a program designed to better serve customers in high volume industries that require a large number of mechanical seals. The program, accessible by entering a unique name and password at www.johncraneexpress. com, allows customers to manage their orders and needs via the Internet. “To remain competitive in today’s rushed business environment, it is crucial to have the ability to easily manage procurement. John Crane Express was designed specifically to meet the needs of our high volume customers. Our goal is to make their procurement process easier,” said Rick Page, John Crane director of marketing. • QuantX Wellbore Instrumentation Ltd has bought UK-based Plus Design Ltd, an in-well electronic monitoring research and development technology company that manufactures downhole products for the oil and gas service sector. Established in 1988, Plus Design has developed and manufactured in-well sensor and electronic devices for QuantX and a number of permanent gauge and electric submersible pump (ESP) monitoring service companies. QuantX is a joint venture between Expro International Group plc and Baker Hughes Inc. • Curtiss-Wright Corp has entered into an agreement with a group of 10 banks establishing a US$400 million credit facility to replace existing lines of US$225 million. The company plans to use the credit line for working capital purposes, internal growth initiatives, and the funding of possible future acquisitions.
• Ampco-Pittsburgh Corp recorded sales of US$53.6 million and US$100.4 million for the three and six months ended 30 June 2004, respectively, against sales of US$45.5 million and US$89.0 million for the comparable prior year periods. Net income for the three months ended 30 June 2004 and 2003 was US$840 000 and US$391 000 and for the six months ended 30 June 2004 and 2003 was US$2.0 million and US$588 000 respectively. Despite an increase in sales, the results of the Air and Liquid Processing segment, which includes Buffalo Pumps, after adjustment for the reduction in asbestos-related costs, were close to flat on the same quarter in 2003 and are reflective of competitive pressures on prices as demand in the construction and energy sectors remains weak. • Dover Corp posted second quarter 2004 net earnings of US$112.3 million, compared with US$72.8 million for the same period of 2003. Sales for the second quarter of 2004 were US$1380.4 million, an increase of 26% on the US$1094.0 million recorded last year. Both Wilden and Blackmer are seeing improving market conditions resulting from increased investments in projects to upgrade and expand chemical and material processing facilities. Dover Resources’ positive leverage and favourable results were driven by continued strength in most markets, as well as by positive actions taken by many of its operating companies to offset the impact of rising raw material costs. Group backlog growth has been driven by strong bookings in Technologies and Resources.
12
JOHN CRANE EXPANDS IN QATAR John Crane has opened another Customer Support Centre in the Gulf region, this time in Qatar. The move comes just weeks after the company opened a similar new facility in Saudi Arabia (see Pump Industry Analyst, May 2004). The strategically important new centre has been opened in conjunction with Al Ahed Trading & Cont Co Ltd, John Crane’s partner in Qatar for over 30 years. With more than 6000 wet seals and 400 gas seal cartridges installed in Qatar, John Crane now has a major market share and a strong customer base in the country’s oil and gas, power generation, chemical and petrochemical sectors.
STRING TEST SUCCESS FOR SULZER Sulzer Pumps has successfully tested the first of the world’s largest seawater injection pumps at the company’s new purpose built test facility in Leeds, UK. Each of the 27 MW pumps are mounted on a three point mounted frame complete with the gas turbine driver, seal and oil systems, instrumentation and cooling system. The whole package weighs around 120 tonnes. In addition to the ‘as new’ string test, one pump was modified to test performance and stability under fully worn conditions. Sulzer says that the pump performed “exceptionally,” with vibration levels below the limit set for brand new machines. The ability to undertake a full load, full speed test using the RB211 driver and all associated auxiliary systems was of particular significance to the customer, Azerbaijan
International Operating Co (AIOC). As the pumps will be finally installed offshore in the Azerbaijan sector of the Caspian Sea, it is critical that the performance of the whole package is proven before dispatch. Testing on the remaining pumps is scheduled for completion by the end of the summer.
FLOWSERVE, WOOD GROUP FORM SERVICE ALLIANCE Flowserve Corp and Wood Group Gas Turbine Services Holdings Inc have both announced an alliance to deliver a wide range of field and shop-based services for the maintenance, repair and upgrade of pumps and related equipment throughout the United States and Canada. The alliance is designed to enable both companies to more comprehensively meet the life cycle equipment support needs for their customers in the petroleum, power generation, chemical, water resources and general industries. These needs include installation, commissioning, repair, service, overhaul and upgrade of pumps and related equipment (excluding electric submersible pumps). “This alliance, representing another step forward in the company’s end-user market strategy, is in direct response to our customers’ increasing demand for life cycle cost management service from a single-source supplier,” said Tom Ferguson, Flowserve Pump Division president. The service is available for both Flowserve and nonFlowserve products. Wood Group Gas Turbine Services Holdings Inc is part of the Gas Turbine Services division of John Wood Group plc.