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Degrémont expands in Scandinavia
Pump Industry Analyst
July 1999
Corporation. The company's non-US subsidiaries are excluded from these filings.
GLOOMY OUTLOOK FOR VALMET-RAUMA
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In a review required by Valmet-Rauma's forthcoming listing on the Helsinki Exchanges, Rauma and Valmet say their 1999 operational profit before extraordinary items and income taxes will be less than half of last year's level. Pulp and paper industry demand remains weak, and this investment slump is expected to limit 1999 demand for products in the fibre and paper technology activities, as well as in the automation and flow control business areas. However the replacement, process part rebuild, spare parts and service markets are expected to remain active. While demand for forest machines in Europe is strong, continued slack is expected in North America until the last quarter of this year. Construction and civil engineering investment is expected to remain positive, with a healthy demand for crushers.
HARNISCHFEGER FILES F O R BANKRUPTCY Milwaukee, USA-based Harnischfeger Industries Inc has filed voluntary petitions for reorganisation under Chapter 11 of the US Bankruptcy Code. The paper and mining machinery company has been hit hard by the Asian crisis. At the time of the Chapter l I filing, Harnischfeger had debts of US$1.3 billion. A US$90.7 million loss was recorded for the six months ended 30 April. The filing covers the parent company and its US operating subsidiaries, including Joy Mining Machinery, P&H Mining Equipment and Beloit
ll
WEYERHAEUSER SHELVES MILL PLAN Weyerhaeuser has announced that it will not build a facility to produce linerboard and corrugated medium in Fulton, Arkansas. The company had studied options and recently obtained permits for the construction of the mill, but has notified community leaders and other authorities that the permits will not now be used.
A Z U R I X WINS WATER CONCESSIONS Azurix Corp, an affiliate of Enron Corp, is to be awarded the water and wastewater concessions for two regions of Buenos Aires, Argentina. The US$438.6 million bid for the 30-year concessions will be funded through a combination of debt financing and equity capital. Azurix is also to acquire a 49 per cent interest in Industrias del Agua SA de CV, a water and wastewater service company based in Monterrey, Mexico. Through its subsidiary, Industrias del Agua de la Ciudad de Mexico SA de CV, IASA provides metering, billing, collections, operations and maintenance services.
GALLI LAW TAKES E F F E C T IN ITALY Lyonnaise des Eaux, the water division of Suez Lyonnaise des Eaux, is to manage water supplies and wastewater treatment for a syndicate of 37 communes around
the city of Arezzo in Tuscany, serving a population of 350 000. This is the first contract signed in Italy following enactment of the 1994 Galli Law. This law marks a radical change in Italy's water and wastewater market, by setting up regional units that can contract services out to public or private operators. The 2J-year contract will generate revenues of FFr250 million a year.
DEGRI~MONT EXPANDS IN SCANDINAVIA Degr~mont, a subsidiary of Suez Lyonnaise des Eaux, has acquired a 39.54 per cent stake in the Norwegian water treatment and engineering company Goodtech. Based in Sandvika, Goodtech reported 1998 sales of •49 million and employs 200 people. Goodtech operates mainly in Norway, Sweden and Finland. The two companies have signed a technical cooperation agreement that will see Goodtech introduce new technologies to the Scandinavian market, and Degrdmont gain access to Goodtech's expertise in water treatment membranes and sludge treatment.
UK WATER C O M P A N Y MAKES US ACQUISITION Yorkshire Water is to acquire Aquarion Company, an American water company serving parts of Connecticut and Long Island, New York. Kevin Bond, Yorkshire Water's chief executive, said the Aquarion acquisition was part of the group's development strategy to look at utility and environmental service business acquisitions worldwide. Yorkshire Water plc also plans to change the group
name to Kelda Group, subject to shareholder approval in August. This will end the longstanding confusion between the similar names of the plc and the core regional water and sewerage business.
C H E V R O N AND SASOL PURSUE GLOBAL GTL JV In South Africa, Chevron and Sasol are to create a new global joint venture for gasto-liquids (GTL) technology. Design and engineering on the GTL facility are already underway. The plant will be capable of converting natural gas into synthetic crude oil for further processing into commercial products. The initial feasibility study has been expanded to increase target production from 20 000 to 30 000 barrels per day. The plant is expected to come on stream in 2003. "Gas-to-liquids technology is so promising that its development could create an entire paradigm shift throughout the petroleum industry and reflects Chevron's strategy to grow our international business," said Richard Matzke, president of Chevron Overseas Petroleum Inc.
TRACTEBEL WINS THAI T U R N K E Y GAS PROJECT The Petroleum Authority of Thailand (PTT) has awarded Tractebel Engineering a US$20 million turnkey contract to supply and commission a gas conditioning facility at the Rayong gas terminal south of Bangkok. The facility, consisting of a centre for monitoring and managing natural gas condensates and the mixture of gas
July 1999
Corporation. The company's non-US subsidiaries are excluded from these filings.
GLOOMY OUTLOOK FOR VALMET-RAUMA
[-. c,.) ¢/3
©
gl.
<
In a review required by Valmet-Rauma's forthcoming listing on the Helsinki Exchanges, Rauma and Valmet say their 1999 operational profit before extraordinary items and income taxes will be less than half of last year's level. Pulp and paper industry demand remains weak, and this investment slump is expected to limit 1999 demand for products in the fibre and paper technology activities, as well as in the automation and flow control business areas. However the replacement, process part rebuild, spare parts and service markets are expected to remain active. While demand for forest machines in Europe is strong, continued slack is expected in North America until the last quarter of this year. Construction and civil engineering investment is expected to remain positive, with a healthy demand for crushers.
HARNISCHFEGER FILES F O R BANKRUPTCY Milwaukee, USA-based Harnischfeger Industries Inc has filed voluntary petitions for reorganisation under Chapter 11 of the US Bankruptcy Code. The paper and mining machinery company has been hit hard by the Asian crisis. At the time of the Chapter l I filing, Harnischfeger had debts of US$1.3 billion. A US$90.7 million loss was recorded for the six months ended 30 April. The filing covers the parent company and its US operating subsidiaries, including Joy Mining Machinery, P&H Mining Equipment and Beloit
ll
WEYERHAEUSER SHELVES MILL PLAN Weyerhaeuser has announced that it will not build a facility to produce linerboard and corrugated medium in Fulton, Arkansas. The company had studied options and recently obtained permits for the construction of the mill, but has notified community leaders and other authorities that the permits will not now be used.
A Z U R I X WINS WATER CONCESSIONS Azurix Corp, an affiliate of Enron Corp, is to be awarded the water and wastewater concessions for two regions of Buenos Aires, Argentina. The US$438.6 million bid for the 30-year concessions will be funded through a combination of debt financing and equity capital. Azurix is also to acquire a 49 per cent interest in Industrias del Agua SA de CV, a water and wastewater service company based in Monterrey, Mexico. Through its subsidiary, Industrias del Agua de la Ciudad de Mexico SA de CV, IASA provides metering, billing, collections, operations and maintenance services.
GALLI LAW TAKES E F F E C T IN ITALY Lyonnaise des Eaux, the water division of Suez Lyonnaise des Eaux, is to manage water supplies and wastewater treatment for a syndicate of 37 communes around
the city of Arezzo in Tuscany, serving a population of 350 000. This is the first contract signed in Italy following enactment of the 1994 Galli Law. This law marks a radical change in Italy's water and wastewater market, by setting up regional units that can contract services out to public or private operators. The 2J-year contract will generate revenues of FFr250 million a year.
DEGRI~MONT EXPANDS IN SCANDINAVIA Degr~mont, a subsidiary of Suez Lyonnaise des Eaux, has acquired a 39.54 per cent stake in the Norwegian water treatment and engineering company Goodtech. Based in Sandvika, Goodtech reported 1998 sales of •49 million and employs 200 people. Goodtech operates mainly in Norway, Sweden and Finland. The two companies have signed a technical cooperation agreement that will see Goodtech introduce new technologies to the Scandinavian market, and Degrdmont gain access to Goodtech's expertise in water treatment membranes and sludge treatment.
UK WATER C O M P A N Y MAKES US ACQUISITION Yorkshire Water is to acquire Aquarion Company, an American water company serving parts of Connecticut and Long Island, New York. Kevin Bond, Yorkshire Water's chief executive, said the Aquarion acquisition was part of the group's development strategy to look at utility and environmental service business acquisitions worldwide. Yorkshire Water plc also plans to change the group
name to Kelda Group, subject to shareholder approval in August. This will end the longstanding confusion between the similar names of the plc and the core regional water and sewerage business.
C H E V R O N AND SASOL PURSUE GLOBAL GTL JV In South Africa, Chevron and Sasol are to create a new global joint venture for gasto-liquids (GTL) technology. Design and engineering on the GTL facility are already underway. The plant will be capable of converting natural gas into synthetic crude oil for further processing into commercial products. The initial feasibility study has been expanded to increase target production from 20 000 to 30 000 barrels per day. The plant is expected to come on stream in 2003. "Gas-to-liquids technology is so promising that its development could create an entire paradigm shift throughout the petroleum industry and reflects Chevron's strategy to grow our international business," said Richard Matzke, president of Chevron Overseas Petroleum Inc.
TRACTEBEL WINS THAI T U R N K E Y GAS PROJECT The Petroleum Authority of Thailand (PTT) has awarded Tractebel Engineering a US$20 million turnkey contract to supply and commission a gas conditioning facility at the Rayong gas terminal south of Bangkok. The facility, consisting of a centre for monitoring and managing natural gas condensates and the mixture of gas