Augusta Announces Record Service Contract For Five Electric Field Mapping Corrosion Monitoring Systems
- Published: Wednesday, 09 September 2015
- Author: Daily News
TORONTO, Ont. -- Augusta Industries Inc., a developer and marketer of patented non-intrusive sensing systems, has announced its wholly owned subsidiary, FOX TEK Canada Inc., has entered into a service contract with an oil and gas exploration and production company with assets and operations in North America, Africa, Europe and South America. The contract has an aggregate value of $528,000 over a five year term.
Pursuant to the contract, the corporation will deploy five electric field mapping corrosion monitoring systems (the EFM Systems) across the client's assets in Canada. The client will pay a recurring fee to the corporation to access the data gathered by the EFM Systems. The client has the ability to extend the term of the contract based on their specific needs and requirements.
"The contract represents a benchmark for the corporation," said Allen Lone, president of the corporation. "The contract represents a new recurring revenue model for the corporation. In addition, the contract is from a new client and not from an existing client of the corporation. This sale is a validation of the efforts of the corporation in expanding its sales efforts to new clients. The corporation is currently in discussions with several new clients regarding similar service revenue recurring model."
Through its wholly owned subsidiaries, Marcon International Inc. and Fox Tek, the corporation provides a variety of services and products to a number of clients.
Marcon is an industrial supply contractor servicing the energy sector and a number of U.S. government entities. Marcon's principal business is the sale and distribution of industrial parts and equipment (electrical, mechanical and instrumentation). In addition to departments and agencies of the U.S. government, Marcon's major clients include Saudi Arabia-Sabic Services (refining and petrochemical), Bahrain National Gas Co, Bahrain Petroleum, Qatar Petroleum, Qatar Gas, Qatar Petrochemical, Gulf of Suez Petroleum, Agiba Petroleum and Burullus Gas Co.
Fox Tek develops non-intrusive asset health monitoring sensor systems for the oil and gas market to help operators track the thinning of pipelines and refinery vessels due to corrosion/erosion, strain due to bending/buckling and process pressure and temperature. The corporation's FT fiber optic sensor and corrosion monitoring systems allow cost-effective, 24/7 remote monitoring capabilities to improve scheduled maintenance operations, avoid unnecessary shutdowns, and prevent accidents and leaks.
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