Graham Corporation Awarded $10 Million in International Refinery Orders
Graham Corporation (AMEX: GHM) announced today that it has been awarded orders valued at over $10 million for two ejector systems and three surface condensers to be installed in four international oil refineries located in South Korea, China, Malaysia and Russia.
South Korean Refinery Expansion The first order is for an ejector system to be installed in a South Korean oil refinery that is expanding its capacity to process more plentiful and lower-priced heavy crude oil. It is the second ejector system that Graham will supply to this end user. The user’s previous system was shipped by Graham in early 2007. A portion of the ejector system fabrication will be outsourced to a local manufacturer, with the balance produced in Graham’s Batavia, New York facility. The ejector system is scheduled for shipment in the first quarter of fiscal 2010, which ends June 30, 2009.
Malaysia Refinery Revamp The second order is for an ejector system to be installed in a Malaysian oil refinery that is revamping and upgrading its existing equipment in order to expand performance and increase capacity. The equipment will replace a Graham ejector system that was originally supplied in the late 1990’s. Graham’s ability to deliver the ejector system according to the customer’s timeline is crucial, as the refiner has a planned shut-down period to upgrade the facility. The system is scheduled for shipment in the fourth quarter of fiscal 2009, which ends March 31, 2009.
Chinese and Russian Oil Refinery Orders A U.S. based turbomachinery original equipment manufacturer, or OEM, placed two orders for a total of three steam surface condensers. Two of the ordered surface condensers will be installed in a Chinese oil refinery expanding production of transportation fuels. The third surface condenser will support a hydrocracking process of crude oil at an existing oil refinery located in Russia. The condenser systems are scheduled to be manufactured in Graham’s Batavia, New York facility and are scheduled for shipment in the second quarter of fiscal 2010, which ends September 30, 2009.
James R. Lines, Graham’s President and Chief Executive Officer, commented, “The global need to increase transportation fuel processing capacity and upgrade existing facilities to process a wider variety of crude oil feedstock is continuing to provide us opportunities to grow. The Graham brand is well-regarded in the international refinery and petrochemical markets, and the increase in projects is leading to a much larger installed base of Graham equipment around the world.” ABOUT GRAHAM CORPORATION With world-renowned engineering expertise in vacuum and heat transfer technology, Graham Corporation is a global designer, manufacturer and supplier of ejectors, pumps, condensers, vacuum systems and heat exchangers. Over the past 72 years, Graham has built a reputation for top quality, reliable products and high-standards of customer service. Sold either as components or complete system solutions, the principal markets for Graham’s equipment are the petrochemical, oil refining and electric power generation industries, including cogeneration and geothermal plants. Graham's equipment can be found in diverse applications, such as metal refining, pulp and paper processing, ship-building, water heating, refrigeration, desalination, food processing, pharmaceutical, heating, ventilating and air conditioning.
Graham Corporation’s reach spans the globe. Its equipment is installed in facilities from North and South America to Europe, Asia, Africa and the Middle East. More information regarding Graham can be found at its website: www.graham-mfg.com.
Safe Harbor Statement This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All forward-looking statements are subject to certain risks, uncertainties and assumptions. These risks and uncertainties, which are more fully described in Graham's Annual and Quarterly Reports filed with the Securities and Exchange Commission, include but are not limited to Graham’s ability to successfully execute the contracts, that the estimated value of the production contracts will be realized, customer preferences and changes in market conditions in the industries in which Graham operates and its ability to achieve its announced goals and objectives. Should one or more of these risks or uncertainties materialize, or should the assumptions prove incorrect, actual results may vary in material aspects from those currently anticipated.
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