Energy Recovery
 | This article contains promotional content. (July 2008) |
| Company type | Public (NASDAQ:ERII) |
|---|---|
| Industry | Water Resources |
| Founded | 1992 |
| Headquarters | San Leandro, CA, San Leandro, California , |
Number of locations | 5 (San Leandro, CA;Shanghai, China;Madrid, Spain; Dubai, UAE; Sunrise, FL) as of 2008-07-01 |
Area served | Worldwide |
Key people | Hans Peter Michelet, Executive Chairman of the Board GG Pique, President, Chief Executive Officer and Director |
| Products | PX Pressure Exchanger® Energy Recovery Device: Model: PX-30, PX-45/70/90, PX-140S, PX-220, PX-260, PX Circulation Pumps |
| Services | Aftermarket service and support |
| Revenue | $35.4 million in FY 2007 |
| $9.3 million in FY 2007 | |
| $5.8 million in FY 2007 | |
| Total assets | $27.3 million at December 31, 2007 |
| Total equity | $20.1 million at December 31, 2007 |
| Owner | Various institutions and individuals |
Number of employees | 78 as of August 2008 |
| Website | http://www.energyrecovery.com |
Energy Recovery Inc. (ERI®) is a California multinational corporation which designs and manufactures energy recovery products and technology for seawater reverse osmosis (SWRO) desalination. The company’s best known product includes a line of PX Pressure Exchanger® energy recovery devices.
Hans Peter Michelet HP Michelet who has been in the Board of Energy Recovery since 1995 is currently Executive Chairman. G G Pique GG Pique has been the President and CEO since 2002.
History
The company was established in 1992 with the goal of making seawater desalination affordable by reducing energy costs.
The technology foundation of the company is an invention by Norwegian Inventor, Mr. Leif Hauge based on a unique ceramic pump called the PX Pressure Exchanger® (PX®).
Based on a rotary positive displacement pump principle, the company's PX devices recover energy from the high-pressure waste stream of SWRO desalination systems. This technology can reduce the cost of water production to less than half the cost without energy recovery.
This reduction in desalination costs is driving a boom in global desalination projects--with over 140 major projects being tracked worldwide by [Global Water Intelligence] Magazine.
Today ERI works with over 80 OEMs (Original Equipment Manufacturers) or engineering (EPC) companies worldwide. their headquarters is situated in the San Francisco Bay Area; San Leandro, California USA with offices in Sunrise, Florida and different parts of the world including: Madrid, Spain; Dubai, United Arab Emirates and Shanghai, China.
PX Pressure Exchanger
The PX Pressure Exchanger (PX) is a unique and strange device. Consider that the engine in the thrifty Honda Prius Car is only 37% efficient. The PX has been perfected to operate at up to 98% efficiency. Few machines invented by man even get close to this high efficiency level, the PX device is only two points away from being a perpetual motion machine.
The ERI PX, Pressure Exchanger, is a rotary-type energy recovery device (ERD) with only one moving part. The PX is a new class of energy transfer device—a freewheeling, rotary positive displacement pump which is CNC-machined using engineered ceramic technology. The material of construction is corundum, which is a form of synthetic sapphire three times tougher than steel.
When applied to a seawater reverse osmosis (SWRO) desalination system, The PX recycles pressure energy from the briny desalination plant waste stream and recycles it back to the low-pressure incoming seawater at up to 98% efficiency. As mentioned above, at the core of the device is a unique ceramic rotor. This material is ideal for tough seawater applications because, being it is much tougher than steel but does not corrode in a hot, salty environment. These attributes of the PX design allow operation with no scheduled maintenance and ERI PX device equipped plants can achieve very high reliability. PX technology dramatically reduces costs associated with the energy intensive SWRO desalination process by up to 60% as compared to desalination plants devoid of any energy recovery devices.
As it is often the case for new technology, few people outside of the desalination industry understand how the ERI PX really works. However, it is increasingly accepted that when embedded into a modern SWRO desalination plant the PX device allows the designer and the operator to tweak the desalination plant as seasonal and membrane conditions change so that the plant can be operated at optimum efficiency at all times. Thus the PX device becomes the CPU of the desalination plant.
To date, Energy Recovery has shipped over 6,000 PX devices to hundreds of desalination plants worldwide, including those in China, Europe, India, Australia, Africa, the Middle East, North America and the Caribbean. The PX device is being installed in over 60% of the major desalination installations contracted globally in 2007.
Financial and Initial Public Offering
On July 2 2008, Energy Recovery Inc. went public in an IPO process led by CitiBank and Credit Suisse which resulted in the listing of the company shares in NASDAQ under the ticker symbol "ERII". The company sold over 14M shares - 8.1 million of which was offered by the firm itself, with the remaining 5.9 million to be sold by a stockholder group — IPO price was $8.50/share. With the underwriter "overallotment" exercised a few days later, the company raised some $77 million in fresh capital. This IPO process was conducted "in the middle of the worst June stock market in 75 years".
Awards and Achievements
2008 Finalist - Pump Industry Awards 2008, ERI's PX Pressure Exchanger nominated under two categories:
1. Technical Innovation of the Year
2. Environmental/Energy Savings Award
2008 Inc 500, ERI recognized by Inc. Magazine one of the top 500 fastest growing companies in America.
2007 Inc 5000, ERI recognized by Inc. Magazine one of the top 5000 fastest growing companies in America.
2007 - ThinkGlobal/Commercial News USA Exporter of the Year award from ThinkGlobal Inc., publisher of Commercial News USA, the official export promotion magazine of the U.S. Commerce Department.
Energy Recovery Inc. provides seawater reverse osmosis desalination products which are saving 500 MW of energy worldwide. The company reported a 165% increase in export sales from 2004. Exports now represent 59% of the company’s total sales.
Gregory Sandler, publisher of Commercial News USA, said that Energy Recovery’s success is indicative of how American companies can benefit from exporting.
“With 95% of the world’s market outside the U.S., there is significant growth opportunity for American manufactures and service providers.”
2007 GWI Global Water Intelligence Environmental Contribution of the Year For environmental stewardship in the water industry as exemplified by the project, process or organization that best reflects the ability of a water/wastewater plant to leave a small environmental footprint.
2006 - Energy Recovery Inc. was named Ex-IM Bank'S Environmental Exporter of the Year. Ex-Im Bank was proud to support groundbreaking small businesses which contribute to environmentally beneficial development in emerging markets while supporting high-quality U.S. jobs as said by their Bank Chairman and President at that time, James H. Lambright. And we quote him saying:
"As a model of such innovation, Energy Recovery Inc. well deserves this year's Small Business Environmental Exporter of the Year award."
Sydney Loeb 2006 Award for Innovation in Desalination Awarded by the European Desalination Society (EDS) to ERI's PX Pressure Exchanger technology that has enabled the desalination industry to provide alternative solutions for sustaining energy resources while saving water scarce regions millions of dollars in energy costs.
References
Pressure Exchanger Finalist - Pump Industry Awards 2008
Hans Peter Michelet - Exceutive Chairman of the Board of Directors
[http://www.exim.gov/pressrelease.cfm/3DAE11EC-E3F4-AC8A-C3FEBF97D3555A1B Energy Recovery Inc., of San Leandro, California, is named
[1]
EX-IM Bank's Environemental Exporter of the Year]
Energy Recovery discloses expected IPO terms
Energy Recovery registers for IPO
Energy Recovery Inc., MSN Money
Energy Recovery Inc., Inc5000
World Business Review - Energy Recovery, Inc.
Energy Recovery Files IPO for Desalination
http://ggpique.blogspot.com/
http://www.energyrecovery.com/company/GG_Pique.php
http://www.idadesal.org/t-board_063.aspx
http://www.economist.com/search/displaystory.cfm?story_id=11484059
http://eastbay.bizjournals.com/eastbay/stories/2008/05/05/story2.html?b=1209960000^16300134
http://www.sec.gov/Archives/edgar/data/1421517/000095013408010930/f38510a2sv1za.htm
http://www.globalwaterawards.com/2007/
http://www.energyrecovery.com/news/documents/SidLoebAwardPR6-2FINAL.pdf