CiDRA sells oil & gas metering business to Expro
Wallingford, Conn., June 25 -- On June 24, 2008, CiDRA completed the sale of its oil and gas metering business to the Expro Group of the United Kingdom for $60.5 million. Expro will operate the business under the name Expro Meters, Inc. This sale represents a natural transition of a business developed by CiDRA to a company with a global sales and service reach that can take it to the next level. The Expro Group is headquartered in the United Kingdom and has regional offices throughout the world. It is one of the fastest-growing companies in the oil field services industry.
CiDRA also announced plans to address the companys continued expansion of its oilsands, minerals processing, chemical management for pulp and paper and power generation businesses through newly created subsidiary corporations for each of these businesses.
The transaction with Expro Group also marked CiDRAs third sale of a business unit since 2001 and highlights CiDRAs business model of developing measurement tools and services targeted at process optimization for the expanding energy and natural resources markets. CiDRA will continue to provide products and further develop and deliver services for minerals processing, oilsands processing, power generation, and pulp and paper industries.
According to Stephen Ashford, vice president for strategy and marketing for CiDRA, CiDRA is always searching for partners that have a clear vision for the industries they serve and can combine the innovative industrial measurement products and services that CiDRA continues to develop, for rapid integration into existing global service infrastructures.
The new oil and gas metering system was developed in collaboration with BP, Plc to meet specific field requirements. Over the last four years, BP and CiDRA refined the technology and tested it through field trials which resulted in a distinctive product with broad industry applicability.
CiDRA has been aggressively developing various service offerings related to flow management and assurance, pipe wear monitoring, and overall plant monitoring and process optimization in mining, oilsands and pulp and paper applications. CiDRA products and services are being used by over 250 customers in 21 countries.
CiDRAs newest venture is in the power generation field. It is working to tailor a broad product and service offering to enable operators to reduce emissions and improve efficiencies in the operation of coal-fired power plants. Coal-fired power plants typically operate at sub-optimum efficiency due to imbalances in the air-fuel ratios in the fuel pipes leading to the burner. Recognizing a lack of real-time monitoring of coal flow in coal fired power generation plants, CiDRA Power has entered the market to serve this need.