Cavotec’s Bahrain International Project Takes Shape

Concrete chamber installation for Pop Up Pit

Work on our Bahrain International Airport project – on one of our flagship applications – continues to progress on schedule. The client, the Bahrain Airport Company, recently successfully commissioned the first of 18 Pre-conditioned Air (PCAir) units at the Cavotec Fladung facility in Germany. We expect the final commissioning phase to take place as planned, during Spring 2011.

Our PCAir systems form the centrepiece of this project, one of the largest in Cavotec’s history with a total value of some €30 million. We are also delivering and installing pop-up units, transformer sub-stations, 400Hz power supply systems, a Vacuum Evacuation System, a blue water supply system and a potable water supply system.

While PCAir itself is a highly innovative system, the concept draws together proven and tested engineering expertise from, among others, Alfa Laval and Atlas Copco. The system expands dry compressed air to cool parked aircraft. Pilots often run on-board auxiliary power units (APUs) to cool aircraft. These units can burn between 200 and 600 litres of fuel per hour, polluting airports and consuming fuel that could be used to fly aircraft – not cool them on the ground. It supports airports in creating APU-free aprons, providing the dual benefits of reducing pollution and reducing costs, making the system beneficial to all airport constituencies: airlines, airport operators, and communities surrounding airports.

Front: power cables for PCAir and 400 Hz equipment. Rear: PCAir pipes covered to prevent damage from UV rays.

The Bahrain order is a key element of the airport’s USD 4.7 billion expansion programme, designed to cater for the projected growth in passenger and freight numbers. The expansion, planned over the next 30 years, will triple passenger capacity to 27 million a year. Two new terminals will be opened in the next four years as part of the expansion. Bahrain’s expansion programme will see the creation of 110 aircraft stands, including 87 with contact gates. Bahrain International Airport currently hosts 42 airlines and is home to Bahrain’s Gulf Air and Bahrain Air.

We are looking forward to continuing to work on this exciting project.

Cavotec’s Interim Report 2010 published

Cavotec is pleased to announce the publication of our Interim Report 2010; a period in which we recorded a 75.3% rise in orders on 1H 2009, to EUR 78.0 million. Our 12-month rolling order intake increased 14.7% on the same period last year.

The first half of 2010 showed a steady resurgence in demand from our customers worldwide, specifically in the airports and mining sectors. Despite the overall low level of investment in the ports sector during the period, we were able to record some promising results for niche systems such as AMP™ and MoorMaster™. The general industry sector is also starting to pick up, specifically in France and Germany, heralding a return to an overall positive economic climate.

Cavotec won several important orders for various airports and ports related projects in the period. For example, our Airports unit has seen a number of new orders at airports in China, India, France, Argentina, and Qatar; and crucially, our first airports project in Africa in coordination with partners in the Middle East.

Work on our project at Bahrain International Airport continues to progress to schedule. In July, the client successfully commissioned the first PCAir units at the Cavotec Fladung facility in Germany. We expect the final commissioning phase to take place as planned, during Spring 2011.

Our Ports & Maritime unit has reported encouraging results with an order for eight MoorMaster™ units for the Port of Dampier in western Australia. Also of note for the period: our cooperation agreement with German engineering group Vahle, to market E-RTG systems. This agreement will expand our capacity to deliver these systems in markets where we previously lacked access.

We also continue to win a large number of small projects for applications dotted all around the world. This positive trend suggests that the global economy, despite recent difficulties in Europe, is in a better position than this time last year. Based on our current expectations, we are confident that we will return to our 2008 level of revenues and profitability.

2009’s 4Q report released

Having released 2009’s 4Q report yesterday, we have a respectable Order Intake and a strong Order Book.  Order Intake was €54.7 million, a 51.9 % increase over Q4 2008 and the year-end Order Book was €65.4 million, a 41.9% increase over 2008. Naturally, these numbers give us a renewed optimism as we head into 2010.

Most notable, the Government of the Kingdom of Bahrain selected us to supply and integrate a range of environmentally sounds ground service equipment for remote aircraft aprons at Bahrain International Airport – a deal worth roughly €30 million.

Read more about the Bahrain deal or the full 4Q report here.