Hardide Regulatory News (HDD)

25 Apr 2005 07:00

Hardide PLC25 April 2005 Press Release 25 April 2005 Hardide to establish US manufacturing and sales capacity in response to growing demand Hardide plc ("Hardide" or "the Company"), the provider of unique surfaceengineering technology, announces its intention to establish a sales andmanufacturing facility in Houston, Texas. The investment will address thegrowing demand for Hardide's products in the oil and gas sector. In addition to rising order levels from US-based customers operating in the oiland gas sector, Hardide is also experiencing a substantial increase in thenumber of customer enquiries. Consequently the Company has decided toaccelerate its plans for US markets by initially establishing a commercialoffice, which will be followed by the installation of a processing facilityhousing two CVD (chemical vapour deposition) coating furnaces together withassociated support equipment. The cost of the graduated programme is £40,000 permonth initially, rising to an estimated total investment of some £2.6 millionover 24 months. Jim Murray-Smith, Chief Executive, said: "There is a clearly demonstrated andgrowing demand from the oil and gas drilling and downhole sector for ahigh-performance abrasion- and corrosive-resistant coating that will prolongcomponent life and minimise downtime. Hardide, which has been proven to offersignificant cost savings across the supply chain, needs to answer that demand. "A Houston facility will give us a launch-pad into the North American market andenable us to provide a cost-effective and efficient service. We are in theprocess of identifying suitable premises and will be recruiting localtechnicians. A technical team from the UK will set up the facility and trainthe local team." Hardide will be represented at the Offshore Technology Conference (OTC), takingplace in Houston on 2 to 5 May 2005. Ends For further information:Hardide plcJim Murray Smith, Chief Executive Tel: +44 (0) 1869 353 830jmurray-smith@hardide.com www.hardide.com Seymour PierceSarah Wharry / Jeremy Porter, Corporate Finance Tel: +44 (0) 20 7107 8000 Media enquiries:AbchurchPeter Curtain / Chris Lane Tel: +44 (0) 20 7398 7700chris.lane@abchurch-group.com www.abchurch-group.com Notes to editors Hardide provides and applies tungsten carbide coatings to a wide range ofengineering components. The Company's patented technology is unique in that itcombines both abrasion- and-corrosion resistant properties in one coating. Whenapplied to components, the technology is proven to offer dramatic cost savingsthrough reduced downtime and extended component life. Customers include leadingcompanies operating in oil and gas exploration, valve and pumps manufacturingand general engineering. Founded in 2000, Hardide operates three industrial coating facilities inBicester, Oxfordshire, UK. This information is provided by RNS The company news service from the London Stock Exchange