Aqua-Chem, Inc. Formalizes Strategic Joint Venture with Brazilian Representative Vicel Group

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Aqua-Chem strategically and geographically poised to meet the fresh water demands of industrial districts in the heart of the oil and gas industry in Rio de Janeiro

Aqua-Chem, Inc.

Aqua-Chem, Inc.

This venture allows us to be highly nimble and strategic in developing custom solutions on site for a very large base of our clientele in an area of the world where the demand is high.

Aqua- Chem, Inc., the leader in global water solutions, announced today that it has reached an agreement, formalizing a strategic joint venture with Brazilian based VICEL Group, to manufacture and assemble in Brazil Aqua-Chem’s world class fresh water makers at the VICEL facility, which is strategically located in the city of Rio Das Ostras, an industrial district very close to the Macae’ area, the heart of the oil and gas industry in the state of Rio de Janeiro.

“This venture allows us to be highly nimble and strategic in developing custom solutions on site for a very large base of our clientele in an area of the world where the demand is high,” said David Gensterblum, Aqua-Chem CEO. “We are confident this alliance will add top line growth and bottom line value for our organizations.”

The new company will exceed 60% of local content in reverse osmosis desalination systems in the first phase of the production plan, which is scheduled for the third quarter of 2012. Gensterblum said, “We’ve been working on an agreement for more than a year, designed to meet the market-growing demand for products with national content as established by the ANP (The National Agency of Petroleum, Natural Gas and Biofuels) rules. This alliance will prove to be highly beneficial for our customers and our companies.”

Aqua-Chem’s renowned Desalination by Reverse Osmosis (RO) is a process whereby fresh water is extracted from seawater through the use of a semipermeable membrane. Aqua-Chem systems have provided potable water for more than 20 years and are in service around the world. Each reverse osmosis system affords low initial cost and economical life-cycle operating costs.

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About Aqua-Chem
Headquartered in Knoxville, TN, Aqua-Chem specializes in a multitude of industries with a full range of thermal and membrane water treatment technologies. These include vapor compression distillation, flash evaporation, reverse osmosis, membrane filtration and ion exchange. The company has been working with the U.S. government since 1943 ensuring deployed troops have drinking water that is safe. The company does business with over 100 global connections and has clients in areas including offshore oil and gas, pharmaceutical, commercial marine, micro utility, beverage and industrial.

Aqua-Chem is a portfolio company of Altus Capital Partners.

About VICEL Group
With the company’s registered office located in Rio de Janeiro, and the representation of Sodium Hypochlorite Generation and Waste Water Treatment Equipment world-class brands SANILEC® / SEACLOR® and OMNIPURE™, manufactured by SEVERN TRENT De NORA, Vicel started applying the experience accumulated in the relationship with the Brazilian Navy to the offshore oil & gas industry. By participating in the Oil & Gas Trade Shows, since 1998, Vicel was successful in selling the first OMNIPURE™ and SANILEC® units in this market, in which installations the thermoplastic material manufactured by GEORG FISCHER was applied as an efficient substitute for the copper-nickel piping thus becoming a new standard in the market.

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Laura Brophy
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