Coming off what can only be described as a brutal year, Calgary-based Dynetek Industries (Toronto:DNK), a manufacturer of lightweight Type III (carbon fiber on aluminum) CNG and other fuel cylinders, says it is seeking to expand its presence in the Asia-Pacific market through joint venture relationships in Korea, India and China.
Cylinder and systems sales were just $14.33 million in 2011, down from nearly $22.3 million in 2010.
North American cylinder and system sales dropped 20% for the year, while European sales were down 44%. “The overall decrease in cylinder and system revenue was due to difficult public sector economic conditions,” Dynetek says. “Economic conditions resulted in reduced public funding to our clients, the majority [of] whom rely on government funding for their operations.”
Dynetek says that talks continue with India’s S.V. Greentech, which may bankroll the manufacturing of lightweight compressed natural gas fuel cylinders in India or may even acquire the Canadian firm.
Dynetek has meanwhile disclosed a new financing arrangement with Callidus Capital (Toronto) and, on the bright side, also said March 29 that customer order activity has started to increase during the first quarter of 2012.
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