Envirosuite Order From Cerrejon At Circa 500k Pa Post Securing New Order

  • May 10, 2019 AEST
  • Team Kalkine
Envirosuite Order From Cerrejon At Circa 500k Pa Post Securing New Order

Envirosuite Limited (ASX: EVS) is an ASX listed information technology company based in Australia. The company provides environment management software based on real-time data across industries like oil refineries, port operators, mining etc. Some of the current projects of the company are Odour issue management, Pro-actively managing dust and stakeholder expectations etc.

On 9th May 2019, the company announced that it has received an order from Carbones del Cerrejon (Cerrejon) to remotely monitor groundwater pressure on a continuous basis. Cerrejon had already been the company’s largest mining client, as stated by Envirosuite in a statement released on 18th October 2018. If annual recurring revenue (ARR) is considered, Cerrejon has become the company’s largest client of the company. The new order will generate $84,000 of ARR through subscription which also includes $240,000 of hardware.

Previously, Cerrejon had signed a contract for the equipment order. It has now provided Envirosuite with a variation in its existing master contract for the subscription licence. It will be finalised in accordance with the previous practice of the client, and soon to be signed with their procurement team as well.

About Cerrejon:

It is a joint venture between Glencore, Anglo American and BHP Billiton (ASX: BHP). Cerrejon is the 10th largest coal mine in the world and biggest coal mine in Latin America. It has its consolidated facility containing large coal mines, along with railway and port transportation facilities.

Solutions on Envirosuite platform:

Cerrejon is utilizing Envirosuite platform, which is completely combined into its forecasting, risk management and triggered action response plans both at the level of operation and environment. The subscription with the platform cover points as follows:

  • Weather and air quality forecasting, so that appropriate operations time can be provided to the personnel to minimize the impact of expected conditions and maximize productivity.
  • Groundwater pressure monitoring for remote and continuous analysis of slope stability and to inform the risk management measures.
  • Monitoring of surface water to make sure that water releases are within required parameters.
  • Dust management and continuous monitoring which enables the ability to target the highest risk zones of the operations.
  • Blasting which includes prediction and monitoring of ground vibration, airblast overpressure and flyrock to inform blast planning etc.

Key personnel’s statement:

Mr Peter White, CEO of Envirosuite, stated that Cerrejon is a pivotal client for the company. The relationship between EVS and Cerrejon has demonstrated improvement during the last 3 years period, since Cerrejon has been utilizing numerous solutions on Envirosuite platform that have proved their worth over time.

Mr Jon Evans, COO of Cerrejon said that the relationship between the two companies have become so strong that Cerrejon is now using a fully integrated platform as a part of its operations. In order to improve, environmental, community and financial outcomes, the company is using Envirosuite platform across its business.

On 6th March 2019, EVS announced, that the India based steel manufacturing company, Tata Steel had adopted the Envirosuite platform.

Stock Performance:

The market capitalisation of the company is A$51.83 million. The 52-week high and low of the stock is A$0.19 and A$0.037 respectively. The stock of the company is currently trading at A$0.135, down by 3.571% (as on 10 May 2019, 12:16 PM AEST). In the last one year, the stock has delivered a good return of 233.33%, and its YTD return stands at 122.22%.


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