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SPRINTEX LIMITED — Capital/Financing Update 2025
May 26, 2025
65799_rns_2025-05-26_07af552a-e48c-463b-a489-b4893fdcc6fe.pdf
Capital/Financing Update
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Sprintex Limited ABN: 38 106 337 599
ASX: SIX
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ASX RELEASE
27 May 2025
Enhanced ZLD-UP system to be trialled with one of the Netherland’s largest agribusiness companies ahead of A$8.4m order
Highlights
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ZLD-UP system fully commissioned at Mest Water’s Tubbergen facility – System enhanced with introduction of two Sprintex bespoke dual wheel compressors to boost efficiency and revenue per unit
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On-site testing at a Van Drie Group site scheduled for June 2025 – Van Drie Group is one of the largest agribusiness groups in Netherlands, as well as the country’s largest veal producer with annual revenues of ~€3.2Bn (~A$6.2Bn)
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Mest Water poised for 200-unit order from Van Drie Group, generating €4.8m (A$8.4m) in revenue for Sprintex, up €1m (A$1.8m) following introduction of compressor enhancements
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New mobile ZLD-UP system (3,000 kg/hr) in production to target smaller farms to address ammonia compliance challenges
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New mobile system unlocks a significantly broader market in the Netherlands and the EU – over 17,000 farms must reduce ammonia emissions by 50% by 2030, prompting large agribusinesses to cut livestock herds by up to 30% or adopt technologies like ZLD-UP to comply[i]
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Mest Water personnel actively advancing negotiations with Dutch government for subsidies and provincial co-financing for rental programs for ZLD-UP systems
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By producing fertiliser from manure, the ZLD-UP system generates €1–€8 (A$2-A$14) per kg of nitrogen recovered, enhancing farm revenue
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Sprintex revenue increased by €5,000 (A$8,797) per unit, due to integration of advanced MW20/MW10 compressors
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Growing European interest in Sprintex’s MVR compressors, driven by Mest Water and recent Hannover Messe conference exposure
Sprintex Limited (ASX: SIX) ( Sprintex or Company ) is pleased to provide the following update on progress with strategic collaborator and leading European environmental technology company, Mest Water, which is focused on delivering the Zero Liquid Discharge Universal Process (ZLD-UP) system for sustainable manure processing and ammonia reduction.
1Exchange rate of EUR to AUD based on the Reserve Bank of Australia (RBA) rate on 23 May 2025 of: 1 EUR = 0.5684 AUD
283 Rokeby Road Subiaco WA 6008 Phone: +61 8 9262 7277 Email: [email protected] URL: www.sprintex.com.au
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ZLD-UP System: Commissioned and enhanced
The ZLD-UP system, which was commissioned at Mest Water’s 31,000m² Tubergen facility in April 2025, is now fully operational and exceeding performance targets of under 50kW per tonne energy consumption. Recent enhancements, including the introduction and integration of Sprintex’s bespoke MW20 and MW10 dual-wheel compressors has significantly boosted efficiency and will provide a €5,000 (A$8,797) per stationary unit revenue increase for the Company.
The completion of various enhancements has led to considerable industry interest, as well as a final onsite test at a Van Drie Group farm being scheduled for June 2025. This on-site testing is expected to validate the recent upgrades, ahead of production scale up.
Van Drie Group: A landmark opportunity and potential first customer
Mest Water expects to secure a first purchase order of ZLD-UP systems from the Netherlands’ leading veal producer, Van Drie Group. This initial order of 200 ZLD-UP systems is subject to a successful ‘on farm’ trial which will commence in mid-June 2025.
The order would generate €4.8m (A$8.4m) in revenue for Sprintex during the 2025/2026 financial year, with a €1m (A$1.8m) increase driven by the enhanced compressor pricing.
Each system, now priced at €24,000 (A$42,224) for Sprintex, incorporates two advanced compressors, underscoring the ZLD-UP system’s commercial viability. There has been considerable industry interest in the system and the Company is aware that a number of other large agribusiness companies are monitoring trials, highlighting a robust order pipeline for Mest Water and significant increased revenue potential for Sprintex.
Van Drie Group
Van Drie Group is a global leader in veal production and a pioneer in sustainable agriculture. The group employs ~2600 people and operates 29 subsidiary companies, exporting to over 60 countries. Van Drie generates annual revenues of ~€3.2Bn (~A$6.2Bn) and is renowned for its animal welfare programs and environmental initiatives.
Van Drie’s adoption of 200 ZLD-UP systems through Mest Water will significantly reduce ammonia emissions and transform manure into bacteria-free potting mix and granular fertilizer, setting a benchmark for responsible farming across Europe. The order is expected to provide exceptional validation of Sprintex’s technology with a global leader.
System configurations and market expansion opportunities
The ZLD-UP system, designed and manufactured by Mest Water, is designed to meet diverse agricultural needs through two configurations:
- Stationary System (1,000 kg/hr): Features one MW20 dual-wheel compressor and one MW10 dual-wheel compressor, both with durable titanium wheels, priced at €36,000 (A$63,336) per system for evaluation units and €24,000 (A$42,224) for production orders over 200 units. This system is ideal for large operators including pending customer Van Drie Group, enabling Mest Water to deliver efficient manure processing and ammonia reduction.
1Exchange rate of EUR to AUD based on the Reserve Bank of Australia (RBA) rate on 23 May 2025 of: 1 EUR = 0.5684 AUD
283 Rokeby Road Subiaco WA 6008 Phone: +61 8 9262 7277 Email: [email protected] URL: www.sprintex.com.au
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- Mobile System (3,000 kg/hr) : Mest Water has also completed the design of a system that employs three Sprintex MW30 compressors for (high-capacity, flexible processing. These newly developed compressors are priced at €93,000 (A$163,617) per system during evaluation and €57,000 (A$100,281) per system for production orders. This system targets smaller farms, offering a portable solution to ammonia compliance challenges.
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1Exchange rate of EUR to AUD based on the Reserve Bank of Australia (RBA) rate on 23 May 2025 of: 1 EUR = 0.5684 AUD
283 Rokeby Road Subiaco WA 6008 Phone: +61 8 9262 7277 Email: [email protected] URL: www.sprintex.com.au
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To support smaller farms in meeting stringent European Union environmental guidelines, Mest Water personnel are actively advancing negotiations with the Dutch government to secure subsidies for ZLD-UP systems. These efforts, alongside provincial co-financing for rental programs, will drive broader market penetration, unlocking a potential target market of over 17,000 farms in the Netherlands and European Union that must reduce ammonia emissions by 50% by 2030.
Evaluation Units: On Track
Under the Company’s agreement from June 2024, 20 evaluation units have been ordered by Mest Water for a total value of €620,000 (A$1,090,781) with €418,500 (A$736,277) being paid. As a result of recent commissioning to improve the efficiency of the Mest system and to include the newly developed Mobile system, the evaluation order has been amended to now provide 17 evaluation stationary systems and 1 mobile system for an increased total value of €705,000 (A$1,240,324) with a balance payable on completion of €286,500 (A$504,046) outstanding, of which €143,250 (A$252,023) is due now. All units, including one mobile and 17 stationary systems, are set for delivery during June and July 2025, supporting the upcoming Van Drie trial.
Broader Mechanical Vapour Recompression (MVR) opportunities
Sprintex’s Mechanical Vapour Recompression (MVR) compressors also are gaining traction across Europe, driven by the Mest Water partnership and strong exposure at Hannover Messe, the world’s largest industrial trade fair (refer ASX announcement: 12 March 2025). MVR technology uses advanced compressors to recycle and reuse heat and vapour — essentially steam — in industrial processes, significantly cutting energy costs and reducing environmental impact. For example, in food and beverage production, MVR can reduce the energy needed to evaporate liquids during dairy processing. In wastewater treatment, it helps recover clean water more efficiently, and in renewable energy, it supports green hydrogen production by optimizing energy use. These applications are attracting interest from European industries seeking sustainable solutions. Sprintex plans to launch three new MVR compressor models in 2025 to meet this growing demand, further expanding its market presence.
Management Commentary
Chief Executive Officer, Mr Jay Upton said: “Our partnership with Mest Water continues to deliver exceptional results with collaborative work leading to enhancements to the ZLD-UP system which are already exceeding internal estimates. Pleasingly, this has led to the initiation of an on-site trial with a major potential customer in Van Drie Group, which will commence in the coming weeks.”
“The A$8.4m forecast revenue from Mest Water’s Van Drie order, marks a pivotal milestone and highlights the considerable potential of the ZLD-UP system in the Netherlands. This pending trial, alongside broader interest from other groups and growing MVR opportunities, is game-changing for Sprintex and is expected to unlock considerably value for shareholders.”
This ASX announcement has been authorised for release by the Board of Sprintex Limited.
-ENDS-
For further information:
1Exchange rate of EUR to AUD based on the Reserve Bank of Australia (RBA) rate on 23 May 2025 of: 1 EUR = 0.5684 AUD
283 Rokeby Road Subiaco WA 6008 Phone: +61 8 9262 7277 Email: [email protected] URL: www.sprintex.com.au
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Sprintex Limited
Jay Upton - Managing Director P: +61 408 441 124 E: [email protected]
Six Degrees Investor Relations Henry Jordan P: +61 431 271 538 E: [email protected]
About Sprintex:
Sprintex, established in Australia in 2003, is a prominent company specialising in the engineering, research, product development, and manufacturing of ultra high-speed electric motors and clean air compressors. The Company is dedicated to creating energy-efficient solutions for various applications, significantly impacting both industrial and automotive sectors. Sprintex’s innovation-driven approach has positioned it as a leader in the development of clean air technologies, continually advancing the standards in these industries.
In the industrial sector, Sprintex's G Series blowers are designed for high-speed air movement in wastewater treatment, aquaculture, paper milling, and pharmaceuticals, ensuring efficient and reliable performance. Additionally, Sprintex develops fuel cell compressors for clean energy applications, particularly in hydrogen and natural gas fuel cells, promoting sustainable energy solutions. In the automotive realm, the Company focuses on enhancing hybrid and petrol vehicles with high-speed electric motor-driven compressors, while its legacy in twin screw superchargers continues to influence modern advancements.
Forward Looking Statements:
This announcement contains ‘forward-looking information’ that is based on the Company’s expectations, estimates and projections as of the date on which the statements were made. This forward-looking information includes, among other things, statements with respect to the Company’s business strategy, plans, development, objectives, performance, outlook, growth, cash flow, projections, targets and expectations and related expenses. Generally, this forward-looking information can be identified by the use of forward-looking terminology such as ‘outlook’, ‘anticipate’, ‘project’, ‘target’, ‘potential’, ‘likely’, ‘believe’, ‘estimate’, ‘expect’, ‘intend’, ‘may’, ‘would’, ‘could’, ‘should’, ‘scheduled’, ‘will’, ‘plan’, ‘forecast’, ‘evolve’ and similar expressions. Persons reading this announcement are cautioned that such statements are only predictions, and that the Company’s actual future results or performance may be materially different. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, level of activity, performance, or achievements to be materially different from those expressed or implied by such forward looking information.
1Exchange rate of EUR to AUD based on the Reserve Bank of Australia (RBA) rate on 23 May 2025 of: 1 EUR = 0.5684 AUD
283 Rokeby Road Subiaco WA 6008 Phone: +61 8 9262 7277 Email: [email protected] URL: www.sprintex.com.au