Fluence share price down despite announcing first Cambodian sale

The Fluence Corporation Ltd (ASX:FLC) share price is trading lower despite the company announcing its first SUBRE sale in Cambodia.

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The Fluence Corporation Ltd (ASX: FLC) share price is trading lower this morning despite the company announcing its first SUBRE sale in Cambodia.

Fluence is a provider of decentralised water, wastewater treatment and reuse solutions for both municipal and industrial applications globally.

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What did Fluence announce?

This morning, Fluence announced to the market it had secured a major US$7 million sale through its local partner Xwater Technology. The sale is in relation to Fluence's SUBRE membrane aerated biofilm reactor (MABR) and was made to the Kingdom of Cambodia's Sihanoukville Port for the Ministry of Land Management, Urban Planning and Construction.

Fluence commented that this will be the first biological sewage wastewater treatment system to be installed by the Ministry in Cambodia. It further noted that the MABR order, which consists of 66 SUBRE towers, is expected to be delivered by June this year.

The company stated that this Smart Products Solution consists of three SUBRE greenfield projects for newly built decentralised wastewater treatment plants. Treated wastewater from the solution will meet the necessary standards equivalent to China's Class 1B effluent standard.

According to Fluence, a key benefit of the MABR technology is that it produces reliable and consistent high effluent quality. Additionally, the discharged water can be put directly into the sea without requiring further treatment.

Fluence stated that rapid expansion of the population of Sihanoukville, limited available land for wastewater plants, and the expedited timeframe for delivery were all key considerations that led to the selection of Fluence's SUBRE solution.

Largest order so far outside china

This MABR sale will be Fluence's largest order of this system outside of China to date. Moving forward, the company will continue to focus on deploying its Smart Products Solutions into markets.

Fluence supplies MABR modules globally from its manufacturing facility in Changzhou, Jiangsu Province in China. The company noted that production recently resumed in this facility following the extended Spring holidays.

Commenting on this order, Fluence Managing Director and CEO Henry Charrabé said:

"This order further solidifies Fluence's position as a global leader in MABR and after the successful implementation of these solutions in Sihanoukville Port, will provide an excellent local reference for future biological wastewater treatment needs in Cambodia."

Motley Fool contributor Phil Harpur has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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