New technology reduces steam consumption, increases system capacity, and lowers carbon footprint

BATAVIA, N.Y.--(BUSINESS WIRE)--Oct. 15, 2024-- Graham Corporation (NYSE: GHM) (“Graham” or “the Company”), a global leader in the design and manufacture of mission critical fluid, power, heat transfer and vacuum technologies for the defense, space, energy and process industries, announced today the successful launch of its NextGen steam ejector nozzle with a customer installation in a Gulf Coast refinery. This marks a significant achievement for the Company's new technology, which was designed to offer efficiency improvements, environmental benefits and enhanced profitability for customers.

The NextGen steam ejector nozzles are engineered to reduce steam consumption, lower operating costs, and increase system capacity, allowing refineries and process plants to enhance throughput while minimizing their carbon footprint. Ultimately these benefits drive profitability, positioning the NextGen technology as a critical tool for refineries to optimize both performance and financial returns. With this launch, Graham demonstrates its commitment to helping customers meet stringent sustainability goals and emissions regulations through innovation.

In this installation, the customer achieved a 5.6% reduction in overall steam consumption, which is expected to result in the customer saving an estimated $270,000 annually in utility costs. The refinery also increased capacity by 3.1% and improved vacuum levels by 10.4%. Additionally, the reduction in steam usage is expected to cut 1,970 tons of CO₂ emissions per year, supporting the customer's environmental and financial objectives.

Dan Thoren, Graham Corporation President and Chief Executive Officer, commented, “We are very proud to see our NextGen nozzle technology deliver such tangible results. The successful demonstration of our R&D investments through this installation proves the value of innovation in improving efficiency and sustainability. A key benefit of reducing steam consumption is the corresponding reduction in CO₂ emissions, which can have a meaningful impact on a plant’s emissions profile and carbon credit position. By optimizing vacuum systems with this new technology, we help our customers improve both their operational efficiency and profitability, while also enhancing their environmental impact.”

NextGen Nozzle Advantages:

• Custom Engineered for Specific Applications: Unlike traditional nozzles, which are sized based on historical data, each NextGen nozzle is custom engineered and optimized for individual customer processes. This allows for precise performance improvements tailored to specific operating conditions.
• Energy Efficiency: R&D testing shows that NextGen nozzles are 5% to 10% more energy efficient than standard nozzles, reducing the overall energy needed to operate vacuum systems.
• Steam Savings: These nozzles target high-compression, first-stage steam jet ejectors, where steam consumption is typically the highest, delivering significant reductions in steam usage.
• Seamless Retrofit: The nozzles are designed to fit seamlessly into existing Graham ejectors, making them an easy upgrade option for customers seeking efficiency gains without extensive reconfiguration.

By lowering steam consumption and improving process efficiency, NextGen nozzles also reduce downstream condenser heat loads and emissions from customer boilers, contributing to a more sustainable industrial process.

Mr. Thoren added, “According to our estimates based on the current installed base that can benefit from this enhanced product, we see meaningful potential for our NextGen nozzle technology, with an estimated total market opportunity exceeding $50 million over the next 5 to 10 years. By actively marketing this innovative solution to our extensive customer base across North America and globally, we aim to help more customers achieve significant energy savings, enhance system performance, increase profitability, and reduce their carbon footprints through seamless upgrades to their existing systems."

For more information on the NextGen nozzle, visit graham-mfg.com or watch an overview video.

About Graham Corporation

Graham is a global leader in the design and manufacture of mission critical fluid, power, heat transfer and vacuum technologies for the defense, space, energy, and process industries. Graham Corporation and its family of global brands are built upon world-renowned engineering expertise in vacuum and heat transfer, cryogenic pumps, and turbomachinery technologies, as well as its responsive and flexible service and the unsurpassed quality customers have come to expect from the Company’s products and systems. Graham Corporation routinely posts news and other important information on its website, grahamcorp.com, where additional information on Graham Corporation and its businesses can be found.

Safe Harbor Regarding Forward Looking Statements

This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are subject to risks, uncertainties and assumptions and are identified by words such as “can,” “estimate,” “expects,” “potential,” “will,” and other similar words. All statements addressing operating performance, events, or developments that Graham Corporation expects or anticipates will occur in the future, including but not limited to, the success and efficiencies created by the NextGen steam ejector nozzle, the estimated total market opportunity and the Company’s ability to capitalize on such market opportunity. Because they are forward-looking, they should be evaluated in light of important risk factors and uncertainties. These risk factors and uncertainties are more fully described in Graham Corporation’s most recent Annual Report filed with the Securities and Exchange Commission, including under the heading entitled “Risk Factors,” its quarterly reports on Form 10-Q, and other filings it makes with the Securities and Exchange Commission. Should one or more of these risks or uncertainties materialize or should any of Graham Corporation’s underlying assumptions prove incorrect, actual results may vary materially from those currently anticipated. In addition, undue reliance should not be placed on Graham Corporation’s forward-looking statements. Except as required by law, Graham Corporation disclaims any obligation to update or publicly announce any revisions to any of the forward-looking statements contained in this news release.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241015763765/en/

For more information, contact:
Christopher J. Thome
Vice President - Finance and CFO
Phone: (585) 343-2216

Deborah K. Pawlowski
Kei Advisors, An Alliance Advisors Company
Phone: (716) 843-3908
dpawlowski@keiadvisors.com

Source: Graham Corporation