Underground minerals and oil and gas finder Getech Group has revealed eight new contract wins worth a combined £1.8m.
The Leeds-based tech company, which also has operations in the US, said it had successful sold subscriptions to its Globe platform, which uses GIS to overlay information about the earth's evolution so that mining and energy firms can better locate resources. In an update to shareholders, the firm said it expects to book £600,000 of revenue from the contracts in the year to the end of December 2023, with unaudited revenue for the full year expected to be £4m.
It follows challenges pointed out by Getech in a recent trading update, in which bosses said caution among its clients due to geopolitical and economic turmoil had delayed a number of projects, hitting sales. The trend caused Getech to undergo restructuring, including a scaling back of workers on its hydrogen subsidiary, H2 Green.
Read more: Orsted confirms Hornsea Three investment decision, securing Grimsby jobs
Read more: Glass recycler Recresco acquired by European giant BA Glass Group and aims for international growth
Investors were told the firm now has an order book of £4.6m going into 2024. In addition to the new contracts, the firm said it was also seeing success in migrating existing customers to longer term contracts providing better recurring revenue.
Among the latest contracts is a three-year renewal deal with an Asian multinational energy company. There was also an agreement with a US multinational for the firm's Data Assistant software which allows customers to better use geoscience data.
Richard Bennett, acting CEO said, "Entering 2024 with our substantially reduced cost base, increased order book and growing ARR means the business is undoubtedly better placed following a year of transition in 2023. We have also invested in expanding our exploration capabilities, targeting resources associated with the energy transition.
"The recent COP28 demonstrated again the world's commitment to phasing down fossil fuels and in 2024 we expect to benefit from this by helping our customers locate the subsurface future facing resources such as critical minerals and geothermal projects that are so vital to the energy transition."
Getech's Globe product provides earth science data to help mining and energy firms explore and locate subsurface resources such as oil and gas, critical minerals and national hydrogen.
