ZiLift, an Aberdeen, Scotland-based provider of artificial lift solutions for the oil and gas industry, has raised 4 million pounds ($7 million) in new funding. Energy Technology Ventures, a GE-NRG Energy-ConocoPhillips venture, led the round, which included participation from existing investors Energy Ventures, Chevron Technology Ventures, Viking Venture, Jebsen Asset Management and Investinor.
ZiLift, an Aberdeen, Scotland-based provider of artificial lift solutions for the oil and gas industry, announced today that it has received a growth capital investment of GBP 4 million (US$7 million) from new and lead investor Energy Technology Ventures — a GE-NRG Energy-ConocoPhillips venture — and existing investors Energy Ventures, Chevron Technology Ventures, Viking Venture, Jebsen Asset Management and Investinor.
ZiLift exclusively develops innovative next-generation technologies for the artificial lift market, a global market estimated to be worth US$6 billion. The proceeds from this investment round will assist ZiLift in completing product development and achieving commercialisation of its technologies.
Kevin Skillern, GE Energy Financial Services’ managing director of venture capital and representative of Energy Technology Ventures, said: “ZiLift represents Energy Technology Ventures’ first investment in Europe and fourth in the oil and gas technology sector. We are providing vital funding and critical technical support to help achieve commercialisation. ZiLift is a great example of what we look for in our investments — providing a game-changing innovation in a big market, with a skilled team.”
Stuart Ferguson, ZiLift chairman said: “Artifical lift technologies are currently utilised in 80% of all oil wells worldwide. Gas well dewatering and heavy oil are emerging markets and are set to grow to multi-billion dollar mainstream markets. We are confident Zilift can become the industry standard in these markets.”
ZiLift is pursuing joint development programs with leading oil and gas companies such as ConocoPhillips, Chevron and a major Middle East oil and gas operator. The assistance of these companies has enabled ZiLift to develop innovative technologies that address real market issues and opportunities by significantly reducing time and cost associated with installing and servicing conventional artificial lift equipment.
ConocoPhillips is actively working to accelerate technology deployment through a joint development project with ZiLift. “We are excited about the progress that ZiLift has made, and our ability to leverage our sector expertise in upcoming field trials and commercialisation efforts,” said George Coyle, ConocoPhillips Technology Ventures’ manager of investments and representative of Energy Technology Ventures.
Iain Maclean, CEO of ZiLift, said: “There is a great deal of interest in our technologies and this additional funding provides us with the resources to forge ahead with product development to achieve commercialisation. Testing of our prototypes is now in its final stage and we are currently planning to start field trials in the second half of 2012.”
ZiLift Ltd. was established in May 2010 and is a fully independent company developing exciting technologies and systems, which will form the next generation of artificial lift for the oil & gas industry. ZiLift’s innovative solutions will enable downhole pumping systems to be deployed where they presently cannot.
Headquartered in Aberdeen and with 28 personnel, ZiLift is currently working on several E&P client sponsored projects. These are focused on gas well deliquification, oil and heavy oil applications, respectively. Visit www.zilift.com .
About Energy Technology Ventures
Energy Technology Ventures is a joint venture involving GE GE +0.95% , NRG Energy NRG +4.60% , and ConocoPhillips COP +1.40% focused on the development of next-generation energy technologies. Bringing together three market-leading companies with a wide range of deep technical and financial expertise, relationships, services and products, the joint venture invests in, and offers commercial collaboration opportunities to, venture- and growth-stage energy technology companies in the renewable power generation, smart grid, energy efficiency, oil, natural gas, coal and nuclear energy, emission controls, water and biofuels sectors, primarily in North America, Europe and Israel. For more information, visit www.energytechnologyventures.com .
About Chevron Technology Ventures
Chevron Technology Ventures champions innovation, commercialisation and integration of emerging technologies within Chevron. Chevron invested in ZiLift in 2010. Visit http://www.chevron.com/ctv/
About Viking Venture
Viking Venture, based in Trondheim, Norway, is one of the leading Nordic venture funds focused on technology, with NOK 1.2 billion under management. Viking Venture invests in growth-phase companies in electronics and software as well as in oil and gas. Through active ownership, Viking Venture contributes capital, business development, recruitment, strategy development and sales processes to the companies. Visit www.vikingventure.no .
About Energy Ventures
Energy Ventures is a leading venture capital firm specialising in the upstream oil and gas technology arena. Energy Ventures advises four oil and gas venture funds with a combined capital base in excess of US $400 million. Energy Ventures has offices in Stavanger, Aberdeen and Houston. Target companies are located in the North Sea and North America with significant international potential. Visit www.energyventures.no
Investinor AS is a government-funded investment company that invests venture capital in internationally oriented and competitive Norwegian companies in the early growth and expansion stages. Visit www.investinor.no
About Jebsen Asset Management
Jebsen Asset Management AS, based in Oslo, is the investment management entity of the Kristian Gerhard Jebsen Group. Jebsen Asset Management AS was established in 2005 and invests in private equity funds, direct equity holdings and fixed income securities. Investments are primarily in Scandinavia, Western Europe and North America.