Shares digital

Water treatment technology specialist Microfuze International (MFZ:AIM) has successfully completed construction of the first of two pilot water treatment plants in South Africa.

The company, soon to rename itself Watermark Global, has an ultimate goal of building a state-of-the-art facility in the Witwatersrand Basin of West Rand, South Africa, which will tap into the explosion in mining activity in the region. The plant would treat the toxic water produced by acid mine drainage from gold mines and then re-sell that treated water on to third parties – principally nearby platinum mines.

The work is being carried out through its wholly owned subsidiary Western Utilities Corporation, which Microfuze acquired in June last year. Water treatment is something of a departure for Microfuze but the upcoming name change reflects its increasing importance and the successful shift in emphasis has boosted the share price – up from a year low of 2.38p to more than 9p.

Another company on the junior market which recycles waste from the resources industry is Hydrodec (HYR:AIM). It is, however, a little further down the road in monetising its technology. The firm uses a patented process to refine contaminated transformer oils and the stock has virtually doubled in value since December – trading for around 42.5p. Last month saw the first shipments of its product to Turkey, the company’s first US plant is expected to come on stream in the third quarter and it has already commenced commercial operations there ahead of schedule.

Shares says: Wait for more progress from Microfuze – Hydrodec on the other hand is beginning to ramp up commercialisation of its product.

HOLD Microfuze

BUY Hydrodec