As featured in NT News
THE Darwin Innovation Hub’s Croc Pitch program winner, Corrosion Instruments, has received a welcomed cash injection of $775,000, led by local venture capital investor Paspalis Innovation Investment Fund (PIIF).
With an idea to combat corrosion aimed at the Territory’s oil and gas industry, Corrosion Instruments was given a handy start-up investment of $150,000.
Corrosion Instruments founder Sam Pattemore said his idea would help monitor corrosion in the oil and gas industry’s pipeline networks.
“We pitched a smart test post which is for monitoring of prosthetic protection on the oil and gas pipelines,” he said.
“Prosthetic protection is used for slowing or stopping corrosion of pipelines but the way they monitor and survey systems is the same way they’ve done it for 60 years. It’s very outdated and hugely resource intensive. We’re looking to automate that.”
Now Mr Pattemore is celebrating the Paspalis investment in his idea.
“It provided the basis for other investors to commit to the company, and to leverage a major grant from the Federal Government,” he said.
“We’re looking to employ software developers here in the Territory.”
Corrosion Instruments (CI) builds systems that use the internet of things (IoT) technology to monitor and control cathodic protection (CP), a technique used to significantly reduce corrosion on pipelines, wharves, bridges and other large infrastructure.
A failure of the cathodic protection system can result in significant damage to these structures resulting in expensive repairs, reduced asset life or even risks to health, safety and the environment.
Corrosion Instruments’ systems enable constant monitoring and early warning of failure.
The Paspalis investment was pivotal in providing the matching funding to a grant from the Federal Government’s Accelerating Commercialisation program of $326,882 and an additional $50,000 from the Territory Government’s BISI program.
This money will help fund the development of a satellite connected communication system of instrumentation.
Corrosion Instruments sees markets for the new product not only in Australia, but also the US, Canada and Russia.
Despite unprecedented levels of economic uncertainty due to the coronavirus pandemic, PIIF continues to invest in exciting Territory businesses, furthering its dedication to pioneering the development of businesses in the Top End.
“We are delighted to lead this round of investment,” investment manager Harley Paroulakis said. “It will ensure their business can be taken to the next level. The deal also underlines that despite the current challenges in the economy, investment is still being offered and much-needed deals are still being done.”
Gary Shipway is the Business Editor for the NT News.
Find out more about Corrosion Instruments