Scottish maritime technology company RAB-Microfluidics is scaling up manufacturing of a new oil analysis device after receiving £2.2m in a funding round led by Par Equity.
The company has developed and patented a microfluidic ‘lab on a chip’ after identifying a gap in the market to improve oil lubrication analysis. The technology diagnoses early signs of failure, preventing costly machinery break downs in equipment like engines, gearboxes and generators.
The device will be launched later this year, enabling real-time analysis at sea up to 1,000 times quicker and significantly cheaper than land-based laboratories.
RAB-Microfluidics is already moving to bigger premises at Aberdeen’s Energy Development Centre to start manufacturing, as well as moving towards regulatory approvals for CE marking, ISO 9001 and marine type approval.
It is further creating eight new roles following the latest investment, which was also supported by existing investors Eos Advisory, Newable Ventures and Scottish Enterprise. This is the second equity cash injection the company has received from these partners, after securing £1.25m in January 2021.
RAB Microfluidics is led by chief executive Rotimi Alabi, a PHD graduate from Nigeria, who said the company is winning new business and is aiming to hit a £2m turnover by 2024. Growth will be driven by a strengthened team of engineers, scientists and sales professionals.
“This is a huge moment for RAB-Microfluidics as we look to launch the technology and we must sincerely thank our investors for backing us and believing in our vision,” he said. “We’ll use the funding to catapult the business forward commercially with a stronger corporate, sales and marketing operation.
”We are actively looking to speak with ship owners worldwide and urge ship managers to make contact - to raise awareness, we’ll be showcasing the technology at trade fairs globally starting at SMM in Hamburg in September.”
Jamie Grant, RAB-Microfluidics director of commercialisation and former general manager with V Group, said a big benefit of the technology is maximising vessel reliability and availability.
“It is brilliant to receive this equity funding after proving the technology’s potential on pilot projects working with the likes of NorthLink Ferries,” he said. “We know a major pain point in shipping is equipment failure, which is costly in terms of revenue, downtime and repair costs.”
Following its launch in the maritime industry, RAB-Microfluidics is planning to expand into other sectors including wind farms, manufacturing on gas turbines, gearboxes, generators, compressors and pumps.
Tom Croy, senior investment manager at Par Equity, said: “RAB-Microfluidics has developed a game changing and difficult to replicate technology in oil condition monitoring which is at the point of accelerating customer traction.
”We look forward to the journey ahead and helping RAB Microfluidics make an impact on Industry 4.0, across the global maritime industry before moving into new sectors.”
RAB-Microfluidics has received funding from a variety of sources, including the Clean Maritime Demonstration Competition.
Alabi was also awarded a £90,000 Enterprise Fellowship by the Royal Society of Edinburgh, building on £65,000 of grant funding from the Oil and Gas Innovation Centre and Energy Technology Partnership.
The business has also completed the Oil and Gas Technology Centre’s TechX Pioneers accelerator programme and won the University Start-up World Cup in Copenhagen, defeating 70 other entrants.
This is in addition to receiving 70% grant support form Scottish Enterprise and Innovate UK for projects worth £475,000 and £232,000 respectively.
Don't miss the latest headlines with our twice-daily newsletter - sign up here for free.
