Bawat reaches financing agreement with Nefco to scale up its ballast water management system business

Ballast water discharged from shipping poses a serious environmental and economic threat due to the spreading of invasive species. With Nefco financing, Bawat will scale up its patented ballast water treatment system to reduce the environmental impact of shipping.

Nefco – The Nordic Green Bank – has signed a loan agreement with Bawat, a Nordic company providing an environmentally friendly solution for ballast water treatment. Bawat’s system uses heat to pasteurise ballast water, making it a simple, cost-efficient, flexible and sustainable solution that requires no harmful chemicals, UV lights or filters. Unlike other solutions, Bawat’s ballast water management system functions equally well in seawater, brackish water and fresh water and is suited for both onboard solutions for ships and mobile (i.e. land-based) or containerised installations.

Bawat CEO Marcus Hummer comments: “The loan facility will primarily be used for expanding Bawat’s global sales network to increase awareness of our brand and technology and develop our capacity for technical support and delivery. Specific investments will also be made to expedite the roll-out of Ballast-as-a-Service.”

Up to 10 billion tonnes of ballast water is discharged by the shipping industry into the world’s seas, lakes and rivers each year, according to the International Maritime Organization (IMO). This discharge poses a serious environmental and economic threat as ballast water can contain invasive species and microorganisms. Invasive species cause disruption to marine ecosystems and reduce local biodiversity, with harmful effects on the environment, public health and society.

“With this project, Nefco can support a technology that will help to protect local biodiversity and prevent disruption to marine ecosystems. We are happy to finance Bawat’s growth and enable the international expansion of their unique solution,” says Vivi Avikainen, Investment Manager, Nefco.

Bawat’s ballast water management system is currently the only heat-based solution that has received type approval by both from IMO and US Coast Guard. The system also complies with the Ballast Water Management Convention, a treaty adopted by the IMO to help prevent the spread of potentially disruptive species through ships’ ballast water. All ships must be in compliance with this standard by September 2024.

For more information, please contact:

Vivi Avikainen, Investment Manager, Nefco
vivi.avikainen@nefco.int, +358 10 6180 661

Marcus P. Hummer, CEO, Bawat
mph@bawat.com, +45 8870 8803

About Bawat

Bawat was founded in 2011 as a result of the development of an entirely new approach to ballast water treatment that uses onboard waste heat. The use of a ballast water treatment system prevents the disposal of untreated water into seas and harbours.

Bawat’s ballast water management system (BWMS) is simple, cost-effective and sustainable, as well as having no negative environmental impact and using standard marine components. No filters. No chemical. No UV. It is the first BWMS on the market with USCG/IMO Type Approval that uses pasteurisation to treat ballast water in a one-pass process. Bawat has built upon its innovative technology and now offers ballast water solutions to the maritime industry in three categories:

• A BWMS for ships that is suitable for retrofitting and newbuilds
• A mobile containerised solution for use across multiple vessels in port, either on ships or for rigs
• Ballast Water as a Service for contingency services in ports

Bawat is an engineer-driven company that is rooted in the tradition of Danish maritime innovation and with deep maritime knowledge: www.bawat.com

Bawat is listed on the Nasdaq First North Premier Growth Market.

About Nefco

Nefco is an international financial institution, the Nordic Green Bank, that finances the initial scale-up of Nordic green solutions on global markets. Founded in 1990 by the five Nordic countries, Nefco has already financed and implemented over 1,500 projects in energy efficiency, renewable energy, clean water and sanitation, waste management and cleaner industrial processes, among others. To date, more than 600 Nordic growth companies have received financing from Nefco to scale up their green technologies and solutions on global markets. We serve the interests of our owners, Denmark, Finland, Iceland, Norway and Sweden, and work with concrete actions to accelerate the green transition. Read more about us on www.nefco.int.