Efficient energy

Houston oil and gas software company is increasing downstream productivity while lowering emissions

Penrose's advance process control software can increase production by 10 to 15 percent in downstream oil and gas refineries. Pexels

In the next 30 years, the world will need 30 percent more energy due to population growth. While energy production will increase to keep up with demand, there is an increasing concern with the impact on the environment.

"How do you produce more energy without emission increases or more air quality pollution?" asks Erdin Guma, CFO of Penrose Technologies.

According to Guma, Penrose is uniquely well-suited to solve these serious challenges with its advanced process control technology increases the productivity of a chemical plant or refinery by 10 to 15 percent. The increase in productivity means the plants use less fuel to produce the energy. The plant then releases fewer emissions while producing the same amount of energy.

The technology itself is an automation software — similar to autonomous software on a plane. The autonomous operation increases downstream productivity, which brings about the energy efficiency.

"Our autopilot software (like a human operator) can manage and foresee any unexpected disturbances in the plant," Guma explains. "The achievements that the Penrose technology has brought about seemed impossible to chemical and process engineers in the refinery space a few years ago."

Penrose recently signed its first project with one of the biggest downstream firms in the world. With a network of refineries and petrochemical plants around the world, this contract could lead to a global roll out of the Penrose technology.

A ground-breaking technology for O&G
The word "Penrose" is taken from a penrose triangle, an impossible geometrical object. Guma explained that the energy efficiency brought about from their software seemed impossible at first. Penrose has been able to reduce emissions inside plants and refineries by 15 to 20 percent while keeping production at the same level.

In 2007, a chief engineer working at a major oil and gas processing plant in Houston procured the technology for one of his plants. When the engineer saw how well the technology worked, he founded Penrose Technologies in 2017 with Tom Senyard, CTO at Penrose, who originally developed the technology.

After starting the company at the end of 2007, Penrose joined Station Houston. Guma said that by becoming a member, Penrose was able to plug into a large refining and petrochemical network.

"Penrose Technologies is completely self-financed. We worked with [Station Houston] as we finalized the software to find out what potential customers thought of the product. For us, Station Houston has been a great sounding board to potential investors in the company," Guma says.

Guma also explained that while there has been an uptick in innovation in the last few years, the refining and petrochemical business is traditional a slow mover in the uptake of innovation.

"I think more major oil and gas firms are becoming attune to startups and the innovation solutions they offer," Guma says.

He went on to explain that the biggest challenge Penrose faces is perception. Since the software allows plant operators and engineers at the plant to be hands off in the processes, there is a concern with reliability. For industry insiders, any viable product must be reliable even when process conditions at the plant change, which can happen often.

"The Penrose software is maximum hand off control from operators, and the reliability of our software gives us a huge edge in other competing products that can be unreliable," Guma says.

Future growth on a global market
Given the pressing need for more environmentally sustainable energy production, new technology will be adopted in the oil and gas energy. As Guma explains it, there will be no way to continue producing energy as it's been produced for decades because the negative effects of air pollution and emissions will be too severe — particularly in the areas where refineries operate.

"We see the global market for this type of technology as severely underserved," Guma says. "It's a big and sizable market, and I think we can reach a $2 to $3 billion valuation in the next five years."

With a core team of six employees in Houston, Penrose's software is now commercially available, and the company is in full growth mode at this point. The software can be distributed directly to customers, but they are working to develop distribution with major engineering companies as well.

Guma is grateful to be in an environment conducive to energy start-ups. He sees Houston as a major advantage given its proximity to the energy sector.

"No technology rises up in a vacuum. Any new technology needs a good ecosystem to come from," says Guma. "Houston was that ecosystem for Penrose."

Camppedia, a Houston-based startup, can help match kids to summer camps all around town. Educational First Steps/Facebook

Tudor Palaghita and his sister Ana are both parents and both busy professionals. And both used the same word when it came to finding camps to help their kids pass the long, steamy summer: painful.

"We're working parents, we're strapped on time, but we want to make sure we give our kids enriching experiences," explains Ana. "One spring, we were going through the [camp search] process, and we talked about how difficult it was. And the next spring, we said, there's something here. We feel this pain, our friends feel this pain, and no one is helping us. Why don't we solve our problem ourselves?"

And that's exactly what they did. The duo used their business and technology backgrounds — Ana has an MBA from Northwestern University and built a successful career in a major financial institution, and Tudor has his Ph.D. in aerospace engineering from Georgia Tech — to launch Camppedia.com. The site is intended to be a one-stop shop for parents looking for camps for their children.

The tool launched in March of 2019, coinciding with spring break. Currently, it offers options throughout central Houston. Parents can select camps for their children based on interests, their ZIP codes, cost or even those that offer extended hours for moms and dads with full-time jobs.

"We believe the most important aspect to building anything is to understand your users," says Tudor, who left his research and development job at a major oil and gas services company to work full-time on Camppedia. "Before we launched, we did a lot of interviews and talked to a lot of parents, and then hand sketched prototypes to better convey our idea."

The pair went one step further after that, speaking with camp providers, seeking input about not only their products, but also the issue they faced in terms of marketing or registration. Following that fact-finding mission, they built Camppedia to show as many options as possible for families who want to book activities, as well as giving users the option to build their own calendars, save favorite options and see what camps actually have spots available. When parents select a camp, they are then driven to the individual camp's website to book.

Development on Camppedia, which is a member company at Station Houston, began last September, when the duo began looking at what to include on the site and finding partners who could assist them in building it.

"We looked at a bunch of different paths from a technology perspective," says Ana, who works on the site from her home in Virginia. "Because you can build the sort of the fancy, what I'd call destination-technology architecture, or you could build something scrappier, and I think we landed on something scrappy because we are still learning. Chances are [going forward] we'll change quite a bit."

Camppedia is built on WordPress, and currently features more than 275 camps from large to small. Tudor and Ana have been making improvements ever since, but the response has been enthusiastic. Parents, the pair say, have loved having so much information in one place. And camps have actually come to them, seeking information about how to be listed. That led to the creation of a camp partnership category, where camps can pay to use certain features on Camppedia's site, such as the ability to reach out to interested parents.

Going forward, the duo look forward to further building Camppedia as a resource. They're looking at adding reviews and experiences from parents, as well as finding ways to take the concept nationwide. But they're really happy with how the site has grown and the response they've had. The business, they insist, is designed to be a service that will support parents as they try to make the best decisions they can for their children.

"While the road ahead is daunting," says Tudor. "We are super excited about the possibility of building something truly useful for working parents who nowadays are struggling with so many competing priorities and whose needs seem to be somewhat overlooked by the digital reinvention coming out of Silicon Valley."


Photos courtesy of Camppedia