Capstone Green Energy Corporation on Nasdaq: CGRN
Capstone Green Energy Corporation on Nasdaq: CGRN
The Sale Includes a 10-Year Factory Protection Plan (FPP), a Long-term Service Contract, Which Is Part of Capstone’s Focus On Growing Its EaaS Business
VAN NUYS, Calif.--(BUSINESS WIRE)-- Capstone Green Energy Corporation (NASDAQ: CGRN), a global leader in carbon reduction and on-site resilient green Energy as a Service (EaaS) solutions, announced today that it received a follow-on order for two signature series microturbines totaling 1.6 megawatts (MWs) for a leading bottling and packaging solutions provider in Mexico. The C1000S and C600S microturbines will be installed in a combined heat and power (CHP) application. DTC Solutions, Capstone's exclusive distributor for Mexico and Central America, secured the order, which is expected to be commissioned before the end of the year.
“It’s always an honor to me when our customers place follow-on orders with us as it’s the truest testament to our value proposition and the performance of our valued distributors like DTC Solutions,” said Darren Jamison, President and Chief Operating Officer of Capstone Green Energy. “Working with our distributors to help customers meet the evolving clean energy market demands and the shifting energy landscape, is our fundamental strength and what we strive to do day-in and day-out,” concluded Mr. Jamison.
The natural gas-fueled microturbines will be installed at the industrial manufacturer’s Guadalajara facility and are intended to provide 24/7 reliable and continuous electrical power and thermal energy for the plant. The clean exhaust will be used to feed a hot water exchanger with preheated boilers. The innovative heating process has helped the plant reduce energy costs, improve efficiency, and reduce on-site emissions.
The order will lead to energy consumption savings of approximately 62% and is estimated to have an impressive return on investment (ROI) of approximately three years, according to DTC Solutions internal calculations.
“These efficiency improvements directly translate to significantly lower energy costs and higher profit margins for our customers in Mexico,” said Alejandro Muñoz, President of DTC Solutions. “As utility rates continue to rise, manufacturers are opting to take matters into their own hands by adopting energy-efficient solutions like Capstone microturbine systems to increase resiliency and lower their carbon footprint,” concluded Mr. Muñoz.
Utilizing the heat by-product from a microturbine allows operators to reduce emissions and save added costs that would otherwise be required to produce heat or steam in a separate unit. While traditional electricity from the grid with coal and gas-fired plants produces power at 33% efficiency, Capstone CHP systems can reach efficiencies of more than 80%.
The order includes a 10-year Factory Protection Plan (FPP), a long-term service contract. Capstone's innovative FPP is a comprehensive maintenance program designed to give financial peace of mind to microturbine customers by providing product life cycle costs at a fixed rate for both scheduled and unscheduled maintenance for the life of the microturbine system.
About Capstone Green Energy
Capstone Green Energy (NASDAQ: CGRN) is a leading provider of customized microgrid solutions and on-site energy technology systems focused on helping customers around the globe meet their environmental, energy savings, and resiliency goals. Capstone Green Energy focuses on four key business lines. Through its Energy as a Service (EaaS) business, it offers rental solutions utilizing its microturbine energy systems and battery storage systems, comprehensive Factory Protection Plan (FPP) service contracts that guarantee life-cycle costs, as well as aftermarket parts. Energy Generation Technologies (EGT) are driven by the Company's industry-leading, highly efficient, low-emission, resilient microturbine energy systems offering scalable solutions in addition to a broad range of customer-tailored solutions, including hybrid energy systems and larger frame industrial turbines. The Energy Storage Solutions (ESS) business line designs and installs microgrid storage systems creating customized solutions using a combination of battery technologies and monitoring software. Through Hydrogen & Sustainable Products (H2S), Capstone Green Energy offers customers a variety of hydrogen products, including the Company's microturbine energy systems.
For customers with limited capital or short-term needs, Capstone offers rental systems; for more information, contact: rentals@CGRNenergy.com. To date, Capstone has shipped over 10,000 units to 83 countries and estimates that, in FY21, it saved customers over $217 million in annual energy costs and approximately 397,000 tons of carbon. Total savings over the last three full fiscal years are estimated to be approximately $698 million in energy savings and approximately 1,115,100 tons of carbon savings.
Cautionary Note Regarding Forward-Looking Statements
This release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, including statements regarding expectations for green initiatives and execution on the Company's growth strategy and other statements regarding the Company's expectations, beliefs, plans, intentions, and strategies. The Company has tried to identify these forward-looking statements by using words such as "expect," "anticipate," "believe," "could," "should," "estimate," "intend," "may," "will," "plan," "goal" and similar terms and phrases, but such words, terms and phrases are not the exclusive means of identifying such statements. Actual results, performance and achievements could differ materially from those expressed in, or implied by, these forward-looking statements due to a variety of risks, uncertainties and other factors, including, but not limited to, the following: the ongoing effects of the COVID-19 pandemic; the availability of credit and compliance with the agreements governing the Company's indebtedness; the Company's ability to develop new products and enhance existing products; product quality issues, including the adequacy of reserves therefor and warranty cost exposure; intense competition; financial performance of the oil and natural gas industry and other general business, industry and economic conditions; the Company's ability to adequately protect its intellectual property rights; and the impact of pending or threatened litigation. For a detailed discussion of factors that could affect the Company's future operating results, please see the Company's filings with the Securities and Exchange Commission, including the disclosures under "Risk Factors" in those filings. Except as expressly required by the federal securities laws, the Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, changed circumstances or future events or for any other reason.
SOURCE: Capstone Green Energy Corporation
Capstone Green Energy
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Source: Capstone Green Energy
Released June 27, 2022