Capstone Turbine (NASDAQ: CPST) Lands its Sixth Significant Combined Heat and Power Contract with a Leading U.S. Energy Service Company
Leading Energy Service Companies Continue to Adopt Microturbine Technology Into Their Long-Term Energy Savings Agreements
VAN NUYS, CA / ACCESSWIRE / March 9, 2020 / Capstone Turbine Corporation (www.capstoneturbine.com) (Nasdaq:CPST), the world's leading clean technology manufacturer of microturbine energy systems, announced today its sixth significant contract award from a leading energy service company (ESCO) who is continuing to adopt microturbine technology into their long-term Energy Savings Agreements (ESAs).
Vergent Power Solutions, Capstone's exclusive distributor for the Upper Midwest, New England, and Eastern Canada (www.vergentpower.com), was chosen to supply and maintain the new microturbine power plant with a 10-year Capstone Factory Protection Plan (FPP) service agreement. This ESCO facilitated plant is a 325 kW Capstone powered CHP system capable of generating power and low-pressure steam to meet high-efficiency standards required for utility incentives.
ESCOs can help organizations meet energy saving and energy management needs with a comprehensive, integrated solution that often utilizes a budget neutral approach. Options include energy savings performance contracts and power purchase agreements (PPAs) that may eliminate some of the financial hurdles that can be barriers to energy efficiency, combined heat and power (CHP), renewable energy and microgrid projects. This unique approach allows customers to install cutting edge, highly engineered solutions with reduced risk, and lower upfront capital costs.
The Division of Capital Asset Management & Maintenance (DCAMM) of the Commonwealth of Massachusetts awarded a leading ESCO the energy savings agreement for the design and construction of a comprehensive energy retrofit at the Pappas Rehabilitation Hospital for Children, located in Canton, MA. The site will receive a new central heating plant and combined heat and power system in addition to numerous other energy conservation measures.
"Vergent Power is dedicated to delivering high-quality CHP projects to the Midwest, Eastern Canada, and the New England market, with more than 100 systems operating in their region," said Darren Jamison, Capstone President and Chief Executive Officer. "This CHP project will provide the hospital with much needed clean and efficient energy for years to come. Vergent has developed a large portfolio of pending projects and could double their installed base over the next twenty-four to thirty-six months, potentially making them one of our fastest-growing U.S. distributors," added Mr. Jamison.
This will be the second New England hospital by Vergent Power, where the microturbines' waste heat is utilized to make abundant steam for the facility," said Justin Rathke, President of Vergent Power Solutions. "Like other Capstone distributors, we are seeing an increased interest from the healthcare industry, as they look to save on annual energy costs in an environmentally responsible way," added Mr. Rathke.
Capstone distributor partners E-Finity, Lone Star, RSP Systems and Arctic Energy have all previously developed projects with this leading ESCO including projects located at Joint Base San Antonio in Texas, a U.S. Coast Guard facility in Connecticut, a U.S. Department of Interior installation near the White House in Washington DC, the USMC Camp Barrett in Virginia and the Walakpa Gas Field on the North Slope in Alaska.
About Capstone Turbine Corporation
Capstone Turbine Corporation (www.capstoneturbine.com) (Nasdaq: CPST) is the world's leading producer of highly efficient, low-emission, resilient microturbine energy systems. Capstone microturbines serve multiple vertical markets worldwide, including natural resources, energy efficiency, renewable energy, critical power supply, transportation and microgrids. Capstone offers a comprehensive product lineup, providing scalable systems focusing on 30 kWs to 10 MWs that operate on a variety of gaseous or liquid fuels and are the ideal solution for today's distributed power generation needs. To date, Capstone has shipped over 9,000 units to 73 countries and in FY19, saved customers an estimated $253 million in annual energy costs and 350,000 tons of carbon.
This press release contains "forward-looking statements," as that term is used in the federal securities laws. Forward-looking statements may be identified by words such as "expects," "believes," "objective," "intend," "targeted," "plan" and similar phrases. These forward-looking statements are subject to numerous assumptions, risks and uncertainties described in Capstone's filings with the Securities and Exchange Commission that may cause Capstone's actual results to be materially different from any future results expressed or implied in such statements. Capstone cautions readers not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. Capstone undertakes no obligation, and specifically disclaims any obligation, to release any revisions to any forward-looking statements to reflect events or circumstances after the date of this release or to reflect the occurrence of unanticipated events.
"Capstone" and "Capstone Microturbine" are registered trademarks of Capstone Turbine Corporation. All other trademarks mentioned are the property of their respective owners.
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SOURCE: Capstone Turbine Corporation
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Released March 9, 2020