Capstone Green Energy to Provide 600 KW Microturbine System to a Renewable Natural Gas Station in Kansas

Rhea-AI Summary

Capstone Green Energy Corporation (NASDAQ: CGRN) announced a significant order from Lone Star Power Solutions for a 600 kW microturbine system to be installed at a renewable natural gas station in Kansas, expected to be operational by August 2022. This system, utilizing high-pressure natural gas, is designed for reliability and low maintenance, essential for the remote site. Capstone's microturbines are favored for their clean energy technology and quick turnaround time for installation, addressing current equipment shortages.

Positive

• Secured a 600 kW microturbine order, enhancing revenue potential.
• Installation scheduled for August 2022, indicating operational progress.
• Microturbines provide reliable and low-maintenance power solutions.
• Quick installation turnaround addresses equipment shortage issues.

Negative

• None.

Reliability and Clean Technology Were Key Factors in Microturbine Selection

VAN NUYS, Calif.--(BUSINESS WIRE)-- Capstone Green Energy Corporation's (NASDAQ: CGRN) exclusive distributor in Texas, Arizona, and the Gulf States, Lone Star Power Solutions, has secured an order for a 600 kW microturbine system to be installed at a renewable natural gas station in Kansas.

With an anticipated commission date of August 2022, the new system will provide reliable power for gas compression operations at a remote site where no utility electricity is available. At the heart of the system is a natural gas-fueled Capstone C600S configured for dual mode (both grid-connected and stand-alone) operation, which will use the high-pressure natural gas (HPNG) available on-site.

The Capstone microturbine was an ideal energy solution for this project because it can deliver on the customer's priorities, the first of which was reliability. Due to the installation being remote and unstaffed, operational reliability and low maintenance were key factors in the decision to go with Capstone. Further, leveraging clean energy technology – the microturbine’s ability to run on biogas or renewable natural gas - was an important consideration for the customer.

"Capstone was a natural fit for this unstaffed site both because the turbines are extremely reliable and they require very little maintenance," said Doug Demaret, President of Lone Star Power Solutions. "The Capstone products are the cleanest power generation combustion technology available today, which our customers value," added Demaret.

Turnaround time was also a critical factor. In a time when equipment shortages and shipping delays plague companies, Capstone’s ability to deliver and install the new system in weeks rather than months was also a significant benefit to the customer.

"Providing reliable power at remote sites is a hallmark of Capstone microturbine-based systems," said Darren Jamison, President and Chief Executive Officer of Capstone Green Energy. "Our microturbines deliver a range of benefits that other power generation systems simply can't—from ultra-low emissions without aftertreatment and minimal maintenance to speed-to-implement and system scalability. We firmly believe that our microturbines are a practical and often cost-effective path to the clean energy future," said Mr. Jamison.

About Lone Star Power Solutions

Lone Star Power Solutions is the exclusive distributor for Capstone Green Energy products and services in Texas, Arizona and the Gulf States. Lone Star Power in partnership with Capstone Green Energy, are technology leaders and innovators in on-site power and distributed energy. Our team has decades of experience in Distributed Generation, on-site power, combined heat and power (CHP, CCHP) and renewable energy, focusing on energy and power solutions where they're needed, at the point of consumption.

About Capstone Green Energy

Capstone Green Energy (www.CapstoneGreenEnergy.com) (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 Conversion Products 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 Products business line designs and installs microgrid storage systems creating customized solutions using a combination of battery technologies and monitoring software. Through Hydrogen Energy Solutions, 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 years are estimated at 1,115,100 tons of carbon and $698 million in annual energy savings.

For more information about the Company, please visit: www.CapstoneGreenEnergy.com. Follow Capstone Green Energy on Twitter, LinkedIn, Instagram, Facebook, and YouTube.

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.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220720005306/en/

Capstone Green Energy

Investor and investment media inquiries:

818-407-3628

ir@CGRNenergy.com

Source: Capstone Green Energy Corporation

FAQ

What is the significance of the recent order by Capstone Green Energy (CGRN)?

The order is for a 600 kW microturbine system to be installed at a renewable natural gas station in Kansas, enhancing Capstone's operational revenue.

When is the microturbine system expected to be operational?

The microturbine system is anticipated to be operational by August 2022.

What are the benefits of Capstone's microturbines for the Kansas project?

The microturbines offer reliable power generation and low maintenance, which are crucial for remote sites.

How does Capstone address current equipment shortages with this installation?

Capstone is able to deliver and install the system in weeks, rather than months, mitigating the impact of equipment shortages.

What type of gas will the microturbine use at the Kansas installation?

The microturbine will utilize high-pressure natural gas available on-site.