Capstone Turbine (NASDAQ:CPST) Continues Success in Latin America with 600-Kilowatt Order from Leading Medical Equipment Manufacturer

Rhea-AI Summary

Capstone Turbine Corporation (NASDAQ:CPST) announced a new order for a 600 kW Signature Series microturbine from a prominent medical equipment manufacturer in Mexico, set for commissioning in November 2020. This order aligns with Mexico's goal to generate 35% of its energy from clean solutions by 2024. The microturbine will be used in a combined heat and power application, achieving over 80% efficiency while significantly reducing emissions. The project is expected to cover 95% of the client’s electric needs, promising cost savings and a reduction in the carbon footprint.

Positive

• Received a 600 kW order from a leading medical manufacturer in Mexico.
• Project aligns with Mexico's clean energy goals, enhancing company reputation.
• Microturbine system achieves over 80% efficiency, significantly higher than traditional systems.
• Expected to reduce 95% of the customer's current electricity consumption.

Negative

• None.

Mexican Government Calls for Country to Generate 35% of Its Energy Using Clean Energy Solutions Like Combined Heat and Power by 2024

VAN NUYS, CA / ACCESSWIRE / August 18, 2020 / Capstone Turbine Corporation (www.capstoneturbine.com) (NASDAQ:CPST), the world's leading clean technology manufacturer of microturbine energy systems, announced today that it has received an order for a 600 kilowatt (kW) Signature Series microturbine for a leading manufacturer of medical equipment in Mexico. DTC Ecoenergía, Capstone's leading distributor in Mexico (www.dtc.mx), secured the order, which is expected to be commissioned in November 2020.

In April 2012, Mexico adopted its General Climate Change Law, one of the world's first climate laws. Under this law, Mexico aims to reduce its emissions by 50% by 2050 from levels seen in the year 2000. In 2018, this law was reformed to include Mexico's Nationally Determined Contribution targets that call for the country to generate 35% of its energy using clean energy solutions by 2024 from sources such as renewables and combined heat and power plants.

"Most people don't realize that in 2012, Mexico became the first large oil-producing emerging economy to adopt climate legislation. Bipartisan legislation and common-sense goal setting are important steps for every country in advancing the world's efforts to address climate change," said Darren Jamison, President and Chief Executive Officer. "Mexico adopted the General Law on Climate Change in 2012, and the 2018 decree brought its domestic emission reduction targets in line with the Paris Agreement on climate change," added Mr. Jamison.

The natural gas-fueled C600 microturbine is expected to be installed at a medical equipment manufacturer that specializes in products for the dental and pharmaceutical industry. The microturbine will be utilized in a combined heat and power (CHP) application with the clean exhaust heat being used in the drying process to reduce costs, improve efficiency, and reduce on-site emissions. While traditional electricity from the grid with coal and gas-fired plants produce power at 33% efficiency, Capstone CHP systems can reach efficiencies of more than 80%.

The 600 kW microturbine will be shipped in a five-bay enclosure to accommodate future expansion. The inherent modular architecture allows customers to increase capacity in 200 kW increments up to 1 megawatt (MW). The added redundancy of the microturbine will enable it to operate part of the system when powering a partial load or when being serviced, which is ideal in a critical power application.

Capstone microturbines meet the strictest worldwide emissions standards and are ideal for mission-critical businesses looking to utilize uncontaminated exhaust heat for cogeneration. The microturbine system will provide the medical manufacturing facility a solid economic return while reducing its carbon footprint and minimizing regular maintenance.

"For this particular project, we expect to cover 95% of the customer's current electric consumption," said Alejandro Munoz Barba, Principal at DTC Ecoenergía. "By utilizing reliable and efficient microturbines as an alternative to the expensive and unpredictable local CFE utility, we can provide businesses with significant savings and a positive impact on their bottom line," concluded Mr. Barba.

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, via our direct sales team, as well as our global distribution network. Capstone provides scalable solutions from 30 kWs to 10 MWs that operate on a variety of fuels and are the ideal solution for today's multi-technology distributed power generation projects.

For customers with limited capital or short-term needs, Capstone offers rental systems, for more information, contact: rentals@capstoneturbine.com. To date, Capstone has shipped nearly 10,000 units to 83 countries and in FY20, saved customers an estimated $219 million in annual energy costs and 368,000 tons of carbon.

For more information about the company, please visit www.capstoneturbine.com. Follow Capstone Turbine on Twitter, LinkedIn, Instagram, Facebook and YouTube.

Forward-Looking Statements
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.

CONTACT:
Capstone Turbine Corporation
Investor and investment media inquiries:
818-407-3628
ir@capstoneturbine.com

Integra Investor Relations
Shawn M. Severson
415-226-7747
cpst@integra-ir.com

SOURCE: Capstone Turbine Corporation

View source version on accesswire.com:
https://www.accesswire.com/602145/Capstone-Turbine-NASDAQCPST-Continues-Success-in-Latin-America-with-600-Kilowatt-Order-from-Leading-Medical-Equipment-Manufacturer

FAQ

What does the new order for the 600 kW microturbine mean for CPST?

The order signifies Capstone's growth in the clean energy market, particularly in Mexico, aligning with local energy goals.

When is the 600 kW microturbine expected to be commissioned?

The microturbine is expected to be commissioned in November 2020.

How efficient are Capstone's microturbines compared to traditional systems?

Capstone's microturbines can achieve over 80% efficiency, compared to about 33% efficiency from traditional coal and gas-fired power plants.

What percentage of energy will the new microturbine cover for its customer?

The new microturbine is expected to cover 95% of the customer’s current electric consumption.