Infrastructure and Energy Alternatives, Inc. Awarded $77 Million Solar Contract in Texas

Rhea-AI Summary

Infrastructure and Energy Alternatives (IEA) has commenced construction on a solar farm in Texas under a $77 million contract. The project, expected to complete by June 2021, will see IEA self-performing all civil, mechanical, and electrical work. Texas ranks fifth in the U.S. for solar capacity, with over $6.5 billion invested so far. IEA also reported adding $233 million in new solar awards in the first half of 2020, highlighting growth in their solar backlog despite the investment tax credit expiration.

Positive

• Commencement of construction on a $77 million solar farm contract, enhancing the project pipeline.
• Significant growth with $233 million in new solar awards in the first half of 2020.
• Self-performance of all project work, optimizing operational efficiency.

Negative

• Potential risks related to the expiration of the investment tax credit affecting future projects.

INDIANAPOLIS, Aug. 05, 2020 (GLOBE NEWSWIRE) -- Infrastructure and Energy Alternatives, Inc. (NASDAQ: IEA) (“IEA” or the “Company”), a leading infrastructure construction company with renewable energy and specialty civil expertise, today announced that the Company has begun construction on a solar farm in Texas. The $77 million engineering, procurement and construction contract was awarded to IEA Constructors, a subsidiary of IEA that manages utility-scale energy and heavy civil infrastructure projects.

Construction of the Texas photovoltaic farm is underway and is expected to be completed in June 2021. IEA will self-perform all of the civil, mechanical and electrical work at the project site. Texas has quickly become a leader in solar production. Ranked fifth in the nation for total solar capacity installed and fourth for the largest number of solar jobs, nearly $6.5 billion in solar funding has been invested into Texas to date. According to the Solar Energy Industries Association, an additional four gigawatts of solar capacity is expected to be installed in Texas over the next five years.

“Home to some of the largest solar farms in the United States, Texas has become one of IEA’s focus geographic markets to continue to grow our solar backlog,” said Joe Broom, IEA’s Senior Vice President of Solar Construction Operations. “In the first two quarters of 2020, we added $233 million in new solar awards. We expect that work in the Texas region, as well as other key solar markets throughout the United States, will continue to see growth in the coming quarters. Even with the expiration of the investment tax credit, solar remains an economically competitive source of energy that some experts believe could become the most dominant renewable energy source by 2023.”

Since 2010, IEA has constructed more than a gigawatt of solar farms across the United States and Canada.

About IEA

Infrastructure and Energy Alternatives, Inc. (IEA) is a leading infrastructure construction company with renewable energy and specialty civil expertise. Headquartered in Indianapolis, Indiana, with operations throughout the country. IEA’s service offering spans the entire construction process. The Company offers a full spectrum of delivery models including full engineering, procurement, and construction, turnkey, design-build, balance of plant, and subcontracting services. IEA is one of three Tier 1 wind energy contractors in the United States and has completed more than 200 wind and solar projects across North America. In the heavy civil space, IEA offers a number of specialty services including environmental remediation, industrial maintenance, specialty transportation infrastructure and other site development for public and private projects. For more information, please visit IEA’s website at www.iea.net or follow IEA on Facebook, LinkedIn and Twitter for the latest company news and events.

Forward Looking Statements

This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The use of words such as “anticipate,” “expect,” “could,” “may,” “intend,” “plan” and “believe,” among others, generally identify forward-looking statements. These forward-looking statements are based on currently available operating, financial, economic and other information, and are subject to a number of risks and uncertainties. Readers are cautioned that these forward-looking statements are only predictions and may differ materially from actual future events or results. A variety of factors, many of which are beyond our control, could cause actual future results or events to differ materially from those projected in the forward-looking statements in this release. For a full description of the risks and uncertainties which could cause actual results to differ from our forward-looking statements, please refer to IEA’s periodic filings with the Securities & Exchange Commission including those described as “Risk Factors” in IEA’s annual report on Form 10-K filed on March 12, 2020. IEA does not undertake any obligation to update forward-looking statements whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.

Contact:

Kimberly Esterkin

ADDO Investor Relations

iea@addoir.com

310-829-5400

FAQ

What is the value of the solar farm project IEA is constructing in Texas?

The solar farm project is valued at $77 million.

When is the Texas solar farm expected to be completed?

The construction is expected to be completed by June 2021.

How much has IEA added in new solar awards in 2020?

IEA reported adding $233 million in new solar awards in the first half of 2020.

What is Texas's rank in solar energy capacity in the U.S.?

Texas ranks fifth in the nation for total solar capacity installed.

What construction work will IEA perform at the Texas solar farm?

IEA will self-perform all civil, mechanical, and electrical work at the project site.