Capstone Secures 4.4 MW of Five Year Long-Term Service Contract Renewals with a Key U.S. Oil & Gas Producer
July 11 2018 - 8:30AM
Capstone Turbine Corporation (www.capstoneturbine.com)
(Nasdaq:CPST), the world's leading clean technology manufacturer of
microturbine energy systems, announced today that it has secured
several significant Factory Protection Plan (FPP) aftermarket
long-term service contract renewals from a key U.S. oil and gas
producer. The FPP renewals are for nine separate contracts, of
which seven are five year extensions and two are four year and four
month extensions.
E-Finity Distributed Generation, Capstone’s exclusive
distributor for the Mid-Atlantic and Southeastern United States and
a leading power solutions provider in the Marcellus and Utica shale
regions, secured the follow-on FPP contract renewals to cover a
major gas producer’s growing microturbine fleet at multiple
locations.
E-Finity maintains a fleet of approximately 600 microturbines in
continuous duty operation. The renewal FPP contracts cover a total
of 4.4 MWs and include C30, C65 and C1000 series microturbines. As
a result of these latest contract extensions, E-Finity now has 68%
of its commissioned Capstone turbines under long-term FPP
contracts.
Capstone’s innovate FPP program is an industry-leading
aftermarket service plan, delivering peace of mind, predictable
maintenance costs and remote monitoring capabilities at an
economical price. The all-inclusive long-term FPP contract helps
ensure business continuity while normalizing maintenance costs with
a simple fixed maintenance fee per year regardless of the annual
scheduled or unscheduled maintenance required.
“A key component to Capstone’s growth strategy is to increase
our quarterly aftermarket accessories, parts and service revenue to
the point that it covers our quarterly operating expenses,” said
Darren Jamison, President and Chief Executive Officer of
Capstone.
“Many energy producers in the U.S. shale regions operate in
remote locations where traditional utility power is not very
reliable and less economical than onsite generation. The FPP offers
tremendous value and security to our customers. Capstone’s
microturbines are a reliable, low emission power source that our
customers rely on 24/7 to help maintain critical energy
infrastructure,” said Jim Bondi, Executive Vice President of
E-Finity.
“Capstone continues to expand its aftermarket service offering
to be more competitive in the distributed generation marketplace
and is now bundling our product, accessories and service contracts
to make our value proposition even more compelling to the end-use
customer,” said Jeff Foster, Senior Vice President of Customer
Service for Capstone.
About Capstone Turbine Corporation
Capstone Turbine Corporation (www.capstoneturbine.com)
(Nasdaq:CPST) is the world's leading producer of low-emission
microturbine systems and was the first to market commercially
viable microturbine energy products. Capstone has shipped over
9,000 Capstone Microturbine systems to customers worldwide. These
award-winning systems have logged millions of documented runtime
operating hours. Capstone is a member of the U.S.
Environmental Protection Agency's Combined Heat and Power
Partnership, which is committed to improving the efficiency of the
nation's energy infrastructure and reducing emissions of pollutants
and greenhouse gases. A DQS-Certified ISO 9001:2015 and ISO
14001:2015 certified company, Capstone is headquartered in
the Los Angeles area with sales and/or service centers in
the United States, Latin America, Europe, Middle East and
Asia.
For more information about the company, please visit
www.capstoneturbine.com. Follow Capstone Turbine on Twitter,
LinkedIn 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,"
"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 |
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