May 2011 – Capstone Turbine Corporation (www.capstoneturbine.com) (Nasdaq:CPST), the world’s leading clean technology manufacturer of microturbine energy systems, received another order for 22 C65 microturbines for one of the world’s largest independent oil and natural gas companies.
This latest order is the second such follow-on order to the first 18 unit C65 order received back in August. All three orders are for Capstone C65 natural gas product and together total 64 units in 9 months from this new oil and gas customer. Capstone’s local distributor Pumps & Service (Horizon Power Systems*) sold the units and will provide installation, commissioning and long term service support.
Pumps & Service has received 20 MW of new orders over the past ten months from three major oil and gas companies exploring large shale reserves — or plays — in the United States. Customer adoption of Capstone microturbines in the oil and gas sector continues to expand in the U.S. The U.S. shale gas market is expected to grow substantially, especially since the U.S. Environmental Protection Agency’s (EPA) Clean Air Act has strict requirements for emissions levels at natural gas sites.
The latest order for 22 low-emission C65 microturbines will provide prime power to central processing facilities and metering stations at remote well sites in the Eagle Ford shale play in South Texas. The Eagle Ford play is expected to emerge as a major oil and gas play in the United States over the next decade. Experts estimate it will rank sixth in size among the all-time giant oil fields in the U.S.
“The fact that Pumps & Service has now received orders totaling over 20MW in less than a year goes to show the tremendous market penetration Pumps & Service is getting in the shale gas space with the Capstone technology,” said Jim Crouse, Capstone’s Executive Vice President of Sales and Marketing.
*NOTE: The business segment of Pumps and Service responsible for sales and service of Capstone microturbines changed its name to Horizon Power Systems.