Horizon Power Secures 3.3MW Order from Repeat Customer

March 2017 — Horizon Power Systems secured an order for 12 Capstone Turbine C65 microturbines, three C600S Signature Series microturbines, and a C800S Signature Series microturbine for a repeat oil and gas customer in the San Juan Basin.

“This is our second oil and gas order in our territory in less than a month,” said Sam Henry, President of Horizon Power Systems. “This customer has installed over 180 Capstone units over the years. As the oil and gas industry rebounds, we’re seeing increased interest in our microturbines.”

Horizon Power is Capstone’s largest distributor in the Americas, with a territory that stretches from the Gulf of Mexico to the Northwest Territories in Canada. For the U.S. oil and gas industry, it sells and services microturbines in the Barnett, Eagle Ford, Mancos, Permian, San Juan, and Wattenberg shale plays.

All 16 microturbines will provide prime power to oil production sites, production measurement operations, and transportation pipelines, and be fueled by wellhead gas. Horizon expects to commission the units in increments starting this summer.

Henry noted that the customer chose the Capstone microturbines for their low emissions profile, low maintenance, and reliable power generation capabilities in remote locations.

According to the U.S. Energy Information Administration (EIA), the San Juan Basin in northwestern New Mexico contains one of the largest demonstrated natural gas reserves in the United States. New Mexico is among the top 10 states in the nation in per capita natural gas consumption with the electric power sector being the largest consumer in the state.

“We are seeing increased interest especially in our new world class Signature Series product offering,” said Jim Crouse, Capstone’s Executive Vice President of Sales and Marketing.  Signature Series microturbines incorporate several system and design upgrades.


Horizon Power Sells Capstone’s First C600S Microturbine Packaged in 3-Bay Container to Fortune 500 Producer

March 2017 – A Fortune 500 oil and gas producer recently added another Capstone Turbine microturbine to its fleet — Capstone Turbine’s first C600 Signature Series microturbine packaged in a three-bay container.  The 600-kilowatt microturbine, sold by Capstone distributor Horizon Power Systems, will power a natural gas compression station in southern Wyoming.

“We’ve worked with this customer for several years,” said Sam Henry, President of Horizon Power. “Nearly all their sites are remote, so the microturbines’ low maintenance and reliable power have been key factors in their decisions to purchase Capstone microturbines.”

Natural gas from a nearby pipeline will fuel the dual mode C600S microturbine that will provide primary power to the compression station. Although Capstone has smaller units running across Wyoming, the larger C600S microturbine will be the first in the state.

Horizon Power serves producers in the Eagle Ford, Permian, Barnett, Mancos, San Juan, and Wattenberg Shale plays. Capstone expects the order to ship the next few weeks. It likely will be commissioned later this fall.

According to the U.S. Energy Information Administration, Wyoming supplies more energy to other states and has more federal oil and natural gas leases than any other state. Wyoming produced 6.2 percent of the nation’s marketed natural gas in 2015, and continues to rank as one of the top 10 natural gas producing states in the United States.

“We are seeing a steady increase in our global oil and gas business,” said Jim Crouse, Capstone’s Executive Vice President of Sales and Marketing. “Repeat oil and gas customers like this help solidify Capstone’s position as the microturbine market leader and the preferred go-to power solution in the recovering oil and gas market. The new three-bay enclosure is a new benefit as customers across all our market verticals enjoy smaller and lighter packages that are less costly to ship and easier to install.”

The new three-bay C600S enclosure is lighter and offers a smaller footprint than the original. All C600S and C800S microturbines will feature a smaller, more efficiently designed enclosure beginning April 1, 2017.

Distributed Energy Magazine: Integrating CHP with Microgrids

February 2017 – Distributed Energy explores the ins and outs of CHP in microgrids and details a complex microgrid with a C65 from Horizon.


Superstorm Sandy couldn’t stop microturbine CHP power

Superstorm Sandy 2012

December 2016 – Superstorm Sandy, the costliest hurricane in U.S. history, caused an estimated $20 billion in business losses. After the storm, the New York State Energy Research and Development Authority (NYSERDA) contacted 24 sites with combined heat and power CHP systems, including several with Capstone microturbines. All 24 sites operated continuously during the grid outage. Read why… SUPERSTORM SANDY CAN’T STOP COMBINED HEAT & POWER


Top 20 producer grows microturbine fleet to 160

December  2016 – One of the nation’s Top 20 oil and gas producers added 16 Capstone microturbines to its 144-unit fleet that powers company well sites throughout the San Juan Basin. The latest microturbines from Capstone distributor Horizon Power Systems will provide an additional 2.6 megawatts of power.

Utility service is not available at the company’s well sites since many are located miles from the closest towns in extremely remote and rugged areas. Capstone microturbines, which average 99 percent power availability and run on raw natural gas produced from the field, are the sole power source for all of the producer’s operations in the San Juan Basin.

For 16 years, the Top 20 producer has worked closely with Horizon Power — Capstone’s largest distributor in the Americas – to build a growing microgrid system that produces uninterrupted power for onsite equipment across several sites. The microgrid connects isolated well sites across the Mancos and Gallup shale plays in the San Juan Basin. In addition to the Mancos and Gallup plays, Horizon Power sells and services Capstone microturbines in the Eagle Ford, Permian, Barnett, and Wattenberg shale plays.

2.6MW of Microturbine Power

The producer’s latest order with Horizon Power is for a C800 (800 kilowatts), two C600s (600 kilowatts each) and multiple C65 and C30 microturbines (65 and 30 kilowatts respectively). Low-emission power generated by each microturbine will drive artificial lifts and assist with the transfer of oil and water to various points of the production field.

A microturbine, which is based on jet-engine technology, is much easier and less expensive to maintain than traditional onsite engines because it has only one moving part (compared to hundreds of moving parts in conventional gensets). Instead of needing oil, other lubricants, or coolants, a microturbine use simple air bearing technology that significantly reduces downtime, thus increasing production opportunities and reducing maintenance costs.

“Some microturbines in the microgrid system have over 100,000 operating hours,” said Bryan Hensley, Horizon Power’s Executive Vice President of North American Sales. “The producer knows how reliable a microturbine is. Ever since the first microturbines were installed in 2000, they have repeatedly worked with us because they are committed to using Capstone microturbines.”

Horizon Power expects to commission the microturbines in three phases starting in December.

“Despite the prolonged slump in the energy industry, oil and gas producers continue to look for ways to reduce their operational costs and meet the increasingly stringent flaring requirements, which is a long term catalyst for our business,” said Darren Jamison, President and Chief Executive Officer at Capstone.

Capstone microturbines meet or exceed the world’s toughest emission standards. Since the first installation for the producer in 2000, none of the sites have required additional emission-reduction equipment because microturbines already meet EPA standards. Nitrogen oxide emissions from a Capstone microturbine is less than 9 parts per million. According to the Environmental Protection Agency, “diesel engines produce 5 to 20 times the NOx (on a ppmv basis) of a lean burn natural gas engine” when used in a combined heat and power application.

“We are beginning to see positive movement in our oil and gas business as customers continue to see the value in the scalability of Capstone microturbine technology,” said Jim Crouse, Capstone’s Executive Vice President of Sales and Marketing.


My view: Congress should provide parity across energy technologies

December 2016 – We are proud Utah business leaders working to power hospitals, make businesses more energy-independent and globally competitive, and create jobs at home that cannot be outsourced. We seek to diversify the U.S. energy economy and grow new industries.

But while many clean energy technologies provide powerful long-term savings, the initial capital costs of equipment can be a barrier to some of our clients — especially those taking a risk in founding a new business. That is why Congress created an investment tax credit to help companies manage these higher upfront costs. Across America, this tax incentive has already helped hundreds of businesses create tens of thousands of new jobs. Unfortunately, the credit is slated to expire at the end of this year.

Last December, Congress extended federal tax incentives for two major types of clean energy, wind and solar, for the next five years. Those businesses now have a market driver to continue to develop their technologies in ways that will expand these industries and ultimately bring down costs. But lawmakers left tax credits for other clean energy systems out of the deal, putting technologies such as combined heat and power, microturbines, fuel cells, small wind, geothermal, and geothermal heat pumps at a competitive disadvantage.

Our clean energy businesses here in Utah aren’t looking for special treatment. We just want our clean and efficient technologies to be treated fairly and given the same chance to succeed.

But extending the tax credit for the remaining clean energy systems isn’t just about fairness; it’s also about growing the economy by reducing energy costs, producing more energy here at home and investing in jobs that cannot be shipped overseas.

For example, installing combined heat and power systems, which burn a single fuel source and use both the heat and electricity, must be done on-site, creating jobs that stay in local communities. It often relies on natural gas — utilizing America’s abundant domestic fossil fuel resources in the cleanest, most efficient manner possible. Once installed, combined heat and power can double a facility’s energy efficiency, making that company more competitive in the global marketplace. And since these systems generate energy on-site, they can even be used to power hospitals or other sensitive facilities during power outages or other grid disturbances, making our communities safer.

Geothermal and geothermal heat pump technology provides another great opportunity for investing in local job creation. These technologies allow a home or business to use the natural temperature of the earth underground to passively heat and cool buildings. Again, these are construction jobs that can’t be outsourced. We are already seeing China emerge as a global leader of solar panel and wind turbine production, allowing for more outsourcing in those industries. Extending tax credits beyond wind and solar will make it easier to create and sustain jobs here at home.

Our lawmakers — particularly Sen. Orrin Hatch, who is chairman of the Senate Finance Committee — should level the playing field for clean energy technologies by extending the investment tax credit for all clean energy systems. Extending these tax credits would allow for real choice in the energy industry and allow businesses to find the energy solution that’s right for them. Doing this creates more clean energy and more jobs here at home. It’s the right thing for Utah and the right thing for the United States.

Jeff Dixon is corporate account manager for Horizon Power Systems in Utah and chair of the Utah Combined Heat and Power Working Group. Cary Smith of Sandy is a partner at Sound Geothermal Corporation and sits on the board of the International Ground Source Heat Pump Association.


4.6MW Flare Gas Order Received

January 2016 – Capstone Turbine Corporation (www.capstoneturbine.com) (Nasdaq:CPST), the world’s leading clean technology manufacturer of microturbine energy systems, announced today that it received an order for three C800 systems and two C1000 systems for a total of 4.6 Megawatts for a large flare gas energy project in North America from Horizon Power Systems.

“The global slowdown in the energy industry is shifting customers away from exploration to an increased focus on lowering operating costs at existing assets and converting on-site flare gas to power generation. This is one way Capstone microturbines can be used to lower oil and gas users, monthly operational costs,” said Darren Jamison, Capstone’s President and Chief Executive Officer. “We have recently added additional oil and gas sales resources at Capstone, and we are encouraging our key distribution partners, like Horizon, to do the same.”

Horizon Power Systems is the exclusive Capstone Turbine distributor for Texas, Oklahoma, Kansas, Arizona, the Rocky Mountain States, Intermountain Regions, Gulf Coast States and the Western Provinces of Canada. The new orders will bring Horizon’s total fleet to more than 600 microturbines in operation.

The Capstone product was chosen because of its superior overall value proposition. No other microturbine manufacturer provides the combination of presales and aftersales support that the Capstone distributor network provides.

“Horizon Power Systems continues to receive follow-on orders due largely to the ability of Capstone microturbines to consistently deliver high reliability and low emissions,” said Sam Henry, President, Horizon Power Systems. “This customer requires technology that can burn poor quality flare gas and operate in extremely harsh environments, and based on their experience using the product throughout their portfolio they know Capstone microturbines excel in these conditions.”

Capstone continues to attract new and repeat customers globally. These orders help demonstrate the confidence our distributors and end users have in Capstone’s low emission, durable and highly efficient microturbines and why Capstone is their first choice for around-the-clock on-site energy production.

“Our inverter based generation systems provide flexibility that very few other solutions can provide,” said Jim Crouse, Capstone’s Executive Vice President of Sales and Marketing. “Capstone microturbines have become the go-to power source for customers that want extremely reliable, high quality, easy to deploy and low emission on-site power solutions. The Horizon order indicates our customers’ satisfaction with our clean and green solutions.”


Permian Basin Producer Deploys 2MW

October 2015 – A U.S. producer – ranked among the Top 5 on the 2015 Forbes 100 – has joined a string of oil and gas companies to install Capstone microturbines that average 99 percent power availability and yield extremely low emissions (less than 9 ppm NOx).

The producer, working with Capstone distributor Horizon Power Systems, recently deployed nearly two megawatts of microturbine power at a remote, unmanned wellsite in the Permian Basin. One megawatt is used for standby power and 800-kilowatts to power an electrical submersible pump. Since their recent start-up the microturbines have operated flawlessly.

This is the latest in recent orders for Capstone microturbines from Horizon. In South Texas’ Eagle Ford Shale Play, microturbine power from Horizon reached 59 megawatts after a recent follow-on order for two Capstone C1000 microturbines from another large producer.

“With the drop in energy prices, gas producers are determined to increase efficiency and lower operating costs,” said Sam Henry, President, Horizon Power Systems. “They continue to select Capstone microturbines because of their efficiency and low life cycle costs, when compared to gensets.”

Total cost of ownership for a conventional reciprocating engine, for example, is often significantly higher than a microturbine’s. A reciprocating engine’s monthly oil changes plus labor and travel costs, repairs when parts fail, diesel fuel to truck in, utility and permitting fees, and, most importantly, huge losses from a shutdown add up to higher long-term costs.

About Capstone Microturbines
• Jet engine technology with one moving part, air-bearing technology and no lubricants or coolants.
• Simple design means significantly less scheduled maintenance and much lower maintenance costs than traditional power systems.
• Thousands installed at manned and unmanned well sites, gas processing facilities, compressor stations and other on- and off-shore facilities.
• Fueled by pipeline quality natural gas.
• Near non-stop runtime (99 percent availability average) means increased production, fewer power interruptions from maintenance downtime and lower utility bills.
• Meets or exceeds most stringent air-quality and emission standards. EPA strongly supports installation of low emission natural gas microturbine power plants.
• No need for access to utility grid.


Horizon Project Wins Smart Grid Award

September 2015 – Horizon Power Systems announced today that its customer Oncor — the largest regulated electricity delivery firm in Texas and sixth largest in the U.S — was awarded the 2015 Smart Grid Award by POWER magazine for their System Operating Services Facility (SOSF) in Lancaster, Texas.

Built in-part as a demonstration facility to introduce Oncor’s customers to the microgrid domain, the SOSF system is a state-of-the-art microgrid that integrates existing emergency generation with new solar, battery, and microturbine resources. The grid includes a Capstone C65 Microturbine that runs primarily on propane used to ensure the site’s continued operation during power outages.

The project was recognized for its incorporation of several renewable and conventional generation sources, energy storage, and advanced controls into a fast-responding, redundant, multi-layered system. “We’re looking for projects that move the whole industry forward in some way,” said Gail Reitenbach, PhD, editor of POWER. “As a magazine for the power generation sector, we’re especially interested in ways that smart grid technology and projects touch the generation piece of the grid.”

“Including the Capstone microturbine in this ground-breaking microgrid gave Oncor the ability to improve the power reliability and help manage costs,” said Sam Henry, President of Horizon Power Systems. “This SOSF exemplifies how innovation can redefine energy transmission and distribution. Horizon Power Systems is proud Oncor chose a clean-and-green Capstone microturbine as the system’s only new combustion technology.”

For more than 130 years POWER magazine has been considered the definitive information source for the power generation market. Through the print magazine, website (www.powermag.com), social media, as well as the weekly POWERnews enewsletter and topic-specific enewsletters, industry professionals learn about best practices, safety issues, improved productivity, and the latest business, legal, and regulatory news.

Dual Mode Microturbines Deliver 1.2MW

August 2015 – Capstone Turbine Corporation (www.capstoneturbine.com) (Nasdaq:CPST), the world’s leading clean technology manufacturer of microturbine energy systems, announced today that it received an order for two C600 dual mode microturbines to power a facility and on-site equipment at an oil field project in Alaska.

Horizon Power Systems and Chenega Energy, two of Capstone’s North American distributors, worked together to secure the order and develop an ideal power plant for the project. The plant is expected to be commissioned in September 2015.

Two natural-gas-fired C600 dual mode microturbines, designed specifically for high humidity environments, will be installed at an onshore oil and gas production site in Alaska to provide primary power for operating the oil facility and on-site equipment. Capstone microturbines were chosen in lieu of traditional diesel engine generator sets for their high reliability, low emissions, low maintenance and low noise.

The joint effort between Horizon Power Systems and Chenega Energy underscores the strength and high level of collaboration between Capstone distribution partners. The development of a new project can take several months or even years. Phases of the project, such as engineering, can take place in a different part of the world than the installation itself. Providing a seamless experience across Capstone’s distribution network is an integral part of this process and ensures the best possible experience and outcome for the end use customer.

“The conversion to natural gas is a much cleaner and more efficient solution than traditional diesel engines,” said Sam Henry, President of Horizon Power Systems. “Combined with the scalability of microturbines, this allows for the facility’s power plant to expand incrementally, as the volume of production is expected to increase over time,” added Henry.

According to the U.S. Energy Information Administration (EIA), natural gas accounts for over half of Alaska’s electricity generation. Though with natural gas production volumes exceeding local demand, about three-fourths of the natural gas withdrawn is used at production sites.

“We continue to see the Oil and Gas industry in this Arctic climate embrace the Capstone technology,” said Greg Porter, President of Chenega Energy, LLC. “Our Capstone microturbines surpass the very strict air emission requirements and need no lubricating oil, grease or coolants. This reduces the need for spill-containment and used oil remediation. They are a very straightforward and reliable solution in an industry which often needs to move very quickly.”