Global Upstream Oil & Gas Producer Gives 5MW Order
February 2013 – Capstone Turbine Corporation (www.capstoneturbine.com) (Nasdaq:CPST), the world’s leading clean technology manufacturer of microturbine energy systems, announced today that it received a 5 MW follow-on order for a global upstream oil and gas producer. The five C1000 power packages will be installed in the Eagle Ford Shale play in Texas. This order increases this particular oil and gas producer’s total Capstone fleet to 10 MW in the Eagle Ford play.
Capstone distributor Horizon Power Systems secured both the initial order and this latest follow-on order for five megawatts.
“North American shale gas producers are continuing to adopt Capstone microturbines because they want the high reliability and low emission benefits of our products,” said Sam Henry, Horizon Power Systems President. “In addition, this customer is committed to conducting business safely, in a socially and environmentally responsible manner which is precisely what Capstone microturbines deliver.”
The Eagle Ford Shale is a hydrocarbon producing formation rich in oil and natural gas fields. The shale play area starts at the Texas-Mexico border in Webb and Maverick counties and extends 400 miles toward East Texas. The play is 50 miles wide and an average of 250 feet thick at a depth between 4,000 and 12,000 feet. The shale contains a high amount of carbonate which makes it brittle and easier to use hydraulic fracturing to produce the oil or gas. The oil reserves are estimated at 3 billion barrels with potential output of 420,000 barrels a day.
The microturbines will provide power for liquid processing plants and will be located at multiple central gathering plants. The microturbines, fueled by pipeline quality gas, will produce electricity to provide all power to the onsite equipment, including heaters, pump motors, compressors and distribution panels.
Capstone continues its penetration of the North American shale gas market with another substantial order from an existing customer. “The oil and gas market continues to be our fastest growing market worldwide,” said Jim Crouse, Capstone’s Executive Vice President of Sales and Marketing.
“Most of today’s global oil and gas companies operate in unique geographical, environmental and socially challenging areas in relatively isolated parts of the world. It is important that when they operate in these sensitive ecological areas near local communities they select the right state of the art equipment,” said Darren Jamison, Capstone’s President and Chief Executive Officer.
