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CAPSTONE SECURES REPEAT ORDER FOR EXPANDING OIL AND GAS PROJECTS IN UTICA SHALE

 

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Capstone Turbine Corporation (www.capstoneturbine.com) (Nasdaq: CPST), the world’s leading clean technology manufacturer of microturbine energy systems, announced that is has secured a repeat order for one C600 Signature Series microturbine that will be used to power a gathering station that transports natural gas through the pipelines in the Utica Shale.

The order secured by E-Finity Distributed Generation, Capstone’s distributor for the Mid-Atlantic and Southeastern United States is a repeat order that will be commissioned in the spring of 2019. The expandable five bay C600S will be shipped in a one-megawatt enclosure with two open bays in anticipation of increased demand in the near future for abundant natural gas from the shale. 

“Located below the Marcellus Shale, one of the world’s largest natural gas fields, we have seen renewed interest in the Utica Shale which is quickly becoming a promising area of exploration for several oil and gas companies,” said Darren Jamison, Capstone’s President and Chief Executive Officer.

The Utica Shale is a black, organic rich-shale that lies beneath most of New York, Pennsylvania, Ohio, West Virginia and expands into Canada. According to the Ohio Department of Natural Resources (ODNR), oil and gas production in Ohio’s Utica Shale for the second quarter of 2018 has grown year-over-year, producing 4,488,104 barrels of oil, an increase of over 10%. More promising, natural gas production has increased to 554 billion cubic feet, up from 389, or an increase of 42% year-over-year.

“Capstone microturbine systems are seen as the technology of choice in the area due to modular and expandable design,” said Jim Crouse, Executive Vice President of Sales and Marketing of Capstone Turbine. “Our customers like the fact that our turbines can be upgraded to meet increased demand and production with little to no cost since stations are already set up for additional engines and capacity,” added Mr. Crouse.

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