Capstone Green Energy Secures Sale of Microturbines to Black River Memorial Hospital to Advance Sustainability Goals with Help from ITC Tax Credit

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LOS ANGELES--(BUSINESS WIRE)-- Capstone Green Energy, LLC (“Capstone”), a subsidiary of Capstone Green Energy Holdings, Inc. (the "Company"), the public successor to Capstone Green Energy Corporation (Predecessor Capstone), is excited to announce the sale of four Capstone C65 microturbines for Black River Memorial Hospital (BRMH) in Wisconsin. By leveraging the federal Investment Tax Credit (ITC) program, which helps offset upfront costs, BRMH is taking a significant step toward enhanced energy efficiency and long-term sustainability.

Vergent Power Solutions, Capstone's distributor in the Upper Midwest, New England, and Eastern Canada, collaborated with BRMH to develop this exciting clean energy project. Vergent Power Solutions secured the order in December of this year and expects the system to be commissioned by May 2025. The microturbines will provide 260kW of on-site power generation while capturing thermal energy for on-site hot water production, marking a milestone in the hospital's efforts to reduce greenhouse gas emissions and improve operational efficiency by displacing higher emissions emitting hot water boilers.

The microturbines will be deployed in a combined heat and power (CHP) application featuring Capstone's patented integrated heat recovery modules (HRMs), which will recover the microturbine's exhaust heat, effectively converting it into hot water, thus offsetting 1.6 MMBTU/hr of thermal load that was provided by gas fired hot water boilers. By generating baseload electricity on-site at a higher efficiency than grid power, the system will significantly lower BRMH's energy costs while supporting its commitment to reliability and sustainability. This innovative solution is expected to reduce the hospital's greenhouse gas emissions by an estimated 550 metric tons annually, equivalent to removing approximately 120 cars from the road each year.

"With the combination of cutting-edge technology and federal incentives, this project reflects our hospital's commitment to sustainability and operational excellence," said Carl Selvick, President and CEO at Black River Memorial Hospital. "We are proud to lead by example in implementing energy solutions that benefit both our community and the environment."

"The installation at Black River Memorial Hospital underscores the growing trend of healthcare facilities turning to clean technology to address the energy trilemma of resiliency, affordability, and sustainability. We are excited to play a part in their journey of lowering their carbon footprint with a financial return that makes sense," said Vince Canino, President and CEO of the Company. "This project highlights the critical role that innovative energy solutions, supported by incentives like the Federal ITC, play in enabling organizations to enhance energy security, reduce emissions, and manage costs in an increasingly demanding energy landscape."

A key factor in BRMH's decision to adopt this technology was the availability of a 40% tax credit through the federal Energy Investment Tax Credit program. This incentive, available for qualifying projects placed in service or safe harbored by the end of 2024, significantly lowered the upfront investment costs, making the microturbine-based CHP system an attractive and practical solution for BRMH.

Additional Information

Capstone Green Energy Holdings, Inc. is the public successor to Predecessor Capstone (CGRN) for SEC reporting purposes. Once the Company's over-the-counter market application is processed and approved, it expects that it will be eligible to obtain a quotation for its common stock on the OTC Market. The CUSIP number for the Company's common stock following the reorganization transactions consummated in December 2023 is 14067D607, and the ISIN number is US14067D6076.

About Capstone Green Energy

For over three decades, Capstone Green Energy has been at the forefront of microturbine technology, revolutionizing how businesses manage their energy supply. In partnership with our worldwide team of dedicated distributors, we have shipped over 11,000 units to 83 countries, providing environmentally friendly and highly efficient on-site energy systems and microgrid solutions.

Today, our commitment to a cleaner future is unwavering. We offer customers a range of commercial, industrial, and utility-scale options tailored to their specific needs, ranging from 65kW to multiple MWs. Capstone's product portfolio not only showcases our core microturbine technology but also includes flexible Energy-as-a-Service (EaaS), which includes a build, own, and operate models as well as rental services.

In our pursuit of cutting-edge solutions, we've forged strategic partnerships to extend our impact. Through these collaborations, we proudly offer renewable gas products along with heat recovery solutions that enhance the sustainability and efficiency of our client's operations, contributing to a cleaner and more responsible energy landscape.

Capstone offers fast, turnkey power rental solutions for customers with limited capital or short-term needs; for more information, contact rentals@CGRNenergy.com.

For more information about the Company, please visit www.CapstoneGreenEnergy.com. Follow Capstone Green Energy on Twitter, LinkedIn, Instagram, Facebook, and YouTube.

Cautionary Notes

This release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, including statements on the Company's expectations regarding future trading of its common stock on an over-the-counter market and other statements regarding the Company's expectations, beliefs, plans, intentions, and strategies. The Company has tried to identify these forward-looking statements by using words such as "expect," "anticipate," "believe," "could," "should," "estimate," “intend,” “may,” “will,” “plan,” “goal” and similar terms and phrases, but such words, terms and phrases are not the exclusive means of identifying such statements. Actual results, performance and achievements could differ materially from those expressed in, or implied by, these forward-looking statements due to a variety of risks, uncertainties and other factors, including, but not limited to, the following: the Company’s liquidity position and ability to access capital; the Company’s ability to continue as a going concern; the Company’s ability to successfully remediate its material weaknesses in internal control over financial reporting; the Company’s ability to realize the anticipated benefits of its financial restructuring; the Company’s ability to comply with the restrictions imposed by covenants contained in the exit financing and the new subsidiary limited liability company agreement; employee attrition and the Company’s ability to retain senior management and other key personnel following the restructuring; the Company's ability to develop new products and enhance existing products; product quality issues, including the adequacy of reserves therefor and warranty cost exposure; intense competition; financial performance of the oil and natural gas industry and other general business, industry and economic conditions; the impact of litigation and regulatory proceedings; risks related to the previously announced restatement (including inquiries from the SEC; the potential material adverse effect on the price of the Company’s common stock and stockholder lawsuits). For a detailed discussion of factors that could affect the Company’s future operating results, please see the Company’s filings with the Securities and Exchange Commission, including the risk factors contained in our most recent Annual Report on Form 10-K. Except as expressly required by the federal securities laws, the Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, changed circumstances or future events or for any other reason.

Capstone Green Energy
Investor and investment media inquiries:
818-407-3628
ir@CGRNenergy.com

 

Source: Capstone Green Energy

Released December 11, 2024