Danbury, CT (GLOBE NEWSWIRE) - FuelCell Energy, Inc. (Nasdaq:FCEL), a global leader in delivering clean, innovative and affordable fuel cell solutions for the supply, recovery and storage of energy, today announced the execution of a letter of intent with the Connecticut Municipal Electric Energy Cooperative (CMEEC) to execute a power purchase agreement (PPA) for the long-term supply of power. CMEEC is owned by six municipal utilities: Groton Utilities, Norwich Public Utilities, Jewett City Department of Public Utilities, Bozrah Light and Power, South Norwalk Electric and Water and Norwalk Third Taxing District. CMEEC will be acting through and working with Groton Utilities to implement the new power supply.
Two SureSource 4000TM power plants with total output of 7.4 megawatts are planned to be sited at the U.S. Submarine Base in Groton, Connecticut. This project structure enables CMEEC to serve the Base with clean and predictable on-site power that enhances resiliency, while avoiding a capital investment in the power plant through the use of a power purchase agreement. The fuel cell plant is part of a multifaceted plan by CMEEC to provide new power resources and support the desire of the Department of Defense to add resiliency and grid independence to key military installations. The letter of intent is subject to the parties reaching a definitive agreement. Contract execution is expected by summer 2017.
“Our focus is serving our community utility members and their customers with continual and affordable power and this fuel cell project with its predictable power generation profile and attractive economics will help us continue to execute on our mission,” said Drew Rankin, Chief Executive Officer, Connecticut Municipal Electric Energy Cooperative. “This project will provide CMEEC and the U.S. Navy with a triple win of long-term cost effective power supply, ensuring power to critical infrastructure, and doing this in an environmentally friendly manner, all without directly investing CMEEC capital and instead purchasing power as it is produced.”
“This project will support CMEEC and Groton Utilities’ mission to serve its customer with affordable and resilient power generation that reinforces the supply of power by locating the plant at the utility delivery point on the Base,” said Chip Bottone, President and Chief Executive Officer, FuelCell Energy. “This project utilizes our SureSource 4000 system that delivers utility-scale power with a solution that can be sited where the utility needs the power as the system is clean, quiet and with very high power density, does not require much land, particularly for a Class I renewable power generation solution.”
The SureSource 4000 is the largest power plant in FuelCell Energy’s product portfolio, generating 3.7 megawatts of ultra-clean power and is scalable for fuel cell parks of 60 megawatts or more. This enhanced-efficiency fuel cell system is designed for applications focused on clean and affordable power driven by the economics of high system electrical efficiency rather than thermal efficiency.
The Connecticut Municipal Electric Energy Cooperative or CMEEC is a public power entity that provides electric services to several municipal utilities and participating wholesale customers. The municipal utilities, in turn, provide electricity to roughly 100,000 residential, commercial/industrial and small business customers located in New England. CMEEC is headquartered in Norwich, Connecticut.
Fuel cells use chemistry to convert a fuel source into electricity and heat in a highly efficient process that emits virtually no pollutants as the fuel is not burned. The combination of near-zero pollutants, modest land-use needs, and quiet operating nature of these stationary fuel cell power plants facilitates installation in urban locations where the power is used. Customers benefit with operating cost reductions delivered in a manner that supports sustainability goals and enhances power reliability. With high availability and capacity factors, fuel cell power plants make meaningful contributions to Renewable Portfolio Standard targets.
This news release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including, without limitation, statements with respect to the Company’s anticipated financial results and statements regarding the Company’s plans and expectations regarding the continuing development, commercialization and financing of its fuel cell technology and business plans. All forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Factors that could cause such a difference include, without limitation, changes to projected deliveries and order flow, changes to production rate and product costs, general risks associated with product development, manufacturing, changes in the regulatory environment, customer strategies, unanticipated manufacturing issues that impact power plant performance, changes in critical accounting policies, potential volatility of energy prices, rapid technological change, competition, and the Company’s ability to achieve its sales plans and cost reduction targets, as well as other risks set forth in the Company’s filings with the Securities and Exchange Commission. The forward-looking statements contained herein speak only as of the date of this press release. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statement to reflect any change in the Company’s expectations or any change in events, conditions or circumstances on which any such statement is based.
About FuelCell Energy
FuelCell Energy (NASDAQ:FCEL) delivers efficient, affordable and clean solutions for the supply, recovery and storage of energy. We design, manufacture, undertake project development, install, operate and maintain megawatt-scale fuel cell systems, serving utilities, industrial and large municipal power users with solutions that include both utility-scale and on-site power generation, carbon capture, local hydrogen production for transportation and industry, and long duration energy storage. With SureSource™ installations on three continents and millions of megawatt hours of ultra-clean power produced, FuelCell Energy is a global leader with environmentally responsible power solutions. Visit us online at www.fuelcellenergy.com and follow us on Twitter.
SureSource, SureSource 1500, SureSource 3000, SureSource 4000, SureSource Recovery, SureSource Capture, SureSource Hydrogen, SureSource Storage, SureSource Service, SureSource Capital, FuelCell Energy, and FuelCell Energy logo are all trademarks of FuelCell Energy, Inc.
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SOURCE: FuelCell Energy, Inc.