Gevo and Sweetwater Energy Sign MoU to Supply Lignocellulosic Feedstocks to Produce Cellulosic Alcohols and Sustainable Aviation Fuel

ENGLEWOOD, Colo., Nov. 16, 2021 (GLOBE NEWSWIRE) — Gevo, Inc. (NASDAQ: GEVO) is pleased to announce it has signed a memorandum of understanding (MoU) with Sweetwater Energy, Inc., regarding the use of sustainably sourced agricultural residues and woody biomass as a feedstock for producing cellulosic alcohols and energy-dense renewable liquid hydrocarbons.

As outlined in the MoU, Sweetwater plans to build, own and operate a facility adjacent to Gevo’s existing plant in Luverne, Minnesota to produce high-value, plant-based products from cellulose and lignin while supplying Gevo with up to 30,000 tons of biomass-derived cellulosic sugars annually, with opportunities for expansion. The new Sweetwater facility would utilize its proprietary Sunburst technology for deconstructing lignocellulosic biomass. Sweetwater’s anticipated plant-based product portfolio, derived from cellulose and lignin, is targeted for applications in packaging, resins, and other applications to increase performance and sustainability, while displacing petroleum-based products. Gevo plans to use the offtake of the low-cost, cellulosic sugars co-produced by Sweetwater for the anticipated production of cellulosic alcohols and renewable hydrocarbons.

“We’re very excited to work with Gevo,” says Arunas Chesonis, Chairman and CEO of Sweetwater Energy. “This partnership fits perfectly with our goal for the company—replacing petroleum products with renewable solutions at a price point so low that making the right decision for the planet is also the right decision for our customers. This is the beginning of a collaboration that will pay very real dividends for present and future generations.”

Gevo was the first company to demonstrate conversion of cellulosic sugars to make sustainable aviation fuel meeting the ASTM D7566 specification allowing it to be used for commercial flights. The company expects it can be commercialized effectively when cost-effective sources of these sugars meet sustainability goals. In addition, cellulosic D3 RINs are high value and create an opportunity for Gevo to leverage its Luverne plant with anticipated better returns to make higher value products that are in demand in the marketplace.

The potential partnership with Sweetwater to supply cellulosic sugars provides an exciting model for Gevo. Because this offtake model could be replicated globally in multiple locations to fill a gap in the marketplace, it could further expand the reach of Gevo’s systems approach to sustainability, while allowing the company to stay focused on its technology for the production of alcohols and hydrocarbon fuels. Developing new partnerships for the conversion of cellulosic biomass is expected to continue to be a part of Gevo’s strategic plan.

Since Sweetwater’s Sunburst technology is designed with the flexibility to pretreat many types of biomass and has been proven in operation at commercial scale at the Sweetwoods Project in Imavere, Estonia, Sweetwater plans to increase the types of feedstock used in the Luverne plant to include qualified wood products and agricultural residues. Construction of the Sweetwater facility adjacent to the Luverne facility is anticipated to begin in Q3 2022.

“Combining forces with Sweetwater is a great way to leverage the best technology and resources from both parties to expand our addressable feedstocks to produce cellulosic alcohols and energy dense hydrocarbon fuels and plant-based products,” says Dr. Paul Bloom, Chief Carbon and Innovation Officer of Gevo. “Working together we anticipate delivering products to the market faster while decreasing risk throughout the value chain and lowering overall product carbon intensities through a systems approach to decarbonization. This is an important step to expand the portfolio of carbohydrates we intend to process to include cellulosic sugars that represent a huge amount of feedstock globally.”

About Gevo

Gevo’s mission is to transform renewable energy and carbon into energy-dense liquid hydrocarbons. These liquid hydrocarbons can be used for drop-in transportation fuels such as gasoline, jet fuel and diesel fuel, that when burned have potential to yield net-zero greenhouse gas emissions when measured across the full life cycle of the products. Gevo uses low-carbon renewable resource-based carbohydrates as raw materials, and is in an advanced state of developing renewable electricity and renewable natural gas for use in production processes, resulting in low-carbon fuels with substantially reduced carbon intensity (the level of greenhouse gas emissions compared to standard petroleum fossil-based fuels across their life cycle). Gevo also plans to take advantage of decarbonization via geological sequestration in the future. Gevo’s products perform as well or better than traditional fossil-based fuels in infrastructure and engines, but with substantially reduced greenhouse gas emissions. In addition to addressing the problems of fuels, Gevo’s technology also enables certain plastics, such as polyester, to be made with more sustainable ingredients. Gevo’s ability to penetrate the growing low-carbon fuels market depends on the price of oil and the value of abating carbon emissions that would otherwise increase greenhouse gas emissions.

Gevo believes that its proven, patented technology enabling the use of a variety of low-carbon sustainable feedstocks to produce price-competitive low-carbon products such as gasoline components, jet fuel and diesel fuel yields the potential to generate project and corporate returns that justify the build- out of a multi-billion-dollar business.

Gevo believes that the Argonne National Laboratory GREET model is the best available standard of scientific-based measurement for life cycle inventory or LCI.

Learn more at Gevo’s website: www.gevo.com

About Sweetwater Energy, Inc.

Sweetwater Energy uses a unique technology for producing low-cost nanofibrillated cellulose, microcrystalline cellulose, cellulosic sugars, and clean lignin from non-food plant materials to help meet the modern world’s increasing bioenergy and biochemical demands. The company began in 2009 as a spinout from the Rochester Institute of Technology with funding from the New York State Energy Research and Development Authority. The initial goal was to develop a distributed method of creating ethanol on-site on farmland, but as the technology developed and its capabilities expanded, the company’s vision also grew. In early 2020, the first commercial Sunburst system was installed at the Sweetwoods Project in Imavere, Estonia, a €43.2 million collaboration of nine European companies deriving high-value products from wood via the Sunburst system.

Learn more at Sweetwater’s website: https://www.sweetwater.us/

Forward-Looking Statements

Certain statements in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to a variety of matters, without limitation, including Sweetwater Energy, Inc. and its technology, engineering and constructing a facility in Luverne, Minnesota, the production of cellulosic sugars and high-value products derived from forestry and agricultural wastes, the production of alcohols and advanced renewable fuels including SAF, the attributes of Gevo’s products, and other statements that are not purely statements of historical fact. These forward-looking statements are made on the basis of the current beliefs, expectations and assumptions of the management of Gevo and are subject to significant risks and uncertainty. Investors are cautioned not to place undue reliance on any such forward-looking statements. All such forward-looking statements speak only as of the date they are made, and Gevo undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise. Although Gevo believes that the expectations reflected in these forward-looking statements are reasonable, these statements involve many risks and uncertainties that may cause actual results to differ materially from what may be expressed or implied in these forward-looking statements. For a further discussion of risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Gevo in general, see the risk disclosures in the Annual Report on Form 10-K of Gevo for the year ended December 31, 2020, and in subsequent reports on Forms 10-Q and 8-K and other filings made with the U.S. Securities and Exchange Commission by Gevo.

Gevo Investor and Media Contact

Heather L. Manuel

+1 720-418-0085

IR@gevo.com

Sweetwater Media Contact

Jonathan Sherwood

+1 585-647-5765

Jonathan.Sherwood@Sweetwater.us

Gevo and Sweetwater Energy Sign MoU to Supply Lignocellulosic Feedstocks to Produce Cellulosic Alcohols and Sustainable Aviation Fuel

ENGLEWOOD, Colo., Nov. 16, 2021 (GLOBE NEWSWIRE) — Gevo, Inc. (NASDAQ: GEVO) is pleased to announce it has signed a memorandum of understanding (MoU) with Sweetwater Energy, Inc., regarding the use of sustainably sourced agricultural residues and woody biomass as a feedstock for producing cellulosic alcohols and energy-dense renewable liquid hydrocarbons.

As outlined in the MoU, Sweetwater plans to build, own and operate a facility adjacent to Gevo’s existing plant in Luverne, Minnesota to produce high-value, plant-based products from cellulose and lignin while supplying Gevo with up to 30,000 tons of biomass-derived cellulosic sugars annually, with opportunities for expansion. The new Sweetwater facility would utilize its proprietary Sunburst technology for deconstructing lignocellulosic biomass. Sweetwater’s anticipated plant-based product portfolio, derived from cellulose and lignin, is targeted for applications in packaging, resins, and other applications to increase performance and sustainability, while displacing petroleum-based products. Gevo plans to use the offtake of the low-cost, cellulosic sugars co-produced by Sweetwater for the anticipated production of cellulosic alcohols and renewable hydrocarbons.

“We’re very excited to work with Gevo,” says Arunas Chesonis, Chairman and CEO of Sweetwater Energy. “This partnership fits perfectly with our goal for the company—replacing petroleum products with renewable solutions at a price point so low that making the right decision for the planet is also the right decision for our customers. This is the beginning of a collaboration that will pay very real dividends for present and future generations.”

Gevo was the first company to demonstrate conversion of cellulosic sugars to make sustainable aviation fuel meeting the ASTM D7566 specification allowing it to be used for commercial flights. The company expects it can be commercialized effectively when cost-effective sources of these sugars meet sustainability goals. In addition, cellulosic D3 RINs are high value and create an opportunity for Gevo to leverage its Luverne plant with anticipated better returns to make higher value products that are in demand in the marketplace.

The potential partnership with Sweetwater to supply cellulosic sugars provides an exciting model for Gevo. Because this offtake model could be replicated globally in multiple locations to fill a gap in the marketplace, it could further expand the reach of Gevo’s systems approach to sustainability, while allowing the company to stay focused on its technology for the production of alcohols and hydrocarbon fuels. Developing new partnerships for the conversion of cellulosic biomass is expected to continue to be a part of Gevo’s strategic plan.

Since Sweetwater’s Sunburst technology is designed with the flexibility to pretreat many types of biomass and has been proven in operation at commercial scale at the Sweetwoods Project in Imavere, Estonia, Sweetwater plans to increase the types of feedstock used in the Luverne plant to include qualified wood products and agricultural residues. Construction of the Sweetwater facility adjacent to the Luverne facility is anticipated to begin in Q3 2022.

“Combining forces with Sweetwater is a great way to leverage the best technology and resources from both parties to expand our addressable feedstocks to produce cellulosic alcohols and energy dense hydrocarbon fuels and plant-based products,” says Dr. Paul Bloom, Chief Carbon and Innovation Officer of Gevo. “Working together we anticipate delivering products to the market faster while decreasing risk throughout the value chain and lowering overall product carbon intensities through a systems approach to decarbonization. This is an important step to expand the portfolio of carbohydrates we intend to process to include cellulosic sugars that represent a huge amount of feedstock globally.”

About Gevo

Gevo’s mission is to transform renewable energy and carbon into energy-dense liquid hydrocarbons. These liquid hydrocarbons can be used for drop-in transportation fuels such as gasoline, jet fuel and diesel fuel, that when burned have potential to yield net-zero greenhouse gas emissions when measured across the full life cycle of the products. Gevo uses low-carbon renewable resource-based carbohydrates as raw materials, and is in an advanced state of developing renewable electricity and renewable natural gas for use in production processes, resulting in low-carbon fuels with substantially reduced carbon intensity (the level of greenhouse gas emissions compared to standard petroleum fossil-based fuels across their life cycle). Gevo also plans to take advantage of decarbonization via geological sequestration in the future. Gevo’s products perform as well or better than traditional fossil-based fuels in infrastructure and engines, but with substantially reduced greenhouse gas emissions. In addition to addressing the problems of fuels, Gevo’s technology also enables certain plastics, such as polyester, to be made with more sustainable ingredients. Gevo’s ability to penetrate the growing low-carbon fuels market depends on the price of oil and the value of abating carbon emissions that would otherwise increase greenhouse gas emissions.

Gevo believes that its proven, patented technology enabling the use of a variety of low-carbon sustainable feedstocks to produce price-competitive low-carbon products such as gasoline components, jet fuel and diesel fuel yields the potential to generate project and corporate returns that justify the build- out of a multi-billion-dollar business.

Gevo believes that the Argonne National Laboratory GREET model is the best available standard of scientific-based measurement for life cycle inventory or LCI.

Learn more at Gevo’s website: www.gevo.com

About Sweetwater Energy, Inc.

Sweetwater Energy uses a unique technology for producing low-cost nanofibrillated cellulose, microcrystalline cellulose, cellulosic sugars, and clean lignin from non-food plant materials to help meet the modern world’s increasing bioenergy and biochemical demands. The company began in 2009 as a spinout from the Rochester Institute of Technology with funding from the New York State Energy Research and Development Authority. The initial goal was to develop a distributed method of creating ethanol on-site on farmland, but as the technology developed and its capabilities expanded, the company’s vision also grew. In early 2020, the first commercial Sunburst system was installed at the Sweetwoods Project in Imavere, Estonia, a €43.2 million collaboration of nine European companies deriving high-value products from wood via the Sunburst system.

Learn more at Sweetwater’s website: https://www.sweetwater.us/

Forward-Looking Statements

Certain statements in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to a variety of matters, without limitation, including Sweetwater Energy, Inc. and its technology, engineering and constructing a facility in Luverne, Minnesota, the production of cellulosic sugars and high-value products derived from forestry and agricultural wastes, the production of alcohols and advanced renewable fuels including SAF, the attributes of Gevo’s products, and other statements that are not purely statements of historical fact. These forward-looking statements are made on the basis of the current beliefs, expectations and assumptions of the management of Gevo and are subject to significant risks and uncertainty. Investors are cautioned not to place undue reliance on any such forward-looking statements. All such forward-looking statements speak only as of the date they are made, and Gevo undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise. Although Gevo believes that the expectations reflected in these forward-looking statements are reasonable, these statements involve many risks and uncertainties that may cause actual results to differ materially from what may be expressed or implied in these forward-looking statements. For a further discussion of risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Gevo in general, see the risk disclosures in the Annual Report on Form 10-K of Gevo for the year ended December 31, 2020, and in subsequent reports on Forms 10-Q and 8-K and other filings made with the U.S. Securities and Exchange Commission by Gevo.

Gevo Investor and Media Contact

Heather L. Manuel

+1 720-418-0085

IR@gevo.com

Sweetwater Media Contact

Jonathan Sherwood

+1 585-647-5765

Jonathan.Sherwood@Sweetwater.us

Capstone Green Energy (Nasdaq:CGRN) To Provide Onsite Power System To Wastewater Treatment Facility

System Will Use Both Biogas and Natural Gas to Generate Electrical & Thermal Energy

VAN NUYS, CA / ACCESSWIRE / November 12, 2021 / Capstone Green Energy Corporation (www.CapstoneGreenEnergy.com) (NASDAQ:CGRN), (“Capstone,” the “Company,” “we” or “us”), a global leader in carbon reduction and on-site resilient green energy solutions, today announced that its Distributor in Romania, Servelect, has signed a contract to provide a Combined Heat and Power (CHP) system to Compania Aquaserv S.A., a wastewater treatment plant operator in Mures County, Romania.

The new utility grid-connected system will be built utilizing one Capstone Green Energy C600S microturbine and one C200S microturbine. All the energy produced on-site will be used within the wastewater treatment plant. The C600S unit will be fueled by the biogas resulting from anaerobic fermentation of sludge, while the C200S unit will use high-pressure natural gas from the local Romanian Distribution Network Operator (DNO).

This green energy project was pursued as it became clear that the site’s existing internal combustion engine cogeneration plant was reaching the end of its lifecycle. At the same time, rising electricity prices combined with investment opportunities for wastewater treatment cogeneration projects made it an ideal time for Compania Aquaserv S.A. to look for a more efficient and advanced cogeneration technology. The project is funded by the European Economic Area (EEA) and Norwegian grants. The EEA and Norwegian grants represent the contribution of Iceland, Liechtenstein, and Norway to reduce economic and social disparities in the European Economic Area and to strengthen bilateral relations with the 15 beneficiary states in Eastern and Southern Europe and the Baltic States.

“Producing biogas from municipal wastewater sludge is a well-known and widely used approach,” said Csaba Bauer, Head of Wastewater Treatment Department of Compania Aquaserv S.A. “Compania Aquaserv S.A. has over 20 years of experience using biogas in cogeneration plants to cover its energy consumption and thermal needs. In this way, we can optimize our operational costs for public sewage service, making it more affordable for the public,” added Mr. Bauer.

The system will include two compressors that will increase the pressure of both the biogas and natural gas. To provide maximum efficiency, the two Capstone Green Energy CHP systems will be directed to a recovery boiler by a manifold; in addition, the hot water produced will be used in the sludge drying process. Together with the compressors and the recovery boiler, the two CHP units will be integrated within the site’s existing Supervisory Control and Data Acquisition (SCADA) system. This allows for both local and remote monitoring, as well as manual and automatic operating modes. All together, the system is designed to provide 800 kWe electric and 1500 kWth thermal power. It is expected to be commissioned in March 2022.

“We are very excited to implement one of the first Capstone Green Energy cogeneration plants within a wastewater treatment plant in Romania. Servelect has been Aquaserv’s reliable partner since the beginning of the project, starting with the feasibility study, elaboration of the financing application, and now with the technical design and the actual implementation of the project,” said Iulia Bargauan, General Director of Servelect. “The new system will provide Aquaserv with cost savings, energy efficiency, and reduced carbon emissions,” added Ms. Bargauan.

“Wastewater treatment plants are among the best candidates for this kind of highly efficient green energy project. Not only is biogas a free, renewable fuel source for producing heat and electricity, it also eliminates the waste gas, which could otherwise be a global warming pollutant,” said Darren Jamison, Chief Executive Officer of Capstone Green Energy. “The kind of energy efficiency we can achieve at sites like Aquaserv S.A. offers the potential for greater operational cost savings, and with the kind of incentives that are currently available in many regions, the return on investment can be substantial,” concluded Mr. Jamison.

About Capstone Green Energy
Capstone Green Energy (www.CapstoneGreenEnergy.com) (NASDAQ:CGRN) is a leading provider of customized microgrid solutions and on-site energy technology systems focused on helping customers around the globe meet their environmental, energy savings, and resiliency goals. Capstone Green Energy focuses on four key business lines. Through its Energy as a Service (EaaS) business, it offers rental solutions utilizing its microturbine energy systems and battery storage systems, comprehensive Factory Protection Plan (FPP) service contracts that guarantee lifecycle costs, as well as aftermarket parts. Energy Generation Technologies (EGT) are driven by the Company’s industry-leading, highly efficient, low-emission, resilient microturbine energy systems offering scalable solutions in addition to a broad range of customer-tailored solutions, including hybrid energy systems and larger frame industrial turbines. The Energy Storage Solutions (ESS) business line designs and installs microgrid storage systems creating customized solutions using a combination of battery technologies and monitoring software. Through Hydrogen & Sustainable Products (H2S), Capstone Green Energy offers customers a variety of hydrogen products, including the Company’s microturbine energy systems.

For customers with limited capital or short-term needs, Capstone offers rental systems; for more information, contact: rentals@CGRNenergy.com. To date, Capstone has shipped over 10,000 units to 83 countries and estimates that, in FY21, it saved customers over $217 million in annual energy costs and approximately 397,000 tons of carbon. Total savings over the last three years are estimated to be approximately $698 million in energy savings and approximately 1,115,100 tons of carbon savings.

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

Cautionary Note Regarding Forward-Looking Statements
This release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, including statements regarding expectations for green initiatives and execution on the Company’s growth strategy 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 ongoing effects of the COVID-19 pandemic; the availability of credit and compliance with the agreements governing the Company’s indebtedness; 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 Company’s ability to adequately protect its intellectual property rights; and the impact of pending or threatened litigation. 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 disclosures under “Risk Factors” in those filings. 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.

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

SOURCE: Capstone Green Energy Corporation

	Image Credit: Steve Jurvetson (Flickr)

Lithium Recycling Market Expected to Boom 20% Per Year with Battery Demand

The skyrocketing use of batteries and growing plans to include lithium-ion (Li-ion) batteries as a solution to many of today’s environmental initiatives has challenges. Not the least of these is that the mining of lithium has a number of negative impacts on the environment. One of these is water pollution from chemical leakage. From these issues, a rapidly growing recycling industry is blooming. The rapidly expanding lithium battery recycling business helps manufacturers ensure a sufficient quantity of lithium and other components for the continued creation of batteries and other applications.

The Market

As the need for minerals and other materials for Li-ion batteries burgeons from EV growth, the need for li-ion battery recycling methods and facilities has dramatically increased. According to Research
and Markets the market for recycling these batteries was $161.4 million in 2020. It is expected to grow almost 20% a year and is estimated to be 614% larger in 2030. This falls in line with other expectations. According to the International Energy
Agency (IEA)’s Sustainable Development Scenario, the number of electric vehicles (excluding two- and three-wheelers) across the globe will increase to 245 million units by 2030, this, in turn, is expected to encourage the recycling of lithium-ion batteries to meet the future demand. Investors may find looking at companies involved in battery recycling, interesting and an alternative to expose your portfolio to the growth of EVs.

Investing
in Li-ion Recycling

One company accelerating its plans and making headway is Comstock Mining (LODE). Management has spent the last six months developing their capacity and expects to conduct lithium recycling in the first and second quarters of 2022. In a research report released today, Mark Reichmann, Noble Senior Natural Resources Analyst, discusses Comstock’s full transformation plans. The report explains many of Comstock’s other “green” initiatives, including mercury remediation, hemp-based fuels, and cellulosic fuels. Also, in the report, the analyst provides reasons for his current rating and price targets.

Take-Away

The pace of EVs expected to take to the highways over the next ten years, along with increasing needs for clean ion electricity storage, along the grid and in other applications, is stressing the supply and availability of lithium for manufacturing. Lithium mining is also a dirty process that is not considered environmentally friendly.

A growing solution is recycling which could provide an interesting opportunity for investors looking for alternative ways to be involved in the growth of the EV and green fuel initiatives.

Channelchek provides top-tier research to your inbox without the burden of a paywall; register now.

Paul Hoffman

Managing Editor, Channelchek

Suggested Reading:

Future for Lithium Prices Looks Strong Due to Expected Demand Growth for Evs

Lithium-Ion vs Hydrogen Fuel Cell

Investment Opportunities in Hydrogen

How Does the Buffett Gates Natrium Reactor Work?

Sources:

Noble Capital Markets Research
(11/12/21)

Research and Markets Li-ion Report

IEA’s Sustainable Development
Scenario

Stay up to date. Follow us:

	Image Credit: Steve Jurvetson (Flickr)

Lithium Recycling Market Expected to Boom 20% Per Year with Battery Demand

The skyrocketing use of batteries and growing plans to include lithium-ion (Li-ion) batteries as a solution to many of today’s environmental initiatives has challenges. Not the least of these is that the mining of lithium has a number of negative impacts on the environment. One of these is water pollution from chemical leakage. From these issues, a rapidly growing recycling industry is blooming. The rapidly expanding lithium battery recycling business helps manufacturers ensure a sufficient quantity of lithium and other components for the continued creation of batteries and other applications.

The Market

As the need for minerals and other materials for Li-ion batteries burgeons from EV growth, the need for li-ion battery recycling methods and facilities has dramatically increased. According to Research
and Markets the market for recycling these batteries was $161.4 million in 2020. It is expected to grow almost 20% a year and is estimated to be 614% larger in 2030. This falls in line with other expectations. According to the International Energy
Agency (IEA)’s Sustainable Development Scenario, the number of electric vehicles (excluding two- and three-wheelers) across the globe will increase to 245 million units by 2030, this, in turn, is expected to encourage the recycling of lithium-ion batteries to meet the future demand. Investors may find looking at companies involved in battery recycling, interesting and an alternative to expose your portfolio to the growth of EVs.

Investing
in Li-ion Recycling

One company accelerating its plans and making headway is Comstock Mining (LODE). Management has spent the last six months developing their capacity and expects to conduct lithium recycling in the first and second quarters of 2022. In a research report released today, Mark Reichmann, Noble Senior Natural Resources Analyst, discusses Comstock’s full transformation plans. The report explains many of Comstock’s other “green” initiatives, including mercury remediation, hemp-based fuels, and cellulosic fuels. Also, in the report, the analyst provides reasons for his current rating and price targets.

Take-Away

The pace of EVs expected to take to the highways over the next ten years, along with increasing needs for clean ion electricity storage, along the grid and in other applications, is stressing the supply and availability of lithium for manufacturing. Lithium mining is also a dirty process that is not considered environmentally friendly.

A growing solution is recycling which could provide an interesting opportunity for investors looking for alternative ways to be involved in the growth of the EV and green fuel initiatives.

Channelchek provides top-tier research to your inbox without the burden of a paywall; register now.

Paul Hoffman

Managing Editor, Channelchek

Suggested Reading:

Future for Lithium Prices Looks Strong Due to Expected Demand Growth for Evs

Lithium-Ion vs Hydrogen Fuel Cell

Investment Opportunities in Hydrogen

How Does the Buffett Gates Natrium Reactor Work?

Sources:

Noble Capital Markets Research
(11/12/21)

Research and Markets Li-ion Report

IEA’s Sustainable Development
Scenario

Stay up to date. Follow us:

Capstone Green Energy (Nasdaq:CGRN) To Provide Onsite Power System To Wastewater Treatment Facility

System Will Use Both Biogas and Natural Gas to Generate Electrical & Thermal Energy

VAN NUYS, CA / ACCESSWIRE / November 12, 2021 / Capstone Green Energy Corporation (www.CapstoneGreenEnergy.com) (NASDAQ:CGRN), (“Capstone,” the “Company,” “we” or “us”), a global leader in carbon reduction and on-site resilient green energy solutions, today announced that its Distributor in Romania, Servelect, has signed a contract to provide a Combined Heat and Power (CHP) system to Compania Aquaserv S.A., a wastewater treatment plant operator in Mures County, Romania.

The new utility grid-connected system will be built utilizing one Capstone Green Energy C600S microturbine and one C200S microturbine. All the energy produced on-site will be used within the wastewater treatment plant. The C600S unit will be fueled by the biogas resulting from anaerobic fermentation of sludge, while the C200S unit will use high-pressure natural gas from the local Romanian Distribution Network Operator (DNO).

This green energy project was pursued as it became clear that the site’s existing internal combustion engine cogeneration plant was reaching the end of its lifecycle. At the same time, rising electricity prices combined with investment opportunities for wastewater treatment cogeneration projects made it an ideal time for Compania Aquaserv S.A. to look for a more efficient and advanced cogeneration technology. The project is funded by the European Economic Area (EEA) and Norwegian grants. The EEA and Norwegian grants represent the contribution of Iceland, Liechtenstein, and Norway to reduce economic and social disparities in the European Economic Area and to strengthen bilateral relations with the 15 beneficiary states in Eastern and Southern Europe and the Baltic States.

“Producing biogas from municipal wastewater sludge is a well-known and widely used approach,” said Csaba Bauer, Head of Wastewater Treatment Department of Compania Aquaserv S.A. “Compania Aquaserv S.A. has over 20 years of experience using biogas in cogeneration plants to cover its energy consumption and thermal needs. In this way, we can optimize our operational costs for public sewage service, making it more affordable for the public,” added Mr. Bauer.

The system will include two compressors that will increase the pressure of both the biogas and natural gas. To provide maximum efficiency, the two Capstone Green Energy CHP systems will be directed to a recovery boiler by a manifold; in addition, the hot water produced will be used in the sludge drying process. Together with the compressors and the recovery boiler, the two CHP units will be integrated within the site’s existing Supervisory Control and Data Acquisition (SCADA) system. This allows for both local and remote monitoring, as well as manual and automatic operating modes. All together, the system is designed to provide 800 kWe electric and 1500 kWth thermal power. It is expected to be commissioned in March 2022.

“We are very excited to implement one of the first Capstone Green Energy cogeneration plants within a wastewater treatment plant in Romania. Servelect has been Aquaserv’s reliable partner since the beginning of the project, starting with the feasibility study, elaboration of the financing application, and now with the technical design and the actual implementation of the project,” said Iulia Bargauan, General Director of Servelect. “The new system will provide Aquaserv with cost savings, energy efficiency, and reduced carbon emissions,” added Ms. Bargauan.

“Wastewater treatment plants are among the best candidates for this kind of highly efficient green energy project. Not only is biogas a free, renewable fuel source for producing heat and electricity, it also eliminates the waste gas, which could otherwise be a global warming pollutant,” said Darren Jamison, Chief Executive Officer of Capstone Green Energy. “The kind of energy efficiency we can achieve at sites like Aquaserv S.A. offers the potential for greater operational cost savings, and with the kind of incentives that are currently available in many regions, the return on investment can be substantial,” concluded Mr. Jamison.

About Capstone Green Energy
Capstone Green Energy (www.CapstoneGreenEnergy.com) (NASDAQ:CGRN) is a leading provider of customized microgrid solutions and on-site energy technology systems focused on helping customers around the globe meet their environmental, energy savings, and resiliency goals. Capstone Green Energy focuses on four key business lines. Through its Energy as a Service (EaaS) business, it offers rental solutions utilizing its microturbine energy systems and battery storage systems, comprehensive Factory Protection Plan (FPP) service contracts that guarantee lifecycle costs, as well as aftermarket parts. Energy Generation Technologies (EGT) are driven by the Company’s industry-leading, highly efficient, low-emission, resilient microturbine energy systems offering scalable solutions in addition to a broad range of customer-tailored solutions, including hybrid energy systems and larger frame industrial turbines. The Energy Storage Solutions (ESS) business line designs and installs microgrid storage systems creating customized solutions using a combination of battery technologies and monitoring software. Through Hydrogen & Sustainable Products (H2S), Capstone Green Energy offers customers a variety of hydrogen products, including the Company’s microturbine energy systems.

For customers with limited capital or short-term needs, Capstone offers rental systems; for more information, contact: rentals@CGRNenergy.com. To date, Capstone has shipped over 10,000 units to 83 countries and estimates that, in FY21, it saved customers over $217 million in annual energy costs and approximately 397,000 tons of carbon. Total savings over the last three years are estimated to be approximately $698 million in energy savings and approximately 1,115,100 tons of carbon savings.

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

Cautionary Note Regarding Forward-Looking Statements
This release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, including statements regarding expectations for green initiatives and execution on the Company’s growth strategy 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 ongoing effects of the COVID-19 pandemic; the availability of credit and compliance with the agreements governing the Company’s indebtedness; 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 Company’s ability to adequately protect its intellectual property rights; and the impact of pending or threatened litigation. 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 disclosures under “Risk Factors” in those filings. 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.

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

SOURCE: Capstone Green Energy Corporation

Thursday, November 11, 2021

Capstone Green Energy (CGRN)
Revenues are growing and becoming more stable

Capstone Green Energy Corp is the producer of low-emission microturbine systems.The company develops, manufactures, markets and services microturbine technology solutions for use in stationary distributed power generation applications. Capstone Turbine’s products include onboard generation for hybrid electric vehicles; conversion of oil field and biomass waste gases into electricity; combined heat, power, and chilling solutions; capacity addition; and standby power.

Michael Heim, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Quarterly revenues increased 15% y-o-y. Sales are shifting from lumpy Energy Generations Technology (EGT) sales to higher margin, stable Energy as a Service (EaaS). Quarterly sales of $17.2 million surpassed our estimate of $16.7 million. EaaS grew 57.0% while EGT sales declined 9.4%. New Gross Product Orders rose to $10.8 million, a 20% improvement over booking in the last September quarter, leading to a rise in the company’s book-to-bill ratio of 1.3-1 times.


Margins decreased as COVID cost reductions abate.  Gross margin were 15.8%, down from 17.2% last year and 16.5% last quarter. A reduction in costs last year due to travel reductions and overall belt tightening has begun to evaporate. Margins were also hurt by a build up in inventories, increased expenditure on part replacements, and a $0.8 million legal settlement. EGT margins have turned negative …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision. 

Thursday, November 11, 2021

Gevo (GEVO)
Quarterly Losses Mask Solid Development Plan Progress

Gevo Inc is a renewable chemicals and biofuels company engaged in the development and commercialization of alternatives to petroleum-based products based on isobutanol produced from renewable feedstocks. Its operating segments are the Gevo segment and the Gevo Development/Agri-Energy segment. By its segments, it is involved in research and development activities related to the future production of isobutanol, including the development of its biocatalysts, the production and sale of biojet fuel, its Retrofit process and the next generation of chemicals and biofuels that will be based on its isobutanol technology. Gevo Development/Agri-Energy is the key revenue generating segment which involves the operation of the Luverne Facility and production of ethanol, isobutanol and related products.

Poe Fratt, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

EBITDA losses continued in 3Q2021.  Given the early stage of development of the renewable fuels concept, it isn’t surprising that EBITDA was negative $9.3 million and EBITDA losses expected into late next year. Cash declined to $522 million from $567 million in 2Q2021 due to the quarterly cash burn, capex for longer lead time equipment and the acquisition of patents from Butamax.


Contract portfolio unchanged, but development pipeline continues to expand and new large contracts appear on the horizon.  While the contracted portfolio remains 54 MGPY, or ~$1.6 billion, the size of the potential CVX commitment approaches 150MGPY. New contracts should fill up Net Zero Two capacity and co-locating it with Net Zero One might also leverage plant infrastructure …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision. 

Capstone Green Energy (Nasdaq: CGRN) Reports Second Quarter Fiscal 2022 Financial Results

Total Revenue Grew 15% Quarter-Over-Quarter, 14% Year-Over-Year, and 7% Sequentially

Book-to-Bill Ratio of 1.3:1 for the Quarter with New Gross Product Orders of $10.8M

Webcast to be Held Today, November 10, 2021 at 1:45 PM PT; 4:45 PM ET

VAN NUYS, CA / ACCESSWIRE / November 10, 2021 / Capstone Green Energy Corporation (www.CapstoneGreenEnergy.com) (NASDAQ:CGRN) (“Capstone,” the “Company,” “we” or “us”), a global leader in carbon reduction and on-site resilient green energy solutions, today announced financial results for its fiscal year 2022 second quarter ended September 30, 2021.

Financial Highlights of Fiscal Year 2022 Second Quarter:

• Total revenue in the quarter was $17.2 million, up 15%, compared to $14.9 million in the second quarter last year and total revenue for the six months ended September 30, 2021 was $33.3 million, up 14%, compared to $29.1 million for the six months ended September 30, 2020.
• New Gross Product orders of $10.8 million in the second quarter compared to $8.2 million in the first quarter, representing a positive Book-to-Bill Ratio of 1.3:1.
• The long-term microturbine rental fleet increased 1.0 megawatt (MW) to 13.1 MWs from 12.1 MWs during the quarter as the Company continues to execute against its plan to increase the fleet to 21.1 MWs by March 31, 2022.
• Total cash and cash equivalents as of September 30, 2021 were $38.3 million, a decrease of $11.2 million, compared to $49.5 million as of March 31, 2021.
• Net loss was $6.0 million for the quarter, compared to a net loss of $4.2 million in the second quarter of fiscal 2021.
• Adjusted EBITDA was negative $2.7 million for the quarter, compared to Adjusted EBITDA of negative $1.9 million in the second quarter of fiscal 2021.

“We remain laser-focused on revenue growth and our efforts are showing in the results, with year-over-year, quarter-over-quarter, and sequential revenue growth,” said Darren Jamison, President and Chief Executive Officer of Capstone Green Energy. “Growing our rental fleet is a pillar of our Energy as a Service and recurring revenue strategy, and we announced during the quarter that we expanded our long-term rental fleet from 12.1 MW to 13.1 MW, and in October we announced additional contracts for 3.2 MW of long-term rentals, and our goal of expanding the rental fleet to 17.1 MW by December 31, 2021. This is vital as we continue towards our objective of growing the fleet to 21.1 MW by March 31, 2022, the end of our fiscal year,” concluded Mr. Jamison.

“Our ability to continue to grow our Energy as a Service business, which includes rentals; long-term service contracts; spare parts; and the Distributor Support Subscription fee, are all key to our long-term strategy, as these recurring revenues drive higher margins and better predictability than a traditional product sale,” stated Eric Hencken, Chief Financial Officer of Capstone Green Energy.

Financial Results for Fiscal Year 2022 Second Quarter

Total revenue for the quarter was $17.2 million, an increase of $2.3 million, from $14.9 million in the second quarter of fiscal 2021. Total revenue for the six months ended September 30, 2021 was $33.3 million, an increase of $4.2 million from $29.1 million in the six months ended September 30, 2020. Both the quarter and year-over-year increases were primarily due to a higher volume of both product and parts revenue, as the prior year periods were more adversely impacted by the global COVID-19 pandemic.

Gross margin as a percentage of revenue decreased to 16% in the second quarter, compared to 17% in the same period last year, primarily due to lower overhead expenses in the prior period as a result of the Company’s COVID-19 Business Continuity Plan. This decrease was partially offset by higher revenues. Gross margin as a percentage of revenue decreased to 16% in the six months ended September 30, 2021, compared to 20% in the same period last year, primarily due to lower overhead expenses in the prior period as a result of the Company’s COVID-19 Business Continuity Plan, which consisted of pay cuts, furloughs, and other cost-cutting measures. Additionally, Factory Protection Plan margins were higher in the six months ended September 30, 2020 primarily due to site shutdowns caused by the pandemic, which delayed servicing events.

Operating expenses for the quarter were $7.4 million, an increase of $1.9 million, from $5.5 million in the same period last year. Operating expenses for the six months ended September 30, 2021 were $13.6 million, an increase of $4.2 million from $9.4 million in the same period last year. Both the quarter and year-over-year increases were primarily due to lower overhead expenses in the prior period as a result of the Company’s COVID-19 Business Continuity Plan, as well as a one-time employment related legal settlement of $0.8 million during the second quarter of fiscal 2022.

Net loss was $6.0 million for the second quarter of fiscal 2022, compared to a net loss of $4.2 million in the same period last year. Adjusted EBITDA was negative $2.7 million for the second quarter of fiscal 2022 compared to an Adjusted EBITDA of negative $1.9 million for the same period last year.

Net loss was $8.2 million for the six months ended September 30, 2021, compared to a net loss of $6.0 million in the same period last year. Adjusted EBITDA was negative $5.0 million for the six months ended September 30, 2021, compared to an Adjusted EBITDA of negative $1.8 million for the same period last year.

Cash and cash equivalents were $38.3 million as of September 30, 2021, compared to $49.5 million as of March 31, 2021.

Conference Call and Webcast

Capstone will host a live webcast on November 10, 2021, at 1:45 PM Pacific Time (4:45 PM Eastern Time) to provide the results of the fiscal year 2022 second quarter ended September 30, 2021. Capstone will discuss its financial results and will provide an update on its business activities. At the end of the conference call, Capstone will host a question-and-answer session to provide an opportunity for financial analysts to ask questions. Investors and interested individuals are invited to listen to the webcast by logging on to Capstone’s investor relation’s webpage at www.CapstoneGreenEnergy.com. A replay of the webcast will be available on the website for 30 days.

About Capstone Green Energy

Capstone Green Energy (www.CapstoneGreenEnergy.com) (NASDAQ: CGRN) is a leading provider of customized microgrid solutions and on-site energy technology systems focused on helping customers around the globe meet their environmental, energy savings, and resiliency goals. Capstone Green Energy focuses on four key business lines. Through its Energy as a Service (EaaS) business, it offers rental solutions utilizing its microturbine energy systems and battery storage systems, comprehensive Factory Protection Plan (FPP) service contracts that guarantee life-cycle costs, as well as aftermarket parts. Energy Generation Technologies (EGT) are driven by the Company’s industry-leading, highly efficient, low-emission, resilient microturbine energy systems offering scalable solutions in addition to a broad range of customer-tailored solutions, including hybrid energy systems and larger frame industrial turbines. The Energy Storage Solutions (ESS) business line designs and installs microgrid storage systems creating customized solutions using a combination of battery technologies and monitoring software. Through Hydrogen & Sustainable Products (H2S), Capstone Green Energy offers customers a variety of hydrogen products, including the Company’s microturbine energy systems.

For customers with limited capital or short-term needs, Capstone offers rental systems; for more information, contact: rentals@CGRNenergy.com. To date, Capstone has shipped over 10,000 units to 83 countries and estimates that, in FY21, it saved customers over $217 million in annual energy costs and approximately 397,000 tons of carbon. Total savings over the last three years are estimated to be approximately $698 million in energy savings and approximately 1,115,100 tons of carbon savings.

For more information about the Company, please visit Twitter, LinkedIn, Instagram, Facebook, and YouTube.

Cautionary Note Regarding Forward-Looking Statements

This release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, including statements regarding expectations for green initiatives and execution on the Company’s growth strategy 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 ongoing effects of the COVID-19 pandemic; the availability of credit and compliance with the agreements governing the Company’s indebtedness; 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 Company’s ability to adequately protect its intellectual property rights; and the impact of pending or threatened litigation. 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 disclosures under “Risk Factors” in those filings. 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.

Financial Tables to Follow

CAPSTONE GREEN ENERGY CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except share amounts)
(Unaudited)

CAPSTONE GREEN ENERGY CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
(Unaudited)

CAPSTONE GREEN ENERGY CORPORATION AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(In thousands)
(Unaudited)

To supplement the company’s unaudited financial data presented on a generally accepted accounting principles (GAAP) basis, management has presented Adjusted EBITDA, a non-GAAP financial measure. This non-GAAP financial measure is among the indicators management uses as a basis for evaluating the company’s financial performance as well as for forecasting future periods. Management establishes performance targets, annual budgets and makes operating decisions based in part upon this metric. Accordingly, disclosure of this non-GAAP financial measure provides investors with the same information that management uses to understand the company’s economic performance year-over-year.

EBITDA is defined as net income before interest, provision for income taxes, and depreciation and amortization expense. Adjusted EBITDA is defined as EBITDA before gain on debt extinguishment, additional PPP loan forgiveness, stock-based compensation and other expense, and legal settlements. Gain on debt extinguishment and additional PPP loan forgiveness relates to the Paycheck Protection Program loan forgiveness. Stock-based compensation and other expense includes expense related to stock issued to employees, directors, and vendors. Legal settlements represents non-recurring legal settlements for employment matters.

Adjusted EBITDA is not a measure of the company’s liquidity or financial performance under GAAP and should not be considered as an alternative to, net income or any other performance measure derived in accordance with GAAP, or as an alternative to cash flows from operating activities as a measure of liquidity.

While management believes that the non-GAAP financial measure provides useful supplemental information to investors, there are limitations associated with the use of this measure. This measure is not prepared in accordance with GAAP and may not be directly comparable to similarly titled measures of other companies due to potential differences in the exact method of calculation. Management compensates for these limitations by relying primarily on the company’s GAAP results and by using Adjusted EBITDA only supplementally and by reviewing the reconciliation of the non-GAAP financial measure to its most comparable GAAP financial measure.

Non-GAAP financial measures are not in accordance with, or an alternative for, generally accepted accounting principles in the United States. The company’s non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP financial measures and should be read only in conjunction with the company’s consolidated financial statements prepared in accordance with GAAP.

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

SOURCE: Capstone Green Energy Corporation

Capstone Green Energy (Nasdaq: CGRN) Reports Second Quarter Fiscal 2022 Financial Results

Total Revenue Grew 15% Quarter-Over-Quarter, 14% Year-Over-Year, and 7% Sequentially

Book-to-Bill Ratio of 1.3:1 for the Quarter with New Gross Product Orders of $10.8M

Webcast to be Held Today, November 10, 2021 at 1:45 PM PT; 4:45 PM ET

VAN NUYS, CA / ACCESSWIRE / November 10, 2021 / Capstone Green Energy Corporation (www.CapstoneGreenEnergy.com) (NASDAQ:CGRN) (“Capstone,” the “Company,” “we” or “us”), a global leader in carbon reduction and on-site resilient green energy solutions, today announced financial results for its fiscal year 2022 second quarter ended September 30, 2021.

Financial Highlights of Fiscal Year 2022 Second Quarter:

• Total revenue in the quarter was $17.2 million, up 15%, compared to $14.9 million in the second quarter last year and total revenue for the six months ended September 30, 2021 was $33.3 million, up 14%, compared to $29.1 million for the six months ended September 30, 2020.
• New Gross Product orders of $10.8 million in the second quarter compared to $8.2 million in the first quarter, representing a positive Book-to-Bill Ratio of 1.3:1.
• The long-term microturbine rental fleet increased 1.0 megawatt (MW) to 13.1 MWs from 12.1 MWs during the quarter as the Company continues to execute against its plan to increase the fleet to 21.1 MWs by March 31, 2022.
• Total cash and cash equivalents as of September 30, 2021 were $38.3 million, a decrease of $11.2 million, compared to $49.5 million as of March 31, 2021.
• Net loss was $6.0 million for the quarter, compared to a net loss of $4.2 million in the second quarter of fiscal 2021.
• Adjusted EBITDA was negative $2.7 million for the quarter, compared to Adjusted EBITDA of negative $1.9 million in the second quarter of fiscal 2021.

“We remain laser-focused on revenue growth and our efforts are showing in the results, with year-over-year, quarter-over-quarter, and sequential revenue growth,” said Darren Jamison, President and Chief Executive Officer of Capstone Green Energy. “Growing our rental fleet is a pillar of our Energy as a Service and recurring revenue strategy, and we announced during the quarter that we expanded our long-term rental fleet from 12.1 MW to 13.1 MW, and in October we announced additional contracts for 3.2 MW of long-term rentals, and our goal of expanding the rental fleet to 17.1 MW by December 31, 2021. This is vital as we continue towards our objective of growing the fleet to 21.1 MW by March 31, 2022, the end of our fiscal year,” concluded Mr. Jamison.

“Our ability to continue to grow our Energy as a Service business, which includes rentals; long-term service contracts; spare parts; and the Distributor Support Subscription fee, are all key to our long-term strategy, as these recurring revenues drive higher margins and better predictability than a traditional product sale,” stated Eric Hencken, Chief Financial Officer of Capstone Green Energy.

Financial Results for Fiscal Year 2022 Second Quarter

Total revenue for the quarter was $17.2 million, an increase of $2.3 million, from $14.9 million in the second quarter of fiscal 2021. Total revenue for the six months ended September 30, 2021 was $33.3 million, an increase of $4.2 million from $29.1 million in the six months ended September 30, 2020. Both the quarter and year-over-year increases were primarily due to a higher volume of both product and parts revenue, as the prior year periods were more adversely impacted by the global COVID-19 pandemic.

Gross margin as a percentage of revenue decreased to 16% in the second quarter, compared to 17% in the same period last year, primarily due to lower overhead expenses in the prior period as a result of the Company’s COVID-19 Business Continuity Plan. This decrease was partially offset by higher revenues. Gross margin as a percentage of revenue decreased to 16% in the six months ended September 30, 2021, compared to 20% in the same period last year, primarily due to lower overhead expenses in the prior period as a result of the Company’s COVID-19 Business Continuity Plan, which consisted of pay cuts, furloughs, and other cost-cutting measures. Additionally, Factory Protection Plan margins were higher in the six months ended September 30, 2020 primarily due to site shutdowns caused by the pandemic, which delayed servicing events.

Operating expenses for the quarter were $7.4 million, an increase of $1.9 million, from $5.5 million in the same period last year. Operating expenses for the six months ended September 30, 2021 were $13.6 million, an increase of $4.2 million from $9.4 million in the same period last year. Both the quarter and year-over-year increases were primarily due to lower overhead expenses in the prior period as a result of the Company’s COVID-19 Business Continuity Plan, as well as a one-time employment related legal settlement of $0.8 million during the second quarter of fiscal 2022.

Net loss was $6.0 million for the second quarter of fiscal 2022, compared to a net loss of $4.2 million in the same period last year. Adjusted EBITDA was negative $2.7 million for the second quarter of fiscal 2022 compared to an Adjusted EBITDA of negative $1.9 million for the same period last year.

Net loss was $8.2 million for the six months ended September 30, 2021, compared to a net loss of $6.0 million in the same period last year. Adjusted EBITDA was negative $5.0 million for the six months ended September 30, 2021, compared to an Adjusted EBITDA of negative $1.8 million for the same period last year.

Cash and cash equivalents were $38.3 million as of September 30, 2021, compared to $49.5 million as of March 31, 2021.

Conference Call and Webcast

Capstone will host a live webcast on November 10, 2021, at 1:45 PM Pacific Time (4:45 PM Eastern Time) to provide the results of the fiscal year 2022 second quarter ended September 30, 2021. Capstone will discuss its financial results and will provide an update on its business activities. At the end of the conference call, Capstone will host a question-and-answer session to provide an opportunity for financial analysts to ask questions. Investors and interested individuals are invited to listen to the webcast by logging on to Capstone’s investor relation’s webpage at www.CapstoneGreenEnergy.com. A replay of the webcast will be available on the website for 30 days.

About Capstone Green Energy

Capstone Green Energy (www.CapstoneGreenEnergy.com) (NASDAQ: CGRN) is a leading provider of customized microgrid solutions and on-site energy technology systems focused on helping customers around the globe meet their environmental, energy savings, and resiliency goals. Capstone Green Energy focuses on four key business lines. Through its Energy as a Service (EaaS) business, it offers rental solutions utilizing its microturbine energy systems and battery storage systems, comprehensive Factory Protection Plan (FPP) service contracts that guarantee life-cycle costs, as well as aftermarket parts. Energy Generation Technologies (EGT) are driven by the Company’s industry-leading, highly efficient, low-emission, resilient microturbine energy systems offering scalable solutions in addition to a broad range of customer-tailored solutions, including hybrid energy systems and larger frame industrial turbines. The Energy Storage Solutions (ESS) business line designs and installs microgrid storage systems creating customized solutions using a combination of battery technologies and monitoring software. Through Hydrogen & Sustainable Products (H2S), Capstone Green Energy offers customers a variety of hydrogen products, including the Company’s microturbine energy systems.

For customers with limited capital or short-term needs, Capstone offers rental systems; for more information, contact: rentals@CGRNenergy.com. To date, Capstone has shipped over 10,000 units to 83 countries and estimates that, in FY21, it saved customers over $217 million in annual energy costs and approximately 397,000 tons of carbon. Total savings over the last three years are estimated to be approximately $698 million in energy savings and approximately 1,115,100 tons of carbon savings.

For more information about the Company, please visit Twitter, LinkedIn, Instagram, Facebook, and YouTube.

Cautionary Note Regarding Forward-Looking Statements

This release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, including statements regarding expectations for green initiatives and execution on the Company’s growth strategy 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 ongoing effects of the COVID-19 pandemic; the availability of credit and compliance with the agreements governing the Company’s indebtedness; 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 Company’s ability to adequately protect its intellectual property rights; and the impact of pending or threatened litigation. 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 disclosures under “Risk Factors” in those filings. 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.

Financial Tables to Follow

CAPSTONE GREEN ENERGY CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except share amounts)
(Unaudited)

CAPSTONE GREEN ENERGY CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
(Unaudited)

CAPSTONE GREEN ENERGY CORPORATION AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(In thousands)
(Unaudited)

To supplement the company’s unaudited financial data presented on a generally accepted accounting principles (GAAP) basis, management has presented Adjusted EBITDA, a non-GAAP financial measure. This non-GAAP financial measure is among the indicators management uses as a basis for evaluating the company’s financial performance as well as for forecasting future periods. Management establishes performance targets, annual budgets and makes operating decisions based in part upon this metric. Accordingly, disclosure of this non-GAAP financial measure provides investors with the same information that management uses to understand the company’s economic performance year-over-year.

EBITDA is defined as net income before interest, provision for income taxes, and depreciation and amortization expense. Adjusted EBITDA is defined as EBITDA before gain on debt extinguishment, additional PPP loan forgiveness, stock-based compensation and other expense, and legal settlements. Gain on debt extinguishment and additional PPP loan forgiveness relates to the Paycheck Protection Program loan forgiveness. Stock-based compensation and other expense includes expense related to stock issued to employees, directors, and vendors. Legal settlements represents non-recurring legal settlements for employment matters.

Adjusted EBITDA is not a measure of the company’s liquidity or financial performance under GAAP and should not be considered as an alternative to, net income or any other performance measure derived in accordance with GAAP, or as an alternative to cash flows from operating activities as a measure of liquidity.

While management believes that the non-GAAP financial measure provides useful supplemental information to investors, there are limitations associated with the use of this measure. This measure is not prepared in accordance with GAAP and may not be directly comparable to similarly titled measures of other companies due to potential differences in the exact method of calculation. Management compensates for these limitations by relying primarily on the company’s GAAP results and by using Adjusted EBITDA only supplementally and by reviewing the reconciliation of the non-GAAP financial measure to its most comparable GAAP financial measure.

Non-GAAP financial measures are not in accordance with, or an alternative for, generally accepted accounting principles in the United States. The company’s non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP financial measures and should be read only in conjunction with the company’s consolidated financial statements prepared in accordance with GAAP.

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

SOURCE: Capstone Green Energy Corporation

Wednesday, November 10, 2021

Flotek Industries (FTK)
Results in Line Absent Nonrecurring Items, All Signs Point To Improvements in 2022

Flotek Industries, Inc. creates solutions to reduce the environmental impact of energy on air, water, land and people. Flotek Industries, Inc. is a technology-driven, specialty chemistry and data company that helps customers across industrial, commercial and consumer markets improve their Environmental, Social and Governance performance. Flotek’s Chemistry Technologies segment develops, manufactures, packages, distributes, delivers, and markets high-quality cleaning, disinfecting and sanitizing products for commercial, governmental and personal consumer use. Additionally, Flotek empowers the energy industry to maximize the value of their hydrocarbon streams and improve return on invested capital through its real-time data platforms and green chemistry technologies. Flotek serves downstream, midstream and upstream customers, both domestic and international. Flotek is a publicly traded company headquartered in Houston, Texas, and its common shares are traded on the New York Stock Exchange under the ticker symbol “FTK.” For additional information, please visit Flotek’s web site at www.flotekind.com.

Michael Heim, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Flotek Industries reported 2021-3Q results (excluding nonrecurring items) that were generally in line with expectations. Flotek reported revenues of $10.2 million, in line with our estimate of $10.1 million. Income from operations was $0.6 million, which was well above our expectations for a loss of $5.6 million. The primary difference was due to a $7.6 million reduction in operating costs stemming from a positive settlement. EPS was $0.01 but would have been ($0.10) absent the settlement, slightly below our ($0.08) projection.


Flotek is setting itself up for improved results in 2022.  Management has focused on growing and stabilizing topline results. It has expanded its salesforce and put them on incentive-based compensation, signed new distribution agreements, emphasized subscription-based sales, introduced new products geared towards international sales, and held C-suite meetings to highlight the environmental benefits …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision. 

Wednesday, November 10, 2021

Flotek Industries (FTK)
Results in Line Absent Nonrecurring Items, All Signs Point To Improvements in 2022

Flotek Industries, Inc. creates solutions to reduce the environmental impact of energy on air, water, land and people. Flotek Industries, Inc. is a technology-driven, specialty chemistry and data company that helps customers across industrial, commercial and consumer markets improve their Environmental, Social and Governance performance. Flotek’s Chemistry Technologies segment develops, manufactures, packages, distributes, delivers, and markets high-quality cleaning, disinfecting and sanitizing products for commercial, governmental and personal consumer use. Additionally, Flotek empowers the energy industry to maximize the value of their hydrocarbon streams and improve return on invested capital through its real-time data platforms and green chemistry technologies. Flotek serves downstream, midstream and upstream customers, both domestic and international. Flotek is a publicly traded company headquartered in Houston, Texas, and its common shares are traded on the New York Stock Exchange under the ticker symbol “FTK.” For additional information, please visit Flotek’s web site at www.flotekind.com.

Michael Heim, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Flotek Industries reported 2021-3Q results (excluding nonrecurring items) that were generally in line with expectations. Flotek reported revenues of $10.2 million, in line with our estimate of $10.1 million. Income from operations was $0.6 million, which was well above our expectations for a loss of $5.6 million. The primary difference was due to a $7.6 million reduction in operating costs stemming from a positive settlement. EPS was $0.01 but would have been ($0.10) absent the settlement, slightly below our ($0.08) projection.


Flotek is setting itself up for improved results in 2022.  Management has focused on growing and stabilizing topline results. It has expanded its salesforce and put them on incentive-based compensation, signed new distribution agreements, emphasized subscription-based sales, introduced new products geared towards international sales, and held C-suite meetings to highlight the environmental benefits …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision. 

Tuesday, November 02, 2021

Energy Fuels (UUUU)(EFR:CA)
Quarterly results are not exciting. Keep an eye on uranium prices

As of April 24, 2020, Noble Capital Markets research on Energy Fuels is published under ticker symbols (UUUU and EFR:CA). The price target is in USD and based on ticker symbol UUUU. Research reports dated prior to April 24, 2020 may not follow these guidelines and could account for a variance in the price target.

Energy Fuels is the largest uranium producer in the U.S. and holds more production capacity and uranium resources than any other U.S. producer. The Company also produces vanadium. Headquartered in Colorado, Energy Fuels holds three of America’s key uranium production centers: the White Mesa Mill in Utah, the Nichols Ranch ISR Facility in Wyoming, and the Alta Mesa ISR Facility in Texas. The producing White Mesa Mill is the only conventional uranium mill in the U.S. and has a licensed capacity of 8 million pounds of U3O8 per year. Nichols Ranch is in production and has a licensed capacity of 2 million pounds of U3O8 per year. Alta Mesa is currently on standby. Energy Fuels also owns several licensed and developed uranium and vanadium mines on standby and other projects in development.

Michael Heim, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Energy Fuels reported 2021-3Q EPS of $(0.05) versus $(0.08), in line with our estimate of $(0.05) and slightly below the consensus estimate of $(0.03). With no uranium sales and little revenues, the loss was largely a function of operating costs. Lower standby and administration costs helped improve the bottom line. Rare Earth concentrate sales covered its cost of sales. We had hoped to see Rare Earth start to contribute to earnings, but supply delays have pushed back sales into 2022.


Company developments discussed in the press release have already been reported.  The press release discussed the start up of Rare Earth Elements (REE) operations, the recent rise in uranium prices, management’s desire to sign uranium supply contracts, the sale of non-core assets, “active discussions” discussion with monazite suppliers, and a strategic alliance to evaluate thorium (and possibly …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision.