CAPSTONE GREEN ENERGY EXPANDS ITS ENERGY AS A SERVICE (EAAS) BUSINESS BY SECURING A 2 MW LONG-TERM RENTAL CONTRACT

VAN
NUYS, CA / ACCESSWIRE / July 9, 2021 / Capstone Green Energy Corporation (www.CapstoneGreenEnergy.com) (
NASDAQ:CGRN), formerly Capstone Turbine Corporation (www.capstoneturbine.com) (NASDAQ:CPST) (“Capstone” or the “Company”), announced today that it signed a contract for a two megawatt (MW) long-term rental contract as it continues to expand its microturbine rental business as part of its growing Energy as a Service (EaaS) business model.

The new, multi-year rental contract provides two C1000 Signature Series microturbines scheduled to be installed by the end of the current fiscal year. They will be used in an industrial combined heat and power (CHP), energy efficiency application configured with ten of Capstone’s Integrated Heat Recovery Modules (iHRM) to produce thermal energy. The customer will use the hot water generated from the units in its manufacturing process, thereby improving their overall energy efficiency, saving money, and reducing the site’s carbon footprint.

This contract was secured by Capstone’s local distribution partner, Cal Microturbine, Capstone’s exclusive distributor for California, Hawaii, and Nevada and nonexclusive for Oregon and Washington (www.calmicroturbine.com).

“Expanding Capstone’s Energy as a Service business, which includes the long-term rental program, is an important element for the company achieving its profitability goals. Capstone is a proud green energy company, having focused for a long time on transforming the way businesses think about on-site energy production,” said Darren Jamison, President and Chief Executive Officer of Capstone Green Energy. “Today, we are excited to be able to offer our customers Energy as a Service and strengthen our commitment to creating smarter energy for a cleaner future, as carbon reduction has increasing value to our customers,” added 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 life-cycle costs, as well as aftermarket parts. Energy Conversion Products 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 Products business line designs and installs microgrid storage systems creating customized solutions using a combination of battery technologies and monitoring software. Through Hydrogen Energy Solutions, 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 at 1,115,100 tons of carbon and $698 million in annual energy 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

 

Capstone Green Energy Signs 10-Year Service Contract On Energy Efficiency System At A Large Spirit Distillery In Jamaica

 

VAN NUYS, CA / ACCESSWIRE / July 8, 2021 / Capstone Green Energy Corporation (www.CapstoneGreenEnergy.com) (NASDAQ:CGRN), formerly Capstone Turbine Corporation (www.capstoneturbine.com) (NASDAQ:CPST) (“Capstone” or the “Company”), announced today that Innovative Energy Company Limited, Capstone’s exclusive distributor for Jamaica and distributor for the oil and gas markets in Guyana, signed a new 10-year Capstone Factory Protection Plan (FPP) service contract for a Capstone Signature Series C200S system installed in Jamaica.

The Capstone Signature Series C200S system is owned and operated by one of the island’s largest and oldest spirit distilleries. The C200S, commissioned in late 2020, is used for 24×7 electrical and thermal energy generation and is configured for dual-mode operation allowing the distillery to provide backup power to critical loads in the event of a grid outage.

The project design efficiency is 85% and produces 100% of the distillery’s annual electrical energy, reducing the distillery’s total energy costs by 26%. Capstone’s Integrated Heat Recovery Module (iHRM) is mounted on the roof of the C200S and produces 1,000 MBtu/hr of hot water or 100% of the boiler feed water requirements, utilizing the microturbine’s exhaust heat. The system is configured as a low-pressure natural gas unit with onboard fuel compressors to provide the required fuel pressure to the engine. The project is also estimated to reduce the site’s greenhouse gas emissions by 14%.

The Capstone FPP will provide the end-use customer with fixed scheduled and unscheduled parts costs for the next 10 years, providing protection from future cost increases associated with the replacement of spare parts, commodity pricing, and import tariffs. “With the Capstone gold standard, all-inclusive Factory Protection Plan, our client is able to enjoy a 10-year, worry-free operational period, knowing that all maintenance costs for the project are covered,” said Nigel Davy, Managing Director of Innovative Energy Company Limited.

“We are pleased that Capstone Green Energy is playing a larger role in Jamaica’s commitment to integrate clean energy sources and increase energy resiliency as part of the Energy Cooperation Framework signed by the U.S. and Jamaica in 2018,” said Tracy Chidbachian, Capstone’s Director of Customer Service. “Capstone Green Energy, along with Innovative Energy Company, is leading the way in advancing Jamaica’s environmental goals by integrating clean energy sources, including natural gas and renewable energy,” concluded Ms. Chidbachian.

“With the change in climate and increase of tropical storms in the Caribbean, power outages are more than an inconvenience; they are a significant hazard. Power outages are detrimental to people’s well-being and safety and have a devastating impact on the region,” said Darren Jamison, President and Chief Executive Officer of Capstone Green Energy. “This new contract demonstrates that Innovative Energy Company is taking steps to keep up with the energy revolution and protect its end-use customers from prolonged unplanned power outages caused by severe weather,” 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 life-cycle costs, as well as aftermarket parts. Energy Conversion Products 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 Products business line designs and installs microgrid storage systems creating customized solutions using a combination of battery technologies and monitoring software. Through Hydrogen Energy Solutions, 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 at 1,115,100 tons of carbon and $698 million in annual energy 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: Alexander Schimmeck (Unsplash)

OPEC’s Rift Impacts U.S. Energy Markets, Including Alternative

 

Oil prices are almost 40% higher than they began the year. Should the 5% dip over the past week be cause for concern among energy investors? Perhaps the reasons for the dip, impact on competition, and the U.S. production level ought to attract the most focus.

The volatility comes after an aborted meeting of OPEC+, the outcome of which was expected to result in an agreement to increase output, undoing 2020 cuts implemented as the economic lockdowns caused a worldwide glut of crude oil. Instead, OPEC+, which includes the original OPEC cartel members and their oil-producing allies, failed to reach an agreement.

 

Background:

In 2020 OPEC+ made the decision to severely slow production by nearly 10 million barrels a day as demand vanished from the impact of lockdown orders in economies both large and small. In 2021, the price of oil had risen as much as 50% to its high point as the world began relaxing COVID-era restrictions. Oil-exporting nations are now looking to orchestrate the way forward out of the pandemic crisis and into a world where world energy needs are expected to turn sharply away from petroleum.

 

The Agreement that Didn’t Happen

The expected
agreement that would have increased world oil production fell apart because of a conflict between Saudi Arabia and the U.A.E. The U.A.E. asked to have its production target increased, this would have expanded its percentage of combined OPEC output. Increasing one country’s overall share has a tendency to create conflict. The cartel has stayed united with minimum open conflict, and they only act with a unanimous vote.  The current outcome of “status quo” where the countries are expected to operate under the existing Covid era limited output will have the effect of keeping oil prices high but perhaps cut into potential revenue for the members involved.

 

 

U.S. Oil Prices vs. International

U.S. oil prices jumped and then declined yesterday (July 7) as traders deciphered and adjusted to the new OPEC outlook. Oil price volatility isn’t all that the markets experienced by the uncertain future. Oil spreads, the gap between international crude and U.S. production have narrowed.  Producers globally benefit from higher prices. Downstream related business such as refiners prefer fat spreads between U.S. and non-domestic per barrel prices. The narrowing can be seen as a drag on some U.S. energy stocks.

Benchmark U.S. crude oil prices were up about 1% Wednesday morning (July 7), then turned sharply down about 2.6% by 10:40 a.m. E.S.T. Benchmark global crude prices began up about 0.8% before turning lower, dropping about 2.1%. West Texas Intermediate oil futures, the U.S. benchmark, are at $71.48 a barrel. Brent crude oil futures, the international benchmark, are at $72.95 a barrel.

Supply-demand factors in the U.S. are a driver of the spread compression. U.S. inventory post-Covid is at a massive deficit compared to normal levels. As the U.S. economy is sprinting out of last year’s poor economy, the rest of the world is crawling forward from the problems. Narrower spreads tend to reduce U.S. exports and invite imports. This dampens the potential for U.S. producers.

OPEC controls about one-third of global oil production. A rift between two rival countries could impact what occurs with energy sources that compete with oil and even help speed or slow movement away from petroleum. Competition between Gulf allies is heating up in other areas as well as the countries are working to diversify their revenue to be less reliant on oil as the move to reduce dependence accelerates. Increasing Petrodollars ($ U.S. dollars exchanged for crude) are important.

 

Take-Away

The rift between Saudi Arabia and the U.A.E. may widen or narrow. The countries are going through a challenging time where revising their economies for diversified income appears critical. The U.A.E. is ahead of the Saudis on this; financing additional economic revitalization projects increases the thirst for maximizing oil sales profit.

What occurs halfway across the world impacts the spread between U.S. crude and all other sources. When the spread narrows, other sources become more attractive than they had been. This can impact not just domestic oil sales but related businesses down the line, and even competing energy sources.

 

Suggested Reading:

Oil Market Conditions May Change as We Enter the Second Half of 2021

How Does the Gates Buffett Natrium Reactor Work?

Space SPACs in the SPAC Space

Can You Invest in Uranium Directly?

 

Sources:

https://www.barrons.com/articles/three-stock-picks-to-play-the-wti-brent-spread-1528226297?mod=article_inline

https://www.barrons.com/articles/opec-meeting-oil-output-delay-51625170007?mod=article_inline

https://finance.yahoo.com/quote/CL%3DF/chart

https://www.aljazeera.com/economy/2021/7/7/saudi-uae-rivalry-takes-shape-amid-opec-spat-and-competing-hubs

 

Stay up to date. Follow us:

	Image Credit: Alexander Schimmeck (Unsplash)

OPEC’s Rift Impacts U.S. Energy Markets, Including Alternative

 

Oil prices are almost 40% higher than they began the year. Should the 5% dip over the past week be cause for concern among energy investors? Perhaps the reasons for the dip, impact on competition, and the U.S. production level ought to attract the most focus.

The volatility comes after an aborted meeting of OPEC+, the outcome of which was expected to result in an agreement to increase output, undoing 2020 cuts implemented as the economic lockdowns caused a worldwide glut of crude oil. Instead, OPEC+, which includes the original OPEC cartel members and their oil-producing allies, failed to reach an agreement.

 

Background:

In 2020 OPEC+ made the decision to severely slow production by nearly 10 million barrels a day as demand vanished from the impact of lockdown orders in economies both large and small. In 2021, the price of oil had risen as much as 50% to its high point as the world began relaxing COVID-era restrictions. Oil-exporting nations are now looking to orchestrate the way forward out of the pandemic crisis and into a world where world energy needs are expected to turn sharply away from petroleum.

 

The Agreement that Didn’t Happen

The expected
agreement that would have increased world oil production fell apart because of a conflict between Saudi Arabia and the U.A.E. The U.A.E. asked to have its production target increased, this would have expanded its percentage of combined OPEC output. Increasing one country’s overall share has a tendency to create conflict. The cartel has stayed united with minimum open conflict, and they only act with a unanimous vote.  The current outcome of “status quo” where the countries are expected to operate under the existing Covid era limited output will have the effect of keeping oil prices high but perhaps cut into potential revenue for the members involved.

 

 

U.S. Oil Prices vs. International

U.S. oil prices jumped and then declined yesterday (July 7) as traders deciphered and adjusted to the new OPEC outlook. Oil price volatility isn’t all that the markets experienced by the uncertain future. Oil spreads, the gap between international crude and U.S. production have narrowed.  Producers globally benefit from higher prices. Downstream related business such as refiners prefer fat spreads between U.S. and non-domestic per barrel prices. The narrowing can be seen as a drag on some U.S. energy stocks.

Benchmark U.S. crude oil prices were up about 1% Wednesday morning (July 7), then turned sharply down about 2.6% by 10:40 a.m. E.S.T. Benchmark global crude prices began up about 0.8% before turning lower, dropping about 2.1%. West Texas Intermediate oil futures, the U.S. benchmark, are at $71.48 a barrel. Brent crude oil futures, the international benchmark, are at $72.95 a barrel.

Supply-demand factors in the U.S. are a driver of the spread compression. U.S. inventory post-Covid is at a massive deficit compared to normal levels. As the U.S. economy is sprinting out of last year’s poor economy, the rest of the world is crawling forward from the problems. Narrower spreads tend to reduce U.S. exports and invite imports. This dampens the potential for U.S. producers.

OPEC controls about one-third of global oil production. A rift between two rival countries could impact what occurs with energy sources that compete with oil and even help speed or slow movement away from petroleum. Competition between Gulf allies is heating up in other areas as well as the countries are working to diversify their revenue to be less reliant on oil as the move to reduce dependence accelerates. Increasing Petrodollars ($ U.S. dollars exchanged for crude) are important.

 

Take-Away

The rift between Saudi Arabia and the U.A.E. may widen or narrow. The countries are going through a challenging time where revising their economies for diversified income appears critical. The U.A.E. is ahead of the Saudis on this; financing additional economic revitalization projects increases the thirst for maximizing oil sales profit.

What occurs halfway across the world impacts the spread between U.S. crude and all other sources. When the spread narrows, other sources become more attractive than they had been. This can impact not just domestic oil sales but related businesses down the line, and even competing energy sources.

 

Suggested Reading:

Oil Market Conditions May Change as We Enter the Second Half of 2021

How Does the Gates Buffett Natrium Reactor Work?

Space SPACs in the SPAC Space

Can You Invest in Uranium Directly?

 

Sources:

https://www.barrons.com/articles/three-stock-picks-to-play-the-wti-brent-spread-1528226297?mod=article_inline

https://www.barrons.com/articles/opec-meeting-oil-output-delay-51625170007?mod=article_inline

https://finance.yahoo.com/quote/CL%3DF/chart

https://www.aljazeera.com/economy/2021/7/7/saudi-uae-rivalry-takes-shape-amid-opec-spat-and-competing-hubs

 

Stay up to date. Follow us:

 

Capstone Green Energy Signs 10-Year Service Contract On Energy Efficiency System At A Large Spirit Distillery In Jamaica

 

VAN NUYS, CA / ACCESSWIRE / July 8, 2021 / Capstone Green Energy Corporation (www.CapstoneGreenEnergy.com) (NASDAQ:CGRN), formerly Capstone Turbine Corporation (www.capstoneturbine.com) (NASDAQ:CPST) (“Capstone” or the “Company”), announced today that Innovative Energy Company Limited, Capstone’s exclusive distributor for Jamaica and distributor for the oil and gas markets in Guyana, signed a new 10-year Capstone Factory Protection Plan (FPP) service contract for a Capstone Signature Series C200S system installed in Jamaica.

The Capstone Signature Series C200S system is owned and operated by one of the island’s largest and oldest spirit distilleries. The C200S, commissioned in late 2020, is used for 24×7 electrical and thermal energy generation and is configured for dual-mode operation allowing the distillery to provide backup power to critical loads in the event of a grid outage.

The project design efficiency is 85% and produces 100% of the distillery’s annual electrical energy, reducing the distillery’s total energy costs by 26%. Capstone’s Integrated Heat Recovery Module (iHRM) is mounted on the roof of the C200S and produces 1,000 MBtu/hr of hot water or 100% of the boiler feed water requirements, utilizing the microturbine’s exhaust heat. The system is configured as a low-pressure natural gas unit with onboard fuel compressors to provide the required fuel pressure to the engine. The project is also estimated to reduce the site’s greenhouse gas emissions by 14%.

The Capstone FPP will provide the end-use customer with fixed scheduled and unscheduled parts costs for the next 10 years, providing protection from future cost increases associated with the replacement of spare parts, commodity pricing, and import tariffs. “With the Capstone gold standard, all-inclusive Factory Protection Plan, our client is able to enjoy a 10-year, worry-free operational period, knowing that all maintenance costs for the project are covered,” said Nigel Davy, Managing Director of Innovative Energy Company Limited.

“We are pleased that Capstone Green Energy is playing a larger role in Jamaica’s commitment to integrate clean energy sources and increase energy resiliency as part of the Energy Cooperation Framework signed by the U.S. and Jamaica in 2018,” said Tracy Chidbachian, Capstone’s Director of Customer Service. “Capstone Green Energy, along with Innovative Energy Company, is leading the way in advancing Jamaica’s environmental goals by integrating clean energy sources, including natural gas and renewable energy,” concluded Ms. Chidbachian.

“With the change in climate and increase of tropical storms in the Caribbean, power outages are more than an inconvenience; they are a significant hazard. Power outages are detrimental to people’s well-being and safety and have a devastating impact on the region,” said Darren Jamison, President and Chief Executive Officer of Capstone Green Energy. “This new contract demonstrates that Innovative Energy Company is taking steps to keep up with the energy revolution and protect its end-use customers from prolonged unplanned power outages caused by severe weather,” 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 life-cycle costs, as well as aftermarket parts. Energy Conversion Products 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 Products business line designs and installs microgrid storage systems creating customized solutions using a combination of battery technologies and monitoring software. Through Hydrogen Energy Solutions, 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 at 1,115,100 tons of carbon and $698 million in annual energy 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

Wednesday, July 07, 2021

InPlay Oil (IPOOF)(IPO:CA)
Production rates blowing through expectations

As of April 24, 2020, Noble Capital Markets research on InPlay Oil is published under ticker symbols (IPOOF and IPO:CA). The price target is in USD and based on ticker symbol IPOOF. Research reports dated prior to April 24, 2020 may not follow these guidelines and could account for a variance in the price target. InPlay Oil is a junior oil and gas exploration and production company with operations in Alberta focused on light oil production. The company operates long-lived, low-decline properties with drilling development and enhanced oil recovery potential as well as undeveloped lands with exploration possibilities. The common shares of InPlay trade on the Toronto Stock Exchange under the symbol IPO and the OTCQZ Exchange under the symbol IPOOF.

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

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

Management indicates 2021-2Q production could be 5,325 BOE/d. Such a level represents a 7% increase over 2021-1Q production and a 70% increase over 2020-2Q production. Our models assume production of 5,167 BOE/d. Management reiterated annual guidance of 5,100-5,400 BOE/d but indicated it currently expects to be at the upper end of the range and that it would reevaluate guidance when it reports 2021-2Q results on August 11th. Our models assume 5,360 BOE/d and are subject to upward revision if management raises guidance as we expect.


The jump in production combined with higher prices is about to make cash flow explode.  Management anticipates record Adjusted Funds Flow (AFF) in 2021. InPlay reported $27 million in AFF in 2018. Surpassing that amount would blow through the $21.3 million estimate currently being indicated in our models. Management plans to use cash flow to pay down debt to a level of 1.0 times EBITDA which could …

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. 

 

 

Energy Fuels and Neo Performance Materials Announce Contract Signing and Launch of Commercial Shipments of Rare Earth Product to Europe in Emerging U.S.-Based Rare Earth Supply Chain

TORONTO, ON and LAKEWOOD, Colo., July 7, 2021 /CNW/ – Energy
Fuels Inc. (NYSE American: UUUU) (TSX: EFR) (“Energy Fuels”) and Neo Performance Materials Inc. (TSX: NEO) (“Neo”) are pleased to announce that the first container (approximately 20 tonnes of product) of an expected 15 containers  of mixed rare earth carbonate (“RE Carbonate”) has been successfully produced by Energy Fuels at its White Mesa Mill in Utah (the “Mill”) and is en route to Neo’s rare earth separations facility in Estonia, creating a new United States-to-Europe rare earth supply chain.  Additional shipments of RE Carbonate are expected as Energy Fuels continues to process natural monazite sand ore (“Monazite”) mined in Georgia (U.S.) by Chemours (NYSE: CC) for both the rare earth elements and naturally occurring uranium that it contains.

This new supply chain will initially produce rare earth products from monazite that is processed into RE Carbonate at Energy Fuels’ Mill in Utah.  The RE Carbonate is then processed by Neo at its Silmet rare earth processing facility in Sillamäe, Estonia (“Silmet”) into separated rare earth oxides and other value-added rare earth compounds.  Neo is the only commercial producer of separated rare earth oxides in Europe.

Monazite, which is produced as a byproduct of existing heavy mineral sands mining, also contains naturally occurring uranium that Energy Fuels recovers for use in the generation of carbon-free nuclear energy.

This commercial-scale production of RE Carbonate by Energy Fuels from a U.S. mined rare earth resource positions Energy Fuels as the only company in North America that currently produces a Monazite-derived, enhanced rare earth material.  The physical delivery of this product also represents the launch of a new, environmentally responsible rare earth supply chain that allows for source validation and tracking from mining through to final end-use applications for manufacturers in North America, Europe, Japan, and other nations.

Energy Fuels and Neo are further pleased to announce the signing of a definitive supply agreement (the “Agreement”) by the companies’ respective affiliates. Under the Agreement, Colorado-based Energy Fuels will ship all or a portion of its RE Carbonate to Neo’s Silmet rare earth separations facility. Neo will then process Energy Fuels’ RE Carbonate into separated rare earth materials for use in rare earth permanent magnets and other rare earth-based advanced materials. Because of increasing demand for value-added rare earth materials in European manufacturing, Toronto-based Neo seeks to expand and diversify its current supplies of rare earth feedstock at Silmet, which is the only operational rare earth separations facility in Europe. Silmet has been separating rare earths into commercial value-added products for more than 50 years.

Representatives from both Energy Fuels and Neo were on hand at the White Mesa Mill to celebrate the launch of this new critical supply chain.

In addition to supplying RE Carbonate to Neo, Energy Fuels is also evaluating the potential to develop its own separation capabilities at its White Mesa Mill in Utah (U.S.), or nearby, and possibly adding metals, alloys, and rare earth permanent magnets manufacturing capabilities. As a first step, the Company has hired the French firm, Carester SAS, a leading global expert in rare earth separation and supply chains, to produce a scoping study including capital and operating costs for a full rare earth separations capability at the White Mesa Mill, which would be the next important step towards fully integrating a U.S. rare earth supply chain in the coming years, in addition to continuing to supply RE Carbonate to European markets over the long-term.

“The launch of this new supply chain is a real gamechanger for Neo and our growing customer base in Europe,” said Constantine Karayannopoulos, Neo’s Chief Executive Officer.  “This innovative U.S.-to-Europe supply chain will supplement Neo’s existing rare earth supply from our long-time Russian supplier.  It will enable Neo to expand value-added rare earth production in Estonia to meet growing demand in Europe for these materials.  It begins to unlock the extraordinary economic and environmental potential presented by utilizing low-cost rare earth feedstock from monazite ore that is a byproduct of existing mining.  And, it helps Neo ramp up rare earth production in Estonia just as Europe accelerates vehicle electrification and other initiatives aimed at mitigating climate impacts.”

“Today, Energy Fuels and Neo took significant steps toward restoring critical U.S. and European rare earth supply chains,” stated Mark S. Chalmers, President and CEO of Energy Fuels. “Energy Fuels has methodically ramped up our mixed rare earth carbonate production since we first started feeding Georgia monazite ore into our Utah mill in March. Successfully producing this rare earth product, and physically delivering the first containers of Rare Earth Carbonate to Neo, is an important achievement, not only for Energy Fuels and Neo, but also for U.S. government efforts to restore critical rare earth supply chains. This is also very good news for end-users of rare earth products in the U.S., Europe, Japan and elsewhere who seek alternative sources of rare earths produced in the U.S. and Europe to the highest global standards of environmental protection and sustainability.”

Significant quantities of Monazite are produced around the world as a byproduct of zircon and titanium production from heavy mineral sand operations, including large resources in the U.S., Australia, Brazil, South Africa, and other nations. Energy Fuels is in discussions with several parties to secure additional quantities of Monazite that it can use to expand this quickly emerging rare earth initiative. Energy Fuels has a goal of processing 15,000 tons of Monazite or more per year in the future. For perspective, 15,000 tons of Monazite per annum would contain rare earths equal to roughly 50% of total current U.S. demand, while only utilizing approximately 2% of the White Mesa Mill’s existing throughput capacity and less than 1% of its existing tailings capacity. 

Monazite from the southeast U.S. typically contains roughly 55% total rare earth oxides (“TREO”) of which the magnetic elements neodymium and praseodymium (“NdPr”) comprise approximately 22% of the TREO. NdPr are among the most valuable of the rare earth elements, as they are the key ingredient in the manufacture of high-strength permanent magnets that are essential to the lightweight and powerful motors required in electric vehicles, permanent magnet wind turbines used for renewable energy generation, and a variety of other modern technologies, including, mobile devices and defense applications. U.S. Monazite also contains approximately 14.4% “heavy” rare earths on a TREO basis, including roughly 1.5% dysprosium and terbium which have additional important magnet and national defense applications.

ABOUT NEO PERFORMANCE MATERIALS

Neo manufactures the building blocks of many modern technologies that enhance efficiency and sustainability. Neo’s advanced industrial materials — magnetic powders and magnets, specialty chemicals, metals, and alloys — are critical to the performance of many everyday products and emerging technologies. Neo’s products help to deliver the technologies of tomorrow to consumers today. The business of Neo is organized along three segments: Magnequench, Chemicals & Oxides and Rare Metals. Neo is headquartered in Toronto, Ontario, Canada; with corporate offices in Greenwood Village, Colorado, US; Singapore; and Beijing, China. Neo operates globally with sales and production across 10 countries, being Japan, China, Thailand, Estonia, Singapore, Germany, United Kingdom, Canada, United States, and South Korea. For more information, please visit www.neomaterials.com.

ABOUT ENERGY FUELS

Energy Fuels is a leading U.S.-based uranium mining company, supplying U3O8 to major nuclear utilities. Energy Fuels also produces vanadium from certain of its projects, as market conditions warrant, and is ramping up to commercial production of REE carbonate in 2021. Its corporate offices are in Lakewood, Colorado, near Denver, and all of its assets and employees are in the United States. Energy Fuels holds three of America’s key uranium production centers: the White Mesa Mill in Utah, the Nichols Ranch in-situ recovery (“ISR”) Project in Wyoming, and the Alta Mesa ISR Project in Texas. The White Mesa Mill is the only conventional uranium mill operating in the U.S. today, has a licensed capacity of over 8 million pounds of U3O8 per year, has the ability to produce vanadium when market conditions warrant, as well as REE carbonate from various uranium-bearing ores. The Nichols Ranch ISR Project is on standby and has a licensed capacity of 2 million pounds of U3O8 per year. The Alta Mesa ISR Project is also on standby and has a licensed capacity of 1.5 million pounds of U3O8per year. In addition to the above production facilities, Energy Fuels also has one of the largest NI 43-101 compliant uranium resource portfolios in the U.S. and several uranium and uranium/vanadium mining projects on standby and in various stages of permitting and development. The primary trading market for Energy Fuels’ common shares is the NYSE American under the trading symbol “UUUU,” and the Company’s common shares are also listed on the Toronto Stock Exchange under the trading symbol “EFR.” Energy Fuels’ website is www.energyfuels.com.

CAUTIONARY STATEMENTS REGARDING FORWARD LOOKING STATEMENTS

This news release contains “forward-looking information” within the meaning of applicable securities laws in Canada and the United States. Forward-looking information may relate to future events or future performance of Neo or Energy Fuels. All statements in this release, other than statements of historical facts, with respect to Neo’s or Energy Fuels’ objectives and goals, as well as statements with respect to their beliefs, plans, objectives, expectations, anticipations, estimates, and intentions, are forward-looking information. Specific forward-looking statements in this discussion include, but are not limited to, the following: any expectation that the White Mesa Mill will continue to be successful in producing RE Carbonate on a commercial basis; any expectation that Silmet will be successful in separating the White Mesa Mill’s RE Carbonate on a commercial basis; any expectations with regard to the cost of producing and separating RE Carbonate; any expectation that Energy Fuels will be successful in increasing its supplies of monazite sand ore supplies, developing U.S. separation, metals or metal/alloy capabilities at the White Mesa Mill or nearby, or otherwise fully integrating the U.S RE supply chain in the future; any expectation with regard to the future demand for rare earth materials, including any expectation that Europe will continue to accelerate vehicle electrification and other initiatives aimed at mitigating climate impacts; any expectation with regard to the economic and environmental potential presented by utilizing rare earth feedstock from monazite ore; any expectation with respect to the quantities of monazite ore to be acquired by Energy Fuels, the quantities of RE Carbonate to be produced by the White Mesa Mill or the quantities of contained TREO to be acquired by Silmet for separation; and any expectation that the rare earths produced by Energy Fuels and Neo will continue to be produced to the highest global standards of environmental protection and sustainability. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “is expected”, “budget”, “scheduled”, “estimates”, “continues”, “forecasts”, “projects”, “predicts”, “intends”, “anticipates” or “believes”, or variations of, or the negatives of, such words and phrases, or state that certain actions, events or results “may”, “could”, “would”, “should”, “might” or “will” be taken, occur or be achieved. This information involves known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking information. Factors that could cause actual results to differ materially from those anticipated in these forward-looking statements include risks associated with: processing difficulties and upsets; available supplies of monazite sands; the ability of the White Mesa Mill to produce RE Carbonate to meet commercial specifications on a commercial scale at acceptable costs; the ability of Silmet to separate the RE Carbonate to meet commercial specifications on a commercial scale at acceptable costs; the capital and operating costs associated with separation, metal, alloy and/or magnet production facilities; permitting and regulatory delays; litigation risks; competition from others; market factors, including future demand for and prices realized from the sale of rare earth elements; and the policies and actions of foreign governments, which could impact the competitive supply of and global markets for rare earth elements. Forward-looking statements contained herein are made as of the date of this news release, and Neo and Energy Fuels disclaim, other than as required by law, any obligation to update any forward-looking statements whether as a result of new information, results, future events, circumstances, or if management’s estimates or opinions should change, or otherwise. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, the reader is cautioned not to place undue reliance on forward-looking statements. Neo and Energy Fuels assume no obligation to update the information in this communication, except as otherwise required by law.

 

SOURCE Energy Fuels Inc.

For further information: ENERGY FUELS, Curtis Moore – VP of Marketing & Corporate Development, (303) 974-2154; cmoore@energyfuels.com; NEO PERFORMANCE MATERIALS, Ali Mahdavi, SVP, Corporate Development & Capital Markets, 416-962-3300, Email: a.mahdavi@neomaterials.com; Jim Sims, Director, Corporate Communications, 303-503-6203, Email: j.sims@neomaterials.com, Website: www.neomaterials.com

	Image Credit: C.C. Chapman (Flickr)

Six Alternative Fuel Types Vying to Power our Future

 

Not many years ago, there were two types of vehicles on the road, gasoline-powered and diesel. Now there is a wider variety with six main alternative fuels. Each of these is intended to put us on the path to reduced or carbon-neutral vehicles. Some have distinct advantages over others from a functional standpoint; all represent investment opportunities, as a few of these are likely to grow to be the primary energy source in tomorrow’s cars and trucks.

Investors interested in the alternative fuels area should make sure they know the basics of each. The following are the basics of all six.

 

Ethanol

Ethanol is a renewable fuel made from corn and other plant materials. Its use is widespread on the roads today. In fact, more than 98% of gasoline in the U.S. contains some ethanol. The most common blend of ethanol is E10 which is 10% ethanol and 90% gasoline.

Ethanol is also available as E85 (or flex fuel) which is an ethanol blend containing 51% to 83% ethanol, depending on geography and season, used in flexible fuel vehicles. E15is a blend increasing its market presence. It is approved for use in model year 2001 and newer light-duty conventional gas vehicles.

Ethanol is a renewable fuel made from various plant materials collectively known as “biomass.” More than 98% of U.S. gasoline contains ethanol, typically E10 (10% ethanol, 90% gasoline), to oxygenate the fuel, which reduces air pollution.

Ethanol (CH3CH2OH) is clear and colorless. It’salso known as grain alcohol, ethyl alcohol, and EtOH. The fuel has the same chemical make-up regardless of whether it’s produced from starch- or sugar-based feedstocks like corn.

Ethanol has a higher octane than gasoline, so it can be used to raise the octane of low octane gasoline to prevent rough engine operation such as knocking. However, the fuel actually contains less energy per gallon than gas. Denatured ethanol (98% ethanol) contains about 30% less energy than gasoline per gallon. The experience of any cars fuel economy on ethanol depends on whether an engine is optimized to run on gasoline or partial ethanol.

Flexible Fuel Vehicles

Flexible fuel vehicles (FFVs) have an internal combustion engine and can operate on gasoline and/or any blend of gasoline and ethanol up to 83%, such as E85 flex-fuel. E85 is a gasoline-ethanol blend containing 51% to 83% ethanol, depending on geography and season.

According to IHS Markit, as of 2017, there were more than 21 million FFVs in the United States. Because FFVs are factory-made and are capable of operating on gasoline and gasoline-ethanol blends, many vehicle owners don’t realize their car is an FFV and that they have a choice of fuels to use.

You can visit Fueleconomy.gov to learn how to identify an FFV or use the Alternative Fuel and Advanced Vehicle Search to find current FFV models.

Emissions

The carbon dioxide released by a vehicle when ethanol is burned is offset by the carbon dioxide captured when the feedstock crops are grown to produce ethanol. This differs from gasoline and diesel, which are refined from petroleum extracted from the earth. No emissions are offset when these petroleum products are burned.

On a life cycle analysis basis, greenhouse gas (GHG) emissions are reduced on average by 34% with corn-based ethanol produced from dry mills, and range between 88% and 108% if cellulosic feedstocks are used depending on feedstock type, compared with gasoline and diesel production and use.

 

Electricity

Electric vehicles, which for our purposes includes hybrid (gas and electric), have operating costs that are lower than conventional gas-powered cars. A little more than a decade ago, there was practically no mass market in the U.S.  But the consumer perception and evolution of technology, including battery efficiency, has been putting more hybrids and E.V.s on the road, with more entrants coming each year from the major car companies and start-ups.

Availability and Charging Speeds

Both all-electric cars and a plug-in hybrid have several options for charging. Often, drivers will do the majority of their charging from home. Workplaces, businesses, and some condos and apartments now provide charging. As far as public charging, there are over 16 thousand public charging stations located across the country.

There are three basic types of charging:

Level 1 charging is accomplished by plugging the car or truck into a regular 120 Volt home style outlet. This is the slowest type of charging, and the current pace is about 2 to 5 miles of range per hour of charging. It’s often the most convenient and requires no special charger or adapter. Most, if not all, plug-in vehicles come equipped with a cord to allow level 1 charging.

Level 2 charging is where a supply station offers current at 240 V (or 208 V), which provides 10 to 30 miles of range per hour of charging. Most public chargers are Level 2 chargers. Drivers can also have a Level 2 charger installed at their home. Most public chargers use a standard plug type that is compatible with all vehicles. Tesla charging stations, however, use a different plug type that cannot be used by other manufacturers’ vehicles. Tesla provides an adaptor that allows its vehicles to use both Tesla and standard Level 2 charging stations.

Fast charging is also referred to as D.C. fast charging or D.C. quick charging. This is the fastest method. It allows 50 or more miles of range to the battery in 20 minutes. Not all vehicles can accept fast charging, nor do all vehicles use the same type of plug for D.C. fast charging. This is a consideration for those deciding if an E.V. makes sense for them. Quick charging stations are usually located along heavy traffic corridors. They are generally too expensive to be practical for home installation.

Market Demand

According to BlueWeave Consulting, the global market for electric vehicle market should grow from USD 121.8 billion in 2020 to USD 236.3 billion by 2027, with a CAGR of 10.6% during the forecast period (2021–2027).

 

Hydrogen

 

Hydrogen can power a vehicle in two ways: fuel cells, and internal combustion. Fuel cell vehicles (FCVs) turn hydrogen and oxygen from the air into electricity, powering an electric motor. The most abundant element on Earth (H) can also be burned in internal combustion engines (ICEs); the by product (exhaust) is H2O (water).

Emissions

In a virtual sense, Hydrogen doesn’t produce any greenhouse gas emissions. You essentially generate power through a hydrogen fuel cell that just emits warm air and water vapor. Internal combustion methods of propulsion, in the end, combine Hydrogen with oxygen producing harmless water.

Challenges

When it comes to hydrogen fuel, the major challenge is to initially extract the fuel from water or hydrocarbons. Hydrogen does not exist in a lone elemental form; separating it from others atoms requires energy input. In terms of storage, hydrogen creates more hurdles. If you want compact storage of hydrogen fuel, it will need low temperatures and high pressures. Hydrogen is available at fewer than 50 public stations, mostly in California. However, more fueling stations are planned for the future.

Fuel cell hydrogen vehicles cost more than conventional vehicles, but costs are decreasing. Still, only a few models are currently available for sale. Internal combustion hydrogen vehicles are typically conversions of gasoline engines.

 

Natural Gas

Fundamentals

In 2021, Natural Gas has become one of the most used fuels in the world. Unlike other types of fuel, Natural gas doesn’t contain hydrocarbons; it is one of the cleanest burning alternative fuels. It is used in the form of compressed natural gas (CNG) or liquefied natural gas (LNG) in cars, trucks, and buses.

There are Dedicated natural gas vehicles and bi-fuel. Dedicated are designed to run on natural gas only, while bi-fuel vehicles can also run on gasoline or diesel. Bi-fuel vehicles allow users to take advantage of the widespread availability of gasoline or diesel but use a cleaner, more economical alternative when natural gas is available. Since natural gas is stored in high-pressure fuel tanks, bi-fuel vehicles require two separate fueling systems, which take up passenger/cargo space.

Availability

Natural gas vehicles are not available on a large scale in the U.S.—only a few models are currently offered for sale. However, conventional gasoline and diesel vehicles can be retrofitted for CNG.

Chemical Process

Chemically, renewable natural gas is similar to other fossil fuels that make it highly usable. Creation of biomethane is through an anaerobic digestion process that involves waste from livestock and landfills. This process breaks down the microorganisms into biodegradable material.

 

BioDiesel

Fundamentals

BioDiesel fuel production is more common than many people realize. The production of the fuel requires animal fats, recycled grease, or vegetable oil. BioDiesel can be used in different diesel vehicles. This is because the chemical makeup is not substantially different from petroleum diesel.

Emissions

In comparison, BioDiesel burns more cleanly, eco-friendly, and safer than traditional petroleum diesel. On average, BioDiesel has more than 130 degrees Celsius of flashpoint, which is significantly higher than normal diesel. What’s more, is that B100 or pure BioDiesel decreases carbon dioxide emissions by up to 75% more than conventional diesel.

 

Propane

Propane, or liquefied petroleum gas (LPG), is a clean-burning fossil fuel that can be used in internal combustion engines.

Most of the propane used in the U.S. is produced domestically. It’s often less expensive than gasoline and does not degrade performance. LPG-fueled vehicles emit lower amounts of some air pollutants and greenhouse gases, depending on vehicle type, calibration, and drive cycle.

Challenges

The drawbacks to LPG are the limited number of fueling stations and vehicles. Over 900 public fueling stations sell LPG. A few light-duty vehicles – mostly larger trucks and vans – can be ordered from a dealer with a prep-ready engine package and converted to use propane. Consumers can also convert in-use conventional vehicles for LPG use. Some LPG vehicles run on propane only. Others can switch between propane and a conventional fuel such as gasoline.

Propane is stored as a liquid in pressurized fuel tanks rated to 300 psi. So, LPG conversions consist of installing a separate fuel system (if the vehicle will use both conventional fuel and LPG) or a replacement fuel system (LPG-only operation).

Converting a vehicle to use LPG can cost $6,000 to $12,000. However, this cost may be recovered in lower fuel and maintenance costs.

Propane fuel refers to liquefied petroleum gas that makes it one of the most viable alternative fuels. In fact, it is a high-energy and clean-burning fuel that offers many benefits to the automotive industry.

Emissions

On average, the greenhouse gasses reduction from propane fuel is around 10% relative to gasoline.

Cost-Benefit Ratio

On the flip side, propone vehicles are, in fact, quite expensive compared to gasoline vehicles.

 

Take-Away

These are fuels that will either be stopgaps on our way to cleaner burning fuels or may take a lead in powering our future. As we’re on this path, the increased demand for some or waning demand for others provides opportunity in all the surrounding aspects, of the fuels.

 

Suggested Reading:

Investment Opportunities in Hydrogen	The Future of Electric Vehicles

Ford’s Announcement is Another Reason for Copper Investors to Smile	Raw Materials and Scalability of Tesla’s Vision

 

Sources:

https://afdc.energy.gov/fuels/

https://www.nap.edu/read/1889/chapter/14#390

https://www.inspirecleanenergy.com/blog/clean-energy-101/types-of-alternative-energy

https://www.globenewswire.com/news-release/2021/02/10/2173513/0/en/Electric-Vehicles-market-Demand-to-Be-Twofold-in-the-Next-Five-Years-with-a-strong-CAGR-of-10-6-during-forecast-period-2021-2027.html

 

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Capstone Green Energy President & CEO Darren Jamison and CFO Eric Henchken make a formal corporate presentation. Afterwards, they are joined by Noble Capital Markets Senior Research Analyst Michael Heim for a Q & A session featuring questions asked by the live audience throughout the event. Research, News, and Advanced Market Data on CGRN Information on upcoming live virtual roadshows 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 Conversion Products 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 Products business line designs and installs microgrid storage systems creating customized solutions using a combination of battery technologies and monitoring software. Through Hydrogen Energy Solutions, Capstone Green Energy offers customers a variety of hydrogen products, including the Company’s microturbine energy systems.

Image Credit: IAEA Image Bank (Flickr)  

This Firm Facilitates Direct Investment in Physical Uranium

 

Sure, Robinhood provides the ability to invest in fractional shares, and you can trade 7 different
cryptocurrency coins, but can you buy 50 tons of physical uranium?

In a press release dated this past Tuesday, Uranium Trading Corporation (UTC) announced they were the facilitator of the purchase of uranium for a large multifamily office.  The initial purchase amount is for 100,000 pounds of U3O8. Not too long ago a physical investment in U308 would have seemed impossible. Today the doors are opening on once undreamt-of investment fronts – holding this increasingly popular commodity is just another one.

 

Background

The demand for uranium is expected to exceed its supply in the near future. UTC, founded in 2018, was formed to provide the means for investors to invest in business opportunities in the civil uranium market. The means to transact in the fuel involves UTC,  a corporation that directly invests in natural uranium oxide in concentrates (“U₃O₈”) and uranium hexafluoride (“UF₆”)  and a company named 92 Trading, LLC which will provide management services to UTC.  92 Trading is engaged in pursuing commercial business and providing trading opportunities in the international uranium market. Its objective is to generate value for UTC investors and provide a pathway for it to invest in the storage of physical uranium with the goal of achieving capital appreciation resulting from any price increases due to expected future fundamental supply and demand imbalances.

As it relates to this transaction for the family office, David Berklite, CEO of Uranium Trading Corp said, “We are excited to have the opportunity to open up a market that has historically been isolated from the financial investment community,” he added “This purchase comes at a time when supply is being shut in globally and demand from reactor new builds continues its accelerated growth trajectory.  As an asset class, uranium as a commodity represents what we believe to be a compelling opportunity with almost no correlation to any other asset class.” 

No other details about this transaction have been given. Channelchek reached out to spokesman for UTC, for further information. We will pass anything pertinent along to our readers as they respond. Channelchek also discussed this with Noble Capital Markets Senior Energy Analyst Michael Heim, he commented, “…there is definitely a trend towards more speculative uranium trading.” Heim followed with, “…they now trade uranium futures, @UXX.1 on CNBC and UX=F on Yahoo, but they are very thinly traded.”

 

 

Take-Away

The move away from carbon-based fuels has caused a move toward uranium as a possible replacement for reliable energy for electric generation. Uranium has come back into vogue just as some large mines have closed or reduced output. Investors are looking to capitalize on what they now see as a recipe for higher uranium prices. Most trade in mining companies (see partial list below), it now appears direct investment is not impossible.

Paul Hoffman

Managing Editor, Channelchek

Suggested Content:

The Increasing Popularity of Uranium Investments	Recipe for Higher Uranium Prices

One-on-One With encore Energy	One-on-One with Energy Fuels

 

Sources:

https://prnmedia.prnewswire.com/news-releases/uranium-trading-corporation-makes-initial-uranium-purchase-301322469.html

https://www.sec.gov/Archives/edgar/data/1750407/000149315218014189/ex10-1.htm

Thursday, July 01, 2021

Flotek Industries (FTK)
Coverage Initiated

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.

Initiating coverage of energy service company poised to take advantage of growing environmental focus by energy drillers.  Flotek Industries is a green, technology-driven specialty chemistry and data company selling across industrial, commercial and consumer markets. Primary products include specialty chemicals for oil and gas producers, cleaning and sanitation products, and data analytics.


Sales should improve as drilling picks up.  Oil and gas prices have risen in recent quarters leading energy companies to increase drilling activity. Increased drilling should result in increased demand for Flotek’s products. We look for revenues to show favorable growth trends in upcoming quarters …

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. 

Image Credit: Jerry and Pat Donaho (flickr)

Oil Market Conditions May Change as We Enter the Second Half of 2021

 

The end of the pandemic-driven standstill in commerce and the current economic global reopening has meant a resumption in demand for oil products. The Organization of Petroleum Exporting Countries and their allies (OPEC+) will meet most of this weekend and through Thursday to review oil market conditions. There are high expectations that they will want to roll back further some of their crude output decreases that were decided upon over the past year.

 

OPEC Plus Meetings

At the beginning of the second quarter, OPEC+ met and agreed to return to a gradual rollback of previous output cuts beginning May and extending through July. At the time, Saudi Arabia also made clear its intention to unwind the voluntary cuts the kingdom had been making. OPEC+ had been holding back roughly eight million barrels a day of output at the time, one million of which represents the Saudis’ voluntary cut. The move to increase production levels didn’t cause weakening in the crude markets. In fact, the global benchmark for Brent crude on Friday (June 25) and the U.S. price for West Texas Intermediate (WTI) were each at their highest levels since October 2018 (front-month contracts $76.18 and $74.05, respectively).

On Tuesday, July 6 and Wednesday, OPEC+ will be convening for technical meetings to review the oil market, in preparation for the “official meeting” via videoconference on Thursday of the full OPEC+. It is during this meeting that they will formalize their decision on production levels.

 

Who is OPEC Plus? The Organization of the Petroleum Exporting Countries Plus (OPEC+) is a loosely affiliated body consisting of a cartel of 13 OPEC members along with 10 non-OPEC large oil-producing nations. The objective of OPEC+ is to orchestrate world oil production so as to target price levels.

 

Wild Card is OPEC+ Doesn’t Increase

Although the cartel sees that oil consumption is rising and expected to continue throughout the year, there’s another “wrinkle” that might alter the expected decision to roll back previous output reductions. The wrinkle is Iran. The U.S. and Iran have been engaging indirectly to move toward restoring the 2015 nuclear deal. This arrangement had been aimed at limiting Iran’s military-focused nuclear development. It may be that the final agreement includes guidance in case the Iran talks advance and cause the U.S. to lift sanctions that had been imposed during the Spring of 2018. This would allow Iran to increase its oil sales.

The probability of the U.S. / Iran restoring the nuclear deal and lifting oil sanctions has been complicated by the recent election of a more conservative Iranian President.

 

Take-Away

Any agreed upon OPEC+ production increase is likely to impact long-term oil prices that remain high. Current global economic growth, barring a renewed shutdown, may be absorbed just as easily as the increases decided upon earlier this year. Oil markets and the related oil company and alternative fuel stocks may still get a jolt late next week as traders will watch closely and react to perceptions of where they believe this takes us.

 

Virtual Roadshow Replay with Indonesia Energy President Frank Ingriselli This Virtual Road Show Replay features a formal corporate presentation from Indonesia Energy President Frank Ingriselli. Afterward, he is joined by Noble Capital Markets Senior Research Analyst Michael Heim for a Q & A session featuring questions asked by the live audience throughout the event. Watch the replay, and get Noble’s research on INDO, as well as news and advanced market data at the link below. View the Replay  |  View All Upcoming Road Shows

 

Suggested Reading:

The US Has Solidified Its Support for Battery Technology	Official US Price and Inventory Oil Forecast for the Second Half of 2021

Investment Opportunities in Hydrogen	The Bill Gates / Warren Buffett Natrium Reactor Risks and Benefits

 

Sources:

https://www.iea.org/reports/oil-market-report-june-2021

https://www.marketwatch.com/story/why-irans-presidential-election-is-the-most-important-political-milestone-of-2021-for-the-global-oil-market-11623703192

https://www.opec.org/opec_web/en/311.htm

https://www.marketwatch.com/story/eia-reports-a-nearly-8-million-barrel-decline-in-us-crude-supplies-2021-06-23

https://en.wikipedia.org/wiki/United_States_withdrawal_from_the_Joint_Comprehensive_Plan_of_Action

 

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