QualityStocks would like to highlight FuelCell Energy, Inc. (NASDAQ: FCEL). The company's Direct FuelCell power plants are generating ultra-clean, efficient and reliable power at more than 50 locations worldwide. With over 180 megawatts of power generation capacity installed or in backlog, FuelCell Energy is a global leader in providing ultra-clean baseload distributed generation to utilities, industrial operations, universities, municipal water treatment facilities, government installations and other customers around the world. The company's power plants have generated more than one billion kilowatt hours of ultra-clean power using a variety of fuels including renewable biogas from wastewater treatment and food processing, as well as clean natural gas.
In the company’s news last week,
FuelCell Energy reported an order valued at roughly $181M (multi-year contract) for 121.8MW of fuel cell kits and services via POSCO Energy, FCEL’s partner in South Korea.
This comes as a result of POSCO Energy’s recent engagement under contract to execute on a joint-owned and developed 58.8MW fuel cell park project designed to meet targets set by South Korea’s ambitious 2012 RPS (renewable portfolio standard). The hardware will be manufactured at FCEL’s production facility over in Torrington, CT, from which the company’s over 50 global installations and 1B kWh of generated power (300MW of generation capacity installed or in backlog) have come in the form of their revolutionary Direct FuelCell® (DFC) power plants.
Senior VP at POSCO, Jung-Gon Kim, noted how this massive order would help meet growing demand in South Korea and other Asian markets, with the bulk of the hardware going to offset RPS targets via the 58.8MW fuel cell park and other renewable power projects. Mr. Kim emphasized that construction would start before the year is out and with the first delivery of equipment slated for May 2013 (to ensure a steady supply stream of kits as deliveries under the existing 70MW order end in the preceding April), the widespread demand for virtually emission free, super-efficient fuel cell power generation in South Korea will begin to see traction as earlier as next year.
This kind of exposure is a huge boon for FCEL and the 1.4MW fuel cell kits they have developed are highly prized for their modularity and interchangeability. The product can be stacked up all the way to megawatt class installations or simply used for sub-megawatt generation projects, a great advantage for fuel cell-based implementations, as they can be relatively small at first and then simply be upgraded as more units are added to the generation matrix. Power from this fuel cell park will be sold directly into the grid and the facility will even harness the ambient, otherwise wasted heat energy for sale to the district heating system.
Exciting times for fuel cells in Asia as government agencies move to develop green-industry that will support economic robustness in rudimentary systems like power generation. Even more exciting times for FCEL shareholders who stand to profit handsomely as the company’s already established fuel cell power plants capture the zeitgeist perfectly. Fuel cell energy from DFC plants offers clear efficiency advantages over other forms of distributed generation, with up to 90% overall efficiency in combined heat and power applications.
President and CEO of FCEL, Chip Bottone, quite pleased with what is the largest order ever received by the company and industry, hailed the deal as a real milestone. This order almost triples the company’s backlog and has tipped off a planned increase in production capacity for 2013, driven by strong market acceptance in South Korea, as well as the larger Asian market taken as a whole. Bottone characterized the power generation and job creation model as something which should be emulated globally.
About QualityStocks
QualityStocks, based in Scottsdale, Arizona, is a free service that collects data from hundreds of Small-Cap and Micro-Cap online Investment Newsletters into one Daily Newsletter Report. QualityStocks is dedicated to assisting emerging public companies with their investor communication efforts and connecting subscribers with companies that have huge potential to succeed in the short and long-term future.
To sign up for The QualityStocks Daily Newsletter, please visit www.QualityStocks.net
Please read FULL disclaimer on the QualityStocks website: http://Disclaimer.QualityStocks.net
Forward-Looking Statement:
This release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements are inherently uncertain as they are based on current expectations and assumptions concerning future events or future performance of the company. Readers are cautioned not to place undue reliance on these forward-looking statements, which are only predictions and speak only as of the date hereof. Risks and uncertainties applicable to the company and its business could cause the company's actual results to differ materially from those indicated in any forward-looking statements.
