DANBURY, Conn., Aug. 22, 2007 (PRIME NEWSWIRE) -- FuelCell Energy, Inc. (Nasdaq:FCEL), a leading manufacturer of ultra-clean efficient power plants for commercial, industrial and utility customers, today announced that the two Connecticut utilities, Connecticut Light & Power and United Illuminating, have submitted the results of Round 2 of the contract procurement under the Connecticut General Statutes section 16-244c(j)(2) program, generally known as Connecticut Project 100. The utilities submitted all of FuelCell Energy's 68 MW of clean energy projects for consideration by the Connecticut Department of Utility Control (DPUC), which is expected to render its decisions on the projects by December 2007.
Connecticut's statute requires that the state's utilities have not less than 150 MW of clean energy generation under contract. As part of the process, the Connecticut Clean Energy Fund chose six FuelCell Energy projects totaling 68 MW last March. According to the DPUC schedule posted on its website, the DPUC will now review the contracts and render final decisions before the end of the year. After the DPUC decisions, electricity purchase agreements will be finalized between the utilities and the project developers.
"This outcome is a significant milestone for our company demonstrating the merits of our fuel cell power plants," said R. Daniel Brdar, Chairman and CEO of FuelCell Energy. "With their 24/7 reliability, fuel cells can solve electric grid congestion while reducing the need for new transmission and distribution investment. Our fuel cell power plants are quiet and emit reduced CO2 greenhouse gas compared to fossil fuel power plants, and only negligible amounts of pollutants such as NOX and SOX."
The Connecticut legislature recently increased the state's Renewable Portfolio Standard from 10 percent clean energy sources by 2010 to 20 percent by 2020 or approximately 850 MW.
"Connecticut's energy legislation and Project 100 demonstrate Connecticut's continued leadership in promoting clean energy," Brdar said. "The state is well on the way to achieving its goal of 20 percent clean energy production by 2020."
FuelCell Energy's Direct FuelCell(r) (DFC)(r) power plants convert natural gas into ultra-clean electricity. Fuel cells also generate high-grade heat that can be used to provide heating and cooling. The company's 2.4 MW DFC3000 power plants can reach up to 80 percent system efficiency for combined heat and power applications.
"Not only are ultra-clean fuel cells good for our environment but these projects will enable the expansion of jobs and manufacturing facilities in Connecticut," Brdar said. The sales value of the 68 MW of projects totals approximately $200 million.
The projects that the utilities submitted to the DPUC included:
* ERG Milford, LLC -- A 7.9 MW DFC-ERG(tm) project that pairs 7.2 MW of DirectFuel Cell(r) (DFC)(r) power plants with a 1.5 MW pipeline turbo expander. FuelCell Energy is partnered with Enbridge, Inc. (NYSE:ENB) and Southern Connecticut Gas Company for the project which is expected to achieve an electrical efficiency of approximately 60 percent. When natural gas is transferred from transcontinental pipelines to local distribution pipelines, the gas cools. The DFC-ERG system will capture the heat byproduct from FuelCell Energy's DFC3000 fuel cell and use the heat to warm the gas to its proper distribution temperature. Excess power from the DFC-ERG system will be exported to the grid. * Elemental Power Group -- Danbury -- A 19.6 MW project consisting of 8 DFC power plant units which incorporate organic rankine cycles to convert excess thermal energy from the fuel cells to deliver additional low-emissions electrical output. Achieving an electrical efficiency of over 47 percent, the project will deliver electrical grid power to Connecticut Light and Power for the southwestern part of the state. Elemental Power Group, LLC, an entity formed by Marubeni Power of New York and Catamount Energy of Vermont are the developers for this project. * Hospital Energy Development LLC/EMCOR -- A 4.6 MW project for Stamford Hospital will use 2 DFC3000 power plants in a combined heat and power application providing lower cost thermal energy to the hospital as well as ultra-clean electricity to the utility grid. The project is expected to achieve a combined heat and power efficiency and will be developed by EMCOR Energy Services and Hospital Energy Development LLC. * Hospital Energy Development, LLC/EMCOR -- A 2.3 MW project for Waterbury Hospital that will use 1 DFC3000 power plant in a combined heat and power applications providing lower cost thermal energy to the hospital as well as electricity to the grid. The project is expected to achieve a combined heat and power efficiency of over 60 percent. * Elemental Power Group -- Bridgeport - A 19.6 MW project consisting of 8 DFC power plant units which incorporate organic rankine cycles to convert excess thermal energy from the fuel cells to deliver added low-emissions electrical output. Achieving an electrical efficiency of over 47 percent, the project will augment electrical grid power provided by United Illuminating Company for the southwestern part of the state. Elemental Power Group, LLC, an entity formed by Marubeni Power of New York, and Catamount Energy of Vermont are the developers for this project. * Bridgeport Fuel Cell Park -- A 13.7 MW project consisting of 6 DFC3000 power plants that will deliver power to the United Illuminating Company in an area key to easing the power-constraint challenges in southwestern Connecticut. The project is using a remediated brownfield site in a key urban development area. Project participants include FuelCell Energy, PurePower, LLC and Pinpoint Power, LLC.
About FuelCell Energy, Inc.
FuelCell Energy is the world leader in the development and production of stationary fuel cells for commercial, industrial, municipal and utility customers. FuelCell Energy's ultra-clean and high efficiency DFC(r) fuel cells are generating power at over 60 locations worldwide. The company's power plants have generated more than 180 million kWh of power using a variety of fuels including renewable wastewater gas, biogas from beer and food processing as well as natural gas and other hydrocarbon fuels. FuelCell Energy has partnerships with major power plant developers, trading companies and power companies around the world. The company also receives substantial funding from the U.S. Department of Energy and other government agencies for the development of leading edge technologies such as hybrid fuel cell/turbine generators and solid oxide fuel cells. For more information please visit our website at www.fuelcellenergy.com.
This news release contains forward-looking statements, including statements regarding the Company's plans and expectations regarding the continuing development and commercialization of its fuel cell technology. All forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Factors that could cause such a difference include, without limitation, the risk that commercial field trials of the Company's products will not occur when anticipated, general risks associated with product development, manufacturing, changes in the utility regulatory environment, potential volatility of energy prices, rapid technological change, and competition, as well as other risks set forth in the Company's filings with the Securities and Exchange Commission. The forward-looking statements contained herein speak only as of the date of this press release. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statement to reflect any change in the Company's expectations or any change in events, conditions or circumstances on which any such statement is based.