AMSC Announces $5M in D-VAR® System Orders for Renewable and Industrial Applications
DEVENS, Mass., Oct. 31, 2016 (GLOBE NEWSWIRE) -- AMSC (NASDAQ:AMSC), a global energy solutions provider serving wind and power grid industry leaders, today announced four new D-VAR® STATCOM system orders valued over $5 million. Three of the orders are in the Company's core markets of North America and the United Kingdom. The systems will be used to connect wind power plants to the electric grid as well as to provide voltage regulation that will respond dynamically to varying load conditions. The fourth order is an expansion of our scope of supply to the PQ-IVR® Power Quality system for a semiconductor fabrication plant in Asia. Revenue from these four D-VAR® orders is expected to be recognized in fiscal year 2016.
"With these orders, we are now expecting a third consecutive year of revenue growth from our D-VAR product line," said Daniel P. McGahn, President and CEO, AMSC. "As the need for dynamic voltage stability increases and grid codes continue to get redefined, such as FERC's order 827, which mandates all new wind and solar farms under its jurisdiction in the U.S. to have a defined level of dynamically variable reactive power capability, we are confident our D-VAR product is well suited to solve these challenges for our customers."
AMSC's D-VAR systems stabilize and regulate voltage and power factor on electric utilities' transmission and distribution networks. The system detects and rapidly compensates for voltage disturbances by injecting leading or lagging reactive power at key points on the electric grid. Each D-VAR product is tailored to meet specific customer requirements and accommodates changing grid conditions.
Customers utilize AMSC's D-VAR solutions to provide dynamic voltage control, power factor correction and post-contingency reactive compensation to stabilize the power grid and prevent undesirable events such as voltage collapse. D-VAR reactive compensation systems are classified as Static Compensators, or "STATCOMs," a member of the FACTS (Flexible AC-Transmission System) family of power electronic solutions for alternating current (AC) power grids. The D-VAR system is designed to be able to detect and instantaneously compensate for voltage disturbances by dynamically injecting leading or lagging reactive power into the power grid.
About AMSC (NASDAQ: AMSC)
AMSC generates the ideas, technologies and solutions that meet the world's demand for smarter, cleaner … better energy™. Through its Windtec™ Solutions, AMSC provides wind turbine electronic controls and systems, designs and engineering services that reduce the cost of wind energy. Through its Gridtec™ Solutions, AMSC provides the engineering planning services and advanced grid systems that optimize network reliability, efficiency and performance. The Company's solutions are now powering gigawatts of renewable energy globally and are enhancing the performance and reliability of power networks in more than a dozen countries. Founded in 1987, AMSC is headquartered near Boston, Massachusetts with operations in Asia, Australia, Europe and North America. For more information, please visit www.amsc.com.
AMSC, Windtec, Gridtec, and Smarter, Cleaner … Better Energy are trademarks or registered trademarks of American Superconductor Corporation. All other brand names, product names, trademarks, or service marks belong to their respective holders.
Statements in this press release that are not strictly historical in nature constitute "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. Such statements include, but are not limited to, statements regarding our expectation that revenue from these four D-VAR orders will be recognized in fiscal year 2016; our expectation that revenue recognized in fiscal year 2016 from these orders will result in a third consecutive year of revenue growth from our D-VAR product line; and the performance of our D-VAR systems. Such forward-looking statements represent our current expectations and are inherently uncertain. Actual results may differ materially from what we expect because of various risks and uncertainties, including the risks that revenue from these four D-VAR orders may not be recognized in fiscal year 2016; that we may not experience a third consecutive year of revenue growth from our D-VAR product line; and that our D-VAR systems may not perform as expected. These and the important factors discussed under the caption "Risk Factors" in Part 1. Item 1A of our Form 10-K for the fiscal year ended March 31, 2016, and our other reports filed with the SEC, among others, could cause actual results to differ materially from those indicated by forward-looking statements made herein and presented elsewhere by management from time to time. Any such forward-looking statements represent management's estimates as of the date of this press release. While we may elect to update such forward-looking statements at some point in the future, we disclaim any obligation to do so, even if subsequent events cause our views to change. These forward-looking statements should not be relied upon as representing our views as of any date subsequent to the date of this press release.
AMSC Contact: Brion D. Tanous CleanTech IR, Inc. Phone: 424-634-8592 Email: Brion.Tanous@amsc.com