Leisure Connection and EuroSite Power Team Up
On-Site Utility solution chosen for Dunstable Leisure Centre
WALTHAM, Mass., July 30, 2013 /PRNewswire/ -- EuroSite Power Inc., (OTCQB: EUSP) an On-Site Utility, offering clean electricity, heat, hot water and cooling solutions to hospitality, healthcare, housing and leisure centers in the United Kingdom (UK) and Europe, announced that it has signed a new contract with Leisure Connection to supply a combined heat and power (CHP) system to Dunstable Leisure Centre in Dunstable. The contract will provide a revenue value of approximately 1.75 million GBP ($2.7 million USD) over the term of the 15 year agreement.
Leisure Connection is one of the market leaders of leisure management, facilities management, cultural fitness and local authority client services in the UK. They operate over 70 health clubs nationwide; customers include many local authorities such as Central Bedfordshire Council who owns the facility at Dunstable as well as private health clubs and landmark facilities such as The National Centre for Disability Sport at Stoke Mandeville Stadium. The company also operates nine leisure clubs for the Radisson Hotel Chain.
Under the terms of the agreement signed with Leisure Connection, EuroSite Power will install and operate a CHP system at the Dunstable Leisure Centre. The new 100kW CHP system will generate approximately 1.62GWh of total energy per annum while saving up to 194 tonnes of CO2 each year. The addition of this agreement brings the total electrical capacity of systems currently on contract to 1,928kW with a combined contract value now exceeding 36.1 million GBP.
Richard Still, Finance Director of Leisure Connection said: "With EuroSite Power's On-Site Utility, the club only pays for the energy used and avoids all capital, installation, operating and maintenance costs of the CHP system. In addition, the energy produced is priced lower than existing and future utility costs providing immediate and on-going cost savings to the operation. With the operation of an On-Site Utility, the club is now also contributing to the quality of the environment with their reduction in carbon emissions."
CHP systems are a cleaner energy option, offering considerable environmental benefits when compared with electricity from the grid and conventional boiler systems. Recognized as a low carbon technology the system will reduce the club's CO2 emissions which, in turn reduces the impact of taxes such as the Climate Change Levy and CRC Energy Efficiency Scheme.
Paul Hamblyn, Managing Director of EuroSite Power said: "Leisure Connection is a major leisure management operator in the UK market and I'm delighted to add them to our growing list of customers enjoying the benefits of an On-Site Utility solution. The potential to deploy similar CHP systems within Leisure Connection's portfolio is clear and so we will be working with the client to establish which other sites can also benefit from a solution. Additional sites already are being reviewed under the initial contract phase, to be implemented within 2013."
EuroSite Power sells the energy produced from an onsite energy system to an individual property as an alternative to the outright sale of energy equipment. On-Site Utility customers only pay for the energy produced by the system and receive a guaranteed discount rate on the price of the energy. All system capital, installation, operating expenses and support are paid by EuroSite Power.
About EuroSite Power
EuroSite Power Limited is a subsidiary of American DG Energy Inc. (NYSE MKT: ADGE). The Company provides institutional, commercial and small industrial facilities with clean, reliable power, cooling, heat and hot water at lower costs than charged by conventional energy suppliers – without any capital or start-up costs to the energy user. EuroSite Power is based in Ealing, West London.
More information can be found at www.eurositepower.co.uk.
This press release contains forward-looking statements under the Private Securities Litigation Reform Act of 1995 that involve a number of risks and uncertainties. Important factors could cause actual results to differ materially from those indicated by such forward-looking statements, as disclosed on the Company's website and in Securities and Exchange Commission filings. This press release does not constitute an offer to buy or sell securities by the Company, its subsidiaries or any associated party and is meant purely for informational purposes. The statements in this press release are made as of the date of this press release, even if subsequently made available by the Company on its website or otherwise. The Company does not assume any obligation to update the forward-looking statements provided to reflect events that occur or circumstances that exist after the date on which they were made.
SOURCE EuroSite Power Inc.
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