WALTHAM, Mass., Jan. 17, 2013 /PRNewswire/ -- American DG Energy Inc. (NYSE MKT: ADGE), a leading On‑Site Utility, offering clean electricity, heat, hot water and cooling solutions to hospitality, healthcare, housing and athletic facilities, is now operating a 100kW combined heat and power (CHP) system with convenience back-up power at Prospect Park Residences in Brooklyn, NY. The revenue value of the agreement is $1.9 million over the fifteen-year term.
American DG Energy owns, operates and maintains the CHP system which is now producing space heat and domestic hot water at a discounted rate over that supplied by local utilities. The CHP system also has the unique ability to provide convenience back-up power at no additional cost to Prospect Park Residences.
CHP systems offer significant environmental benefits that provide cleaner energy. Typical electricity consumption generates a wasted heat by-product. This wasted heat is captured by the CHP system and converted into usable energy utilized as space heat and domestic hot water. Prospect Park Residences will reduce their carbon emissions by approximately 423 tons per year, or the equivalent of CO2 emissions removed by eliminating 88 vehicles per year from the roadways from the utilization of the CHP system.
When their old generator needed to be replaced, Prospect Park Residences was left without back-up power and they were seeking ways to pay for the replacement. American DG Energy's installation of a 100kW CHP system with convenience back-up power solved their need for an affordable solution with no capital outlay, and no installation or maintenance costs. Prospect Park Residences is a full service senior living community with a commitment to service with "Senior Care You Can Count On."
American DG Energy 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 and operating expenses are paid by American DG Energy.
About American DG Energy
American DG Energy supplies low-cost energy to its customers through distributed power generating systems. The Company is committed to providing institutional, commercial and small industrial facilities with clean, reliable power, cooling, heat and hot water at lower costs than charged by local utilities – without any capital or start-up costs to the energy user – through its On-Site Utility energy solutions. American DG Energy is headquartered in Waltham, Massachusetts. More information can be found at www.americandg.com.
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 American DG Energy Inc.