Net Power Executes Contract for Additional 123 MW Capacity

Net Power Inc. has finalized an agreement to acquire 123 megawatts of additional generation hardware for its Project Permian development in West Texas. According to Rigzone, this acquisition, which involved a $20 million deposit, allows the Houston-based firm to increase the first phase capacity of the site to nearly 200 megawatts. The company also reached a cost-sharing deal with a potential client to cover expenses related to obtaining these new units.

The transaction follows a strategic shift for the developer, which has prioritized traditional natural gas generation over its proprietary emission-capture technology. Chief executive Danny Rice noted that the new agreements offer a way to provide energy to the market more quickly while maintaining financial safeguards. Rice stated that this approach serves as a "template we hope to replicate" to secure further capacity during the early stages of the project.

Despite the equipment expansion, the company has updated its timeline for the Texas facility. Previous goals to reach a final investment decision within the current year have been abandoned, and no specific date for the start of operations has been established. At the close of the second quarter, Net Power reported a cash balance of $117.93 million against total current assets exceeding $312 million.