Orbital Power Services Signs MSA with Midwestern Investor-Owned Utility; Expected to Increase Forward Revenues by 30%
HOUSTON, Dec. 2, 2020 /PRNewswire/ -- Orbital Energy Group, Inc. (NASDAQ: OEG) announced today that its wholly-owned transmission & distribution ("T&D") division, Orbital Power Services ("Orbital" or the "Company"), has signed a Master Services Agreement ("the Agreement" or "MSA") with a midwestern investor-owned utility. The MSA is expected to generate significant recurring monthly revenues beginning in the fourth quarter of 2020 and increase the T&D division's revenues by approximately 30% on an annualized basis.
The Agreement aligns with Orbital's long-term strategy to create a full-service energy infrastructure provider by enabling Orbital to deliver distribution services and personnel to this midwestern utility. As part of the selection process, the customer considered Orbital Power Services' technical and support capabilities, along with its proven safety record in providing electric infrastructure services.
Nicholas Clough, Orbital Energy Group's Operations Director, stated, "This MSA, together with our other growth initiatives, evidences the rationale in creating a new T&D division earlier this year. We are very pleased Orbital is being included in this utility's long-term development and maintenance plans. We are well positioned to meet and exceed this customer's expectations as well as leverage this relationship to further grow Orbital Power Services."
"Being awarded this MSA by a well-respected midwestern utility demonstrates the value of our power services subsidiary and showcases Orbital's ability to provide an efficient, broad scope of energy infrastructure services," said Jim O'Neil, Orbital Energy Group's Vice-Chairman & CEO. "Orbital Power Services has consistently demonstrated its excellence and technical know-how in this sector. Our track record of achievement, safety, and best-in-class service has enabled us to develop these relationships. We are looking forward to enhancing our partnerships and our presence in the T&D marketplace in 2020 and beyond."
About Orbital Energy Group
Orbital Energy Group, Inc. (Nasdaq: OEG), formerly known as CUI Global, Inc., is creating a diversified energy services platform through the acquisition and development of innovative companies. Orbital Energy's group of businesses includes: Orbital Gas Systems, Inc., Orbital Power Services and Orbital Solar Services. Orbital Gas Systems is a 30-year leader in innovative gas solutions, serving the energy, power and processing markets through the design, installation and commissioning of industrial gas sampling, measurement and delivery systems. Orbital Power Services provides engineering, construction, maintenance and emergency response solutions to the power, utilities and midstream markets. Orbital Solar Services provides engineering, procurement and construction ("EPC") expertise in the renewable energy industry and established relationships with solar developers and panel manufacturers in the utility scale solar market. As a publicly traded company, Orbital Energy is dedicated to maximizing shareholder value. But most important, our commitment to conduct business with a high level of integrity, respect, and philanthropic dedication allows the organization to make a difference in the lives of their customers, employees, investors and global community.
For more information please visit: www.orbitalenergygroup.com
Important Cautions Regarding Forward Looking Statements
This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements are subject to risks and uncertainties that could cause actual results to vary materially from those projected in the forward-looking statements. The Company may experience significant fluctuations in future operating results due to a number of economic, competitive, and other factors, including, among other things, our reliance on third-party manufacturers and suppliers, government agency budgetary and political constraints, new or increased competition, changes in market demand, and the performance or reliability of our products. These factors and others could cause operating results to vary significantly from those in prior periods, and those projected in forward-looking statements. Additional information regarding these and other factors, which could materially affect the Company and its operations, are included in certain forms the Company has filed with the Securities and Exchange Commission.
Investor Relations:
KCSA Strategic Communications
David Hanover
T: 212-896-1220
orbital@kcsa.com
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SOURCE Orbital Energy Group, Inc.
