Continuing increase in power generation from San Jacinto geothermal plant
Polaris Infrastructure Inc. reports a strong increase of revenues due to higher average production at its San Jacinto geothermal power plant in Nicaragua, also pushing quarterly revenues 27% over the sam period last year.
In its report on first quarter results for 2019, Polaris Infrastructure reports strong power generation of its San Jacinto geothermal power plant in Nicaragua and strong cash flow generation.
Strong power generation
The San Jacinto project generated 139 GWh (net) (an average of 64.3 MW (net)), resulting in revenue of $18.6 million for the three months ended March 31, 2019, versus revenue of $14.7 million on generation of 116 GWh (net) (an average of 53.9 MW (net)) in the prior year period. The 27% revenue increase was due to higher average production in the first quarter of 2019, the impact of the 3% annual tariff increase and a $0.4 million contribution from Canchayllo. The 5 MW capacity Canchayllo facility, a run-of-river hydro power unit produced total net 8.86 MWh for the quarter.
Strong cash flow generation
The Company generated Adjusted EBITDA (a non-GAAP measure) of $15.9 million in the three months ended March 31, 2019, a 30% increase from the prior year period, reflecting revenue growth with ongoing control of costs. See Use of Non-GAAP Measures section below for reconciliation of Adjusted EBITDA to Total income (loss) and comprehensive income (loss).
Continued construction progress in Peru
The Company continues to execute on its build-out and completion of the El Carmen and 8 de Agosto (hydropower) projects acquired October 30, 2018. Progress continues towards a COD of October 30, 2019 with ongoing progress involving tunnel, transmission line easement & installation, forced penstock, powerhouse, access road and valves chamber completion. Both projects are currently at approximately total 80% completion.
Successful conclusion of annual turbine maintenance
Comprehensive preventative maintenance was completed on the Unit 4 turbine at the San Jacinto project over the course of approximately two and a half weeks in April 2019. This exercise was completed on schedule and on budget and leaves the Company well-positioned for consistent turbine performance throughout the balance of fiscal 2019, given that the Unit 3 turbine was serviced in early 2018.
Source: Company release via PublicNow