Industrial Customer Invests in Energy Resilience and Efficiency with Combined Cooling, Heat, and Power (CCHP) System

Capstone Green Energy Holdings, Inc. (the "Company” or “Capstone”) (OTCID: CGEH) and Capstone Green Energy, LLC, announced a new order for a natural gas-fueled Capstone C600 Signature Series microturbine to be installed at a packaging manufacturing facility in Mexico. The order was secured by DTC Machinery, Capstone’s exclusive distributor for Mexico, Belize, Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, and Panamá.

The customer is a well-established company with nearly four decades of experience in the production and marketing of polyethylene, polypropylene, and laminated films and packaging that serve the agricultural, industrial, and commercial sectors. The decision to invest in Capstone’s microturbine technology was driven by the desire to create a triple win strategy where self-generation will lower operational costs plus lower their carbon footprint and thus, complying with environmental regulations; the win in this self-generation strategy is to increase their overall energy reliability.

“Our vision is to be the first choice when energy matters, and this project aligns so well with that vision. This customer had many other options to accomplish this critical self-generation CHP strategy, and they chose Capstone,” said Vince Canino, President and CEO of Capstone Green Energy. “By delivering resilient, low-emission power alongside meaningful sustainability benefits, we’re helping this manufacturer lower costs, boost reliability, and meet environmental requirements, all in a single, integrated solution which contributes to the circular economy by recycling our microturbine’s waste heat into a dry heating application plus chilled water. This is what we call tri-generation – the ultimate utilization of a fuel source.”

Scheduled for commissioning this summer, the Capstone C600S system will operate in a grid-connected combined cooling, heat, and power (CCHP) configuration. It will produce clean, reliable electricity while simultaneously utilizing the microturbine waste heat for the facility’s drying ovens. This not only significantly increases overall energy efficiency of the facility by displacing the energy used by the drying ovens, but also improves the company’s sustainability metrics.

“The clean exhaust produced by the Capstone microturbine is ideally suited for the drying process, thanks to its consistent temperature, high mass flow and air quality,” said Alejandro Munoz Barba, Principal for DTC Machinery. “The added benefit of on-site electricity generation further enhances the facility’s operational efficiency profile all while driving world class energy savings.”

Capstone’s low-emission, low-maintenance microturbine systems are trusted worldwide in industrial manufacturing applications. Their modular design, high reliability, and compact footprint make them an ideal choice for facilities seeking to optimize performance while reducing environmental impact.

About Capstone Green Energy

For nearly four decades, Capstone Green Energy has been a leader in clean technology, pioneering the use of microturbines to revolutionize how businesses manage their energy needs sustainably. In collaboration with our global network of dedicated distributors, we have shipped over 10,600 units to 88 countries, helping customers significantly reduce their carbon footprints through high-efficiency, on-site energy systems and microgrid solutions.

Our commitment to a cleaner, more resilient energy future remains steadfast. Today, we offer a comprehensive range of microturbine products, from 65kW systems to multi-megawatt solutions, tailored to meet the specific needs of commercial, industrial, and utility-scale customers. In addition to our core microturbine technology, Capstone’s growing portfolio includes flexible Energy-as-a-Service (EaaS) offerings, such as build-own & transfer models, PPA’s, lease to own and rental solutions, are designed to provide maximum value and energy security.

Capstone’s fast, turnkey power rental solutions are designed for customers with limited capital budgets or short-term energy needs. For more information, please contact us at rentals@CGRNenergy.com.

In our pursuit of cutting-edge energy solutions, Capstone has forged strategic partnerships to expand our impact and capabilities. Through these collaborations, we proudly offer advanced technologies that leverage renewable gas and heat recovery solutions—further enhancing the sustainability, efficiency, and reliability of our clients' operations. These integrated offerings reflect our commitment to building a cleaner, more responsible energy future.

For more information about the Company, please visit www.CapstoneGreenEnergy.com. Follow Capstone Green Energy on Twitter, LinkedIn, Instagram, Facebook, and YouTube.

Cautionary Notes

This release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. The Company has tried to identify these forward-looking statements by using words such as “expect,” “anticipate,” “believe,” “could,” “should,” “estimate,” “intend,” “may,” “will,” “plan,” “goal” and similar terms and phrases, but such words, terms and phrases are not the exclusive means of identifying such statements. Actual results, performance and achievements could differ materially from those expressed in, or implied by, these forward-looking statements due to a variety of risks, uncertainties and other factors, including, but not limited to, the following: the Company’s liquidity position and ability to access capital; the Company’s ability to continue as a going concern; the Company’s ability to successfully remediate the remaining material weakness in internal control over financial reporting; the Company’s ability to realize the anticipated benefits of its financial restructuring; the Company’s ability to comply with the restrictions imposed by covenants contained in the exit financing and the new subsidiary limited liability company agreement; the uncertainty associated with the imposition of tariffs and trade barriers and changes in trade policies; employee attrition and the Company’s ability to retain senior management and other key personnel; the Company's ability to develop new products and enhance existing products; product quality issues, including the adequacy of reserves therefor and warranty cost exposure; intense competition; financial performance of the oil and natural gas industry and other general business, industry and economic conditions; and the impact of litigation and regulatory proceedings. For a detailed discussion of factors that could affect the Company’s future operating results, please see the Company’s filings with the Securities and Exchange Commission, including the risk factors contained in our most recent Annual Report on Form 10-K. Except as expressly required by the federal securities laws, the Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, changed circumstances or future events or for any other reason.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250718901002/en/

“The clean exhaust produced by the Capstone microturbine is ideally suited for the drying process, thanks to its consistent temperature, high mass flow and air quality,” said Alejandro Munoz Barba, Principal for DTC Machinery.