Caterpillar and Dealer Ring Power Sign International Power Project Agreement with APR Energy
PEORIA, Ill. / LONDON, U.K. - Caterpillar Inc. (NYSE: CAT), Cat dealer Ring Power and APR Energy plc ("APR" - LSE: APR), today announced they have signed an agreement to develop temporary power solutions globally to meet the needs of the growing international power projects (IPP) market, especially in the emerging markets.
The five-year agreement centers on APR working with Caterpillar, Ring Power and the Cat dealer network to originate and respond to temporary power plant opportunities. As part of the agreement, Caterpillar will supply mobile generator sets through Ring Power to APR Energy, including the new XQ2000 and XQ1475G power modules, designed specifically for the international power projects market. APR will benefit from an increased flow of temporary power plant opportunities and from clear visibility of an integrated supply line to fulfill on its diesel and gas engine requirements, and Caterpillar will benefit from an increased presence, on a global basis, in the IPP market.
"We are pleased to be working with Ring Power and APR Energy as we expand our growth in the international power projects business," said Bill Rohner, Caterpillar vice president with responsibility for electric power. "APR’s experience in temporary power solutions, Caterpillar’s engineering and product expertise and Ring Power’s rental experience will enable us to better serve our customers," continued Rohner.
By working with Caterpillar and Ring Power, APR continues to strengthen its position as one of the fastest growing providers in the IPP market. The extensive Cat dealer network will allow APR to benefit from a truly global network of parts availability and services provided by the 188 Cat dealers and 126,700 Cat dealer employees around the world. Along with parts and services support, APR’s cooperation with Caterpillar and its dealers will present new sales opportunities previously unfulfilled by either party.
"I have been doing business with Caterpillar for more than 20 years, and APR has used their power modules for its entire history. We know Caterpillar well and have great respect for them. This is an exciting win-win for all of us," said John Campion, CEO of APR. "With this agreement, we can work together to fulfill a far greater number of global power opportunities."
As part of the agreement, Cat dealer Ring Power will provide application, engineering, sales and product support to APR Energy.
"Our market leading product support and rental service capabilities enable us to deliver world-class energy solutions to our customers, and we look forward to continuing our long-standing relationship with APR Energy," said Randy Ringhaver, president of Ring Power.
A world-class manufacturer of diesel and natural gas engines and an industry leading provider of complete solutions for the electric power industry, Caterpillar pioneered the development of the mobile power module and has provided customers with power systems solutions for more than 70 years. To meet the needs of international power projects customers, Caterpillar released a new version of its successful XQ2000 power module utilizing the 3516B engine. This new diesel power module is capable of running both 50 and 60 Hz, which is ideal for a global power provider like APR. The new XQ1475G power module contains the world leading G3516E natural gas generator set.
For more than 85 years, Caterpillar Inc. has been making sustainable progress possible and driving positive change on every continent. With 2010 sales and revenues of $42.588 billion, Caterpillar is the world’s leading manufacturer of construction and mining equipment, diesel and natural gas engines, industrial gas turbines and diesel-electric locomotives. The company also is a leading services provider through Caterpillar Financial Services, Caterpillar Remanufacturing Services, Caterpillar Logistics Services and Progress Rail Services. More information is available at: http://www.caterpillar.com.
About Ring Power
Ring Power is the Central and Northeast Florida Cat dealer, headquartered in St. Augustine. Ring Power is comprised of eight divisions and has 50 years of experience in sales, rental, service and product support of Cat equipment. Ring Power has built a strong reputation in the industry with its’ superior product support capability for customer projects worldwide. Additional information about the Ring Power organization, its products and services can be found at www.ringpower.com.
About APR Energy
Based in Jacksonville, Florida, and quoted on the London Stock Exchange, APR is a fast growing, pure play fast track provider of large scale, temporary power solutions. It is focused on the rapidly growing power plant market in emerging markets, where the supply/demand imbalance is most acute, as well as event-led opportunities. APR designs, installs, operates and maintains turnkey power solutions, used for applications, including Peak shaving, Distributed generation, Supplemental power, Grid stability and support, Emergency generation and Industrial power generation. Its fleet is technologically advanced and is differentiated by its ability to provide dual fuel turbine generators as well as diesel and natural gas modules. For the two financial years to end December 2010, its revenue grew 235%. Revenue for August 2011 was up 93% over the same month the previous year. Additional information can be found at: www.aprenergy.com.