CALGARY, ALBERTA--(Marketwire - Aug. 30, 2012) - Sustainable Energy Technology Ltd. (TSX VENTURE:STG) ("Sustainable Energy" or "the Company"), a designer and manufacturer of advanced power electronics for grid-connected and off-grid on-site electrical generation and storage systems, provides shareholder update and files its Consolidated Financial Statements for the Nine Months ending June 30, 2012 along with Management's Discussion and Analysis.
Michael Carten, Chief Executive Officer of Sustainable Energy, stated, "During 2012 we have continued to focus resources on building strategic global relationships with leaders in the solar industry by leveraging our core technology advantages to drive higher longer term volumes. Our partnership with tenKsolar, which enables the high performance RAISWave system, is already bringing positive results. We are building similar relationships in other high growth generation and storage verticals with the ultimate goal of positioning ourselves as a technology driven high growth company in the clean energy sector."
Sustainable Energy is executing a strategy that targets technology driven global partnerships which enable diversification into high growth generation and storage verticals which can be served with the same power inverter platform. The Company is moving towards an original equipment manufacturing ("OEM") model where Sustainable Energy suppliers the PARALEX inverter or the core electronics circuits as part of an integrated product solution distributed by its customer.
The Company's high efficiency low voltage PARALEX inverter is a key component and critical enabler of the tenKsolar RAISWave system which is being marketed globally by tenKsolar and Korean Hanwha one of the world's largest solar power companies under a recently announced strategic partnership between the two companies. During Q3, tenKsolar contracted the Company to certify its PARALEX inverter for the Japanese market, which is expected to see 3 GW to 5GW in demand in 2013, putting it ahead of Germany and second only to China in new installations.
In energy short European markets, and in Japan, on-site energy storage is emerging as a major market for the high efficiency low voltage PARALEX platform to manage new low voltage battery technologies being developed for this sector. The Company is exploring partnerships with leading system integrators which would integrate the PARALEX platform into their energy management systems under development. Market feedback is that the Sustainable Energy's technology is unique and offers efficiency gains of 5% - 12% over conventional power electronics as well as cost and design simplicity gains.
Sustainable Energy is targeting an OEM strategy with these integrators for residential and small commercial systems in Germany, Japan and California. Industry analysts are forecasting approximately 8.2 Gigawatts of demand in the segment targeted by Sustainable Energy over the next 4 years. Assuming a $0.30/watt average selling price over this period this represents a $2.46B addressable market for the PARALEX inverter platform.
The PARALEX enabled parallel design and the low tech serviceability of the PARALEX inverter also combine to enable a unique solar PV product offering for rural and remote markets which can be factory assembled shipped and installed without specialized engineering or installation. Sustainable Energy's ProFab Solar has just begun shipping factory assembled systems for rural and agricultural ground mount projects in Ontario. Effective July 12, 2012, the Ontario Power Authority announced that it would begin issuing feed in tariff contracts totaling 50MW for solar power systems below 10kW. ProFab Solar is also seeing demand for the factory assembled system in other markets, and by year end, the Company expects to add energy storage for back-up power for rural markets and base load power for remote industrial applications
Revenues for the nine months ended June 30, 2012 totaled $2,414,628 compared to $2,866,460 for the nine months in 2011, a decrease of 16%. Reduced revenues in the Quarter were attributable to finished product shipping delays from our contract manufacturer in Guelph. Delayed deliveries have been shipped and deferred revenues will be recognized in the current Quarter. The Company continues to cut operating costs and improve cash utilization without impacting operational integrity. Operating costs are now 58% of the previous year's levels and cash used in operations year-to-date is 82% less than the similar year ago period.
The Consolidated Financial Statements and the Management Discussion and Analysis thereof are available on SEDAR at www.sedar.com and on the Company's website at www.sustainableenergy.com.
About Sustainable Energy:
Sustainable Energy (www.SustainableEnergy.com) designs and manufactures intelligent power inverters for a wide range of distributed generation and storage technologies. The inverters incorporate patented breakthrough technologies which enable the highest efficiency conversion of low voltage direct current inputs in the industry.
A single standard low cost electronics platform supports the solar industry's only industry standard inverter enabling the higher yields and installation flexibility, the solar industry's only industry standard inverter enabling the safety of extra low operating voltages and the industry's highest bi-directional power conversion efficiencies for grid tied energy storage and fuel cells.
Approximately 20MW of 1st and 2nd generation PARALEX inverters have been installed in 7 different countries.
Forward Looking Information
The reader is advised that some of the information herein may constitute forward-looking statements within the meaning assigned by National Instruments 51-102 and other relevant securities legislation. In particular, it includes: statements concerning the impact of Sustainables' technology on solar PV system performance; on energy stoate system performance; on its role as an enabler of pre-assembled solar PV systems; statements concerning market outlooks; and statements concerning the potential for sales revenues. While management believes these statements to be accurate they are dependent on a wide range of factors beyond management's control and should not be viewed as a guarantee of the specific outcome. Forward-looking information is not a guarantee of future performance and involves a number of risks and uncertainties.
Many factors could cause the Companies' actual results, performance or achievements, or future events or developments, to differ materially from those expressed or implied by the forward-looking information. Readers are cautioned not to place undue reliance on forward-looking information, which speaks only as of the date hereof. The Companies do not undertake any obligation to release publicly any revisions to forward- looking information contained herein to reflect events or circumstances that occur after the date hereof or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.