Net Power Inc · Q3 2023 earnings

Briefing

NET Power reported results for the third quarter of 2023 and provided a business update.

NET Power made progress on its corporate strategy, including finalizing the design for a utility-scale plant and preparing for equipment demonstrations at its La Porte test facility. The company is experiencing supply chain challenges, leading to a 12-month delay in the expected schedule for Project Permian, now anticipated to achieve initial power generation between the second half of 2027 and the first half of 2028. They ended the quarter with approximately $645 million in cash and short-term investments and no debt.

• Continued site preparation and modifications at La Porte test facility ahead of multiple equipment testing campaigns with Baker Hughes
• Progressed Project Permian, the Company’s first Texas-based project located near Midland-Odessa
• FEED is expected to conclude in 2024 and will form the basis for NET Power’s standardized utility-scale plant design.
• Capitalized expenditures associated with ongoing development of Project Permian totaled $2.5 million in the third quarter of 2023.

Headline financials

Revenue & EPS history

Due to the tightness in the global supply chain, the company is incorporating a 12-month cushion into its expected schedule for Project Permian. We’re now expecting to achieve initial power generation sometime between the second half of 2027 and first half of 2028.