Shares in Mast Energy Developments PLC (LSE:MAST) surged 53% after the gas-powered electricity generation company said its first refurbished Pyebridge generator set (genset) outperformed the market with 40% margin in its first month.
One of three 2.7 megawatts (MW) Jenbacher gensets began commercial operations on 1 July after being refurbished.
Almost £57,000 in revenue was generated in the first month of operation, including the initial ramp-up period.
This refurbished genset therefore made revenue per MW month of roughly £21,000, based on the average electricity sales price achieved per MWh sold of £98, compared to the average wholesale market price of £70 over the same period.
"Based on the refurbished geneset's maiden actual performance data for the month of July, there is a very clear indication that the overhaul was indeed successful, which paves the way and underpins the refurbishment of the Pyebridge site's other two gensets in sequence, as planned and previously announced," the company said.
Mast said it expects to apply Pyebridge into the balancing mechanism market, which is used by the National Grid electricity system operator to procure reserve daily capacity.
The company said its other sites at Hindlip (7.5MW), Bordesley (4.5MW) and Rochdale (4.5MW) are "construction-ready", subject to capex funding.
CEO Pieter Krügel hailed the £4 million funding from RiverFort earlier this year for having "enabled and fast-tracked the work programme at Pyebridge".
Mast Energy Developments PLC (LSE:MAST) has secured a funding agreement with RiverFort Global Capital for an initial facility of up to £4,000,000
Shares rose to 0.23p in early trading on Wednesday, continuing their recovery after falling to an all-time low of 0.12p last month.