Active Energy Group PLC (AIM:AEG, OTCID:AEUSF) shares were up 11% on Monday, to 0.11p, after the firm told investors that its Ghummud site in the UAE has been fully energised ahead of schedule, potentially pulling forward revenue as the company pushes to build out a digital infrastructure platform around acquired grid connections.
The AIM-listed group said modular digital infrastructure deployment is already underway at the site and that operations are now expected to begin materially sooner than the previously indicated 10-12 week timeline.
Management said the milestone backs its strategy of buying existing grid connections rather than waiting on new-build developments, a model it says cuts execution risk, lowers capital intensity and speeds time to market.
"Early energisation at Ghummud is a clear proof point of our strategy in action," said chief executive Paul Elliot.
"By focusing on acquiring ready-to-deploy grid connections, we are materially reducing time to revenue and capital intensity, while accelerating our path to scale."
The company also said it expects to complete its previously announced Kazna transaction by the end of April. Given the preparatory work already completed, Active Energy said Kazna should also move to energisation on an accelerated basis.
Together, the Ghummud and Kazna sites are expected to provide about 5.5 MVA of available capacity.
At steady state, those two sites are expected to generate around US$2.6 million in annual revenue and about US$1.2 million in annual free cash flow, subject to market conditions, asset utilisation and operating performance.
Active Energy said the initial base supports its broader scaling plan from 5.5MVA to 15MVA and ultimately toward a 100MW target. It has also identified two additional grid connection opportunities and started early due diligence and commercial negotiations.