Argan’s Wholly Owned Subsidiary, Gemma Power Systems, Secures Contract for 700 MW Power Plant

Argan, Inc. recently disclosed through a Form 8-K filing that its wholly owned subsidiary, Gemma Power Systems, has entered into a significant agreement. The contract involves providing engineering, procurement, and construction services and has received full notice to proceed from a customer for an approximately 700 MW combined-cycle natural gas-fired power plant within the United States.

This new contract is expected to bring substantial value to Argan, as the full amount of the contract value will be included in the Company’s project backlog for the quarter ending on January 31, 2025.

The filing did not provide specific financial details regarding the contract’s value or the identity of the customer. However, the announcement signifies a notable development for Argan and its operations.

Senior Vice President, Chief Financial Officer, and Treasurer, Joshua S. Baugher, signed the report on behalf of Argan, in accordance with the requirements of the Securities Exchange Act of 1934.

In conjunction with this news, zSpace Inc., a separate entity, disclosed an initial public offering (IPO) of 1,875,000 shares of its Common Stock at $5.00 per share, aiming to generate gross proceeds of around $9.4 million. This IPO, set to close on December 6, 2024, will begin trading on the Nasdaq Global Market under the ticker symbol “ZSPC.”

Roth Capital Partners, LLC and Northland Securities, Inc. are acting as joint book-running managers for the offering, with Barrington Research Associates, Inc. acting as co-manager. Legal counsel for zSpace is provided by Pryor Cashman LLP, while legal counsel for the underwriters is Pillsbury Winthrop Shaw Pittman.

This Form 8-K update demonstrates Argan’s commitment to expanding its projects and furthering its presence within the energy sector through its subsidiary, Gemma Power Systems. Argan continues to seek growth opportunities within the industry, with this latest contract serving as a notable step forward in its strategic initiatives.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Argan’s 8K filing here.

About Argan

Argan, Inc, through its subsidiaries, provides engineering, procurement, construction, commissioning, maintenance, project development, and technical consulting services to the power generation market. The company operates through Power Services, Industrial Services, and Telecom Services segments. The Power Services segment offers engineering, procurement, and construction, as well as designing, building, and commissioning of large-scale energy projects to the owners of alternative energy facilities, such as biomass plants, wind farms, and solar fields; and design, construction, project management, start-up, and operation services for projects with approximately 18 gigawatts of power-generating capacity.