Enerflex spikes on 450 MW data center power contract

Investing.com -- Enerflex Ltd. (NYSE: EFXT) shares rose 11% in premarket trading Thursday after the company announced it won a contract to supply approximately 450 megawatts of natural gas-fired power generation units for a North American data center developer.

The company will design, engineer, fabricate, and assemble behind-the-meter power generation units through its North American manufacturing operations, with deliveries scheduled to begin in 2027 and conclude in 2028.

To support the project and anticipated growth, Enerflex said it is expanding its Engineered Systems business line. The company's 2026 capital expenditure guidance includes approximately $15 million in property, plant, equipment, and infrastructure investments for its ES business and electric power generation activities. Enerflex also authorized roughly $85 million in additional investments in its ES facilities and capabilities, with the majority expected to be spent during 2027.

Paul Mahoney, Enerflex's President and Chief Executive Officer, commented that the award "leverages Enerflex's unique capabilities in providing an integrated design, engineering, full scale fabrication, and project execution solution for behind-the-meter power generation projects."

Mahoney noted that demand for reliable, prime power that does not require grid connection to support artificial intelligence and digital infrastructure development continues to grow. He added that the company's opportunity pipeline continues to exceed 2 GW.

The contract also provides opportunities for future commissioning, installation, and after-market services support, including digital solutions through Enerflex's ReliaCore asset performance ecosystem.

Enerflex provides modular natural gas, power, and treated water technology solutions. The company employs approximately 4,500 engineers, manufacturers, technicians, and professionals across its global operations.

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