Ocean Power Technologies, Inc. (NASDAQ:OPTT) Q2 2020 Earnings Conference Call - Preliminary Transcript
Dec 10, 2019 • 11:00 am ET
George H. Kirby
with Enel Green Power,the renewable generation arm of the large Italian utility company Enel, one of the contracts is our first sale of a PB3 PowerBuoy along with mooring system and deployment of the coast of Chile. The second contract is for an Open Sea Lab, which enables EGP to collect environmental information, these contracts total nearly $2 million of revenue in this fiscal year. This is an exciting project for us, and we anticipate that the PowerBuoy will be
delivered in the spring 2020, we also announced that OPT's wellhead monitoring study was approved for operational use by the customer, a leading offshore oil and gas operator. The engineering design study results provided a comprehensive solution for monitoring deep water wells during decommissioning in the Gulf of Mexico using PowerBuoys, this represents the first phase of work with the next step being potential deployments in the Gulf of Mexico under the existing framework agreement. In August, we deployed a PB3 PowerBuoy in the Central North Sea for Premier Oil, the PowerBuoy has been providing remote,unmanned autonomous surveillance and monitoring services at their Huntington field offshore operations in extreme conditions with average wave heights approaching 20 feet.
Our PowerBuoy deployed in the Adriatic Sea for Eni recently marked a full year of continuous operation ,in late October our technology was introduced to Italian Prime Minister Giuseppe Conte, who was on site at his office in (inaudible) Italy, learning how the PB3 PowerBuoy fits into Eni's global strategy of decarbonizing its oil and gas operations using our renewable technology, our business employees, some of the most innovative and engineers and technicians in the industry. In 2020, our team expects to release two new products, our hybrid PowerBuoy and our subsea battery solution. We believe that these two new products will expand our addressable markets, first by allowing us to provide more comprehensive solutions to our customers, using these new products which are highly complementary to the PB3 PowerBuoy and second, by allowing us to provide solutions for brand new market segments and in brand new geographies.
We've also expanded our commercial team in meaningful ways by the addition of sales and business development in Europe and North America. In November, we announced the addition of Mr. Jeffrey Wiener as our new Vice President of Global Sales, Jeff brings decades of sales leadership in commercializing power generation and energy storage systems and he is already making significant strides in reducing our sales cycle, as well as bringing new and innovative ways to market and price our products and services in order to pull forward potential customer orders. We expect that these changes and products, people and processes will accelerate our path to revenue ramp, while at the same time dramatically expanding our total addressable market. Now let me turn the call over to Matt to discuss financials. Matt?
Matthew T. Shafer
Thank you, George, and good morning everyone. We recorded revenues of $204,000 in the second quarter of fiscal year 2020 ended October 31,