Agreement Includes Four California Projects Co-Located with Turbine Peaker Plants: Projects will Run FlexGen's Sophisticated Software, HybridOS 10.2

FlexGen Power Systems, Inc. ("FlexGen", or the "Company"), a leading battery energy storage solution and software technology provider, is announcing today that it has been selected to provide energy storage technology and software for 420MW of energy storage across four California sites to Middle River Power. The energy storage projects are collocated with existing simple cycle natural gas peaking plants, and the facilities will share interconnection facilities.

Collocating the natural gas peaking facilities with battery storage results in significant reductions in greenhouse gas emissions while maintaining reliable, flexible reserve capacity. The battery facilities will be used to store excess carbon-free power during the day and release it when it is most needed over the evening hours, which will make better use of these valuable renewable resources and provide important ancillary services to the market. In addition, the gas turbines will dispatch significantly less often than they do today, resulting in lower emissions, while remaining available to dispatch during extreme conditions.

"California has been a global leader in driving the clean energy transition, and this group of innovative projects is another important milestone towards providing the state with a reliable grid built on a foundation of clean energy. We're proud to be partnering with Middle River Power to deliver increased grid reliability and service to California residents and businesses," said Kelcy Pegler, CEO of FlexGen. "Energy storage is critical to the future of the grid, and FlexGen has spent the last decade honing our capabilities to deliver critical energy storage assets to our partners."

"We're thrilled to work with FlexGen to bring these innovative projects to fruition, integrating additional renewable energy while enhancing a resilient grid. The energy storage assets store plentiful solar energy in the middle of the day then deploy that energy to the grid during evening peak hours, while maintaining our natural gas facilities as a flexible, reliable backstop" said Mark Kubow, President of Middle River Power. "We are excited to introduce our first tranche of projects that takes such a meaningful step in helping California in the transition to more renewable resources."

FlexGen is dedicated to providing best-in-class service and performance for its customers, seeking to ensure safety, reliability, and resiliency in all operating environments. FlexGen's industry-leading HybridOS energy management system platform delivers the full stack of energy storage value, including ancillary services, capacity, and energy market trading. The Middle River Power projects build on FlexGen's rapidly growing fleet of energy storage assets operating throughout the United States with Investor Owned Utilities, Municipal and Cooperative Utilities, and Independent Power Producers.

About FlexGen Power Systems, Inc.
Based in Durham, N.C., FlexGen is a leading integration services and software technology provider for energy storage solutions in the United States and globally. FlexGen designs and integrates storage solutions and the software platform that is enabling today's energy transition. Leveraging its best-in-class energy management software and power electronics, FlexGen delivers utility-scale storage projects integrated with traditional and renewable power generation globally. Our clients and partners include the most technically and commercially demanding developers, utilities, government agencies and industrial companies in the world. To learn more, please visit www.flexgen.com.

About Middle River Power
As part of its initiatives in the power sector, Avenue Capital established a wholly-owned independent power company, Middle River Power, LLC ("MRP"), in 2016 to operate, manage and develop the more than 3,000 MW that Avenue has acquired and developed through its managed investment funds. Based in Chicago, MRP is led by a team of professionals in the power sector with extensive experience in managing, developing and optimizing power assets in the US. With a dedicated development team, MRP has been able to lead the commercial development and execution of utility grid-scale solar plus storage and standalone storage development assets in California.

https://www.middleriverpower.com/