This is an excerpt from EERE Network News, a weekly electronic newsletter.

December 18, 2002

Ocean Power Corporation Declares Chapter 11 Bankruptcy

Ocean Power Corporation, a U.S. company with a focus on Stirling heat engines, announced on December 10th that it has filed for Chapter 11 bankruptcy. Formed in 1992 to develop modular power plants and seawater desalination units, Ocean Power has since made a large number of acquisitions and business arrangements related to such varied advanced energy technologies as fuel cells, wind turbines, solar dish concentrators, and external combustion engines, also known as heat engines. The company aimed to produce integrated units that would generate both pure water and power.

In 2001, Ocean Power began working with EPRIsolutions, a subsidiary of the Electric Power Research Institute, to study a Stirling heat engine that would produce 3 kilowatts of electricity and 9 kilowatts of heat. In May 2002, the company announced an agreement with a private real estate management company for the sale of 10,000 such units, with delivery and installation planned for 2005. The announcement was covered in the May 29th edition of the EREN Network News.

In the December 10th announcement, Ocean Power noted that it has tried to stem severe cash flow shortages over the past year through workforce and overhead reductions. Prior to filing Chapter 11, the company terminated essentially all of its employees, and now intends to sell off all nearly all its assets. See the Ocean Power press releases.