Argan, Inc.’s Gemma Power Systems Secures EPC Contract for 1.2 GW Power Project in Texas

Argan, Inc. (“Argan” or the “Company”) announced today that its wholly owned subsidiary, Gemma Power Systems (“Gemma”), has entered into an engineering, procurement, and construction (“EPC”) contract with Sandow Lakes Energy Company, LLC (“SLEC”) for the development of a 1.2 GW ultra-efficient natural gas-fired power plant in Lee County, Texas. The plant, owned by a subsidiary of SLEC, will have the capacity to supply electricity to approximately 800,000 homes within the Electric Reliability Council of Texas (ERCOT). Construction is slated to begin this summer, with project completion expected in 2028.

Charles E. Collins, IV, Chief Executive Officer of Gemma, commented:

“We are excited to collaborate with SLEC on this significant project. The need for additional power generation capacity is more critical than ever to support growing demand and ensure grid reliability. Our team brings extensive expertise and a strong track record of execution, with a commitment to exceeding customer expectations and delivering successful outcomes.”

The combined-cycle power plant will incorporate two state-of-the-art Siemens Energy SGT6-9000HL gas turbines, known for their high efficiency, superior power output, and capability to operate on hydrogen with minimal modifications. These advanced turbines will contribute to grid stability while supporting long-term decarbonization efforts.

About Sandow Lakes Energy Company

Sandow Lakes Energy Company is focused on developing a 1,200-megawatt, ultra-efficient, natural gas-fired power plant on its property in Lee County, Texas. The project is part of a broader effort to revitalize the region’s economic landscape following industrial closures in 2018.

About Gemma Power Systems

Gemma, a wholly owned subsidiary of Argan, is a leading EPC services provider specializing in power generation projects. With a portfolio that includes more than 15 GW of installed capacity, Gemma delivers innovative solutions for natural gas, renewable energy, biomass, and environmental projects. For more information, visit www.gemmapower.com.

About Argan, Inc.

Argan, Inc. provides comprehensive construction and engineering services to the power generation and industrial sectors. Through its subsidiaries—Gemma Power Systems, Atlantic Projects Company, The Roberts Company, and SMC Infrastructure Solutions—Argan offers expertise in EPC contracting, plant maintenance, industrial fabrication, and telecommunications infrastructure development.