A major oil and gas company in California has signed a long-term service contract with Capstone Turbine Corp. for its 2-megawatt microturbines.

The Van Nuys company said the factory protection plan, which lasts for 10 years, was signed through Cal Microturbine, its exclusive distributor in the state, plus Idaho, Oregon and Washington.

Capstone Chief Executive Darren Jamison said the latest contract brings the factory protection plan coverage to 248 megawatts, a new record for the company.

“The continuing conversion of oil and gas customers to the Capstone factory protection plan is driving our aftermarket business to new highs,” Jamison said in a statement.

Due to California’s strict air quality regulations, the unnamed oil and gas company is not allowed to flare its waste gas. This required the company to find an alternative in the Capstone C1000 microturbines, which use the waste gas to power the oil field.

Shares in Capstone (CPST) closed up a fraction of one cent, or less than 1 percent, to 52 cents on the Nasdaq.