Pacific Energy switches on

On Tuesday, power generation company Pacific Energy Limited (ASX: PEA) announced it had won a contract to build, own and operate an 11MW power station for Altura Mining Limited (ASX: AJM). The company said that the new capacity on the project, along with several recent expansions had seen group contracted capacity exceed 278MW. We see potential for further material contract wins in the coming months and believe that the growth prospects for Pacific Energy are undervalued by the market. Shares in Pacific Energy closed up 6.0% for the week. We own Pacific Energy as a research-driven investment in WAM Capital and WAM Research.