Plug Power Invited to Submit Part II Application for Proposed $520 million from DOE's Title XVII Loan Guarantee Program

Rhea-AI Summary

Plug Power Inc (NASDAQ: PLUG) has been invited to submit a Part II Application for a $520 million loan guarantee from the U.S. Department of Energy. This funding aims to support the company's green hydrogen initiative, which includes establishing a 500-ton hydrogen network by 2025. Upon approval, Plug Power plans to initiate production capabilities for liquid hydrogen at several locations, utilizing renewable energy sources. The project is anticipated to create numerous jobs and bolster the hydrogen economy across the United States.

Positive

• Invitation for a $520 million loan guarantee from the U.S. DOE supports Plug Power's green hydrogen initiative.
• Plans to build a 500-ton hydrogen network by 2025, enhancing production capabilities.
• Utilization of renewable energy in hydrogen production facilities promotes sustainability.
• Project expected to create 68 jobs at the planned production facility in Genesee County.

Negative

• None.

LATHAM, N.Y., April 08, 2021 (GLOBE NEWSWIRE) -- Plug Power Inc. (NASDAQ: PLUG), a leading provider of turnkey hydrogen solutions for the global green hydrogen economy, today announced that it has been invited to submit a Part II Application for a loan guarantee under the U.S. Department of Energy (DOE) Title XVII Loan Guarantee Program. The invitation for the Part II application is for a proposed $520 million loan guarantee from the DOE to support the use of green hydrogen to transform the materials handling, transportation, and industrial sectors in the United States. This is the first of several steps in the process to secure a conditional commitment and final loan agreement from the Department. Plug Power will work closely with the DOE to fulfill the requirements of Part II of the application process.

Plug Power is building a 500-ton green hydrogen network by 2025 and the loan DOE loan guarantee supports the first phase of the Company’s buildout. Upon receiving approval from the DOE Title XVII Loan Guarantee Program, Plug Power will utilize its electrolyzer, liquefaction and distribution technologies to deploy the first resilient network of zero-carbon hydrogen production facilities across the United States. The facilities will have a combined liquid hydrogen generation capacity of approximately 180 tons per day. Each plant will be co-located with solar photovoltaic, wind, and/or hydro-electric plants that will utilize zero-carbon renewable electricity. Plug Power is in the process of negotiating power purchase agreements with renewable energy suppliers.

“At Plug Power, we’ve prided ourselves on leading the charge for the green hydrogen economy in the United States and working closely with government partners along the way. We’ve proven the viability of our 10 year roadmap to be cost competitive with natural gas-derived “gray” hydrogen,” said Andy Marsh, CEO of Plug Power. “The first phase of the project attached to this loan guarantee will be anchored by existing customer agreements. Today, Plug Power customers are the largest consumers of hydrogen in the United States.”

U.S. Senator Charles E. Schumer said, “Securing this federal loan guarantee will be a win-win to supercharge Plug Power to new heights by making its planned 68-job hydrogen fuel production facility at the WNY STAMP site in Genesee County a reality while also creating the nation’s first U.S.-wide network of green hydrogen production facilities to produce carbon-free fuel-cell power. I’m glad the DOE has now given Plug Power the green light to pursue a federal loan guarantee.”

Congresswoman Cathy McMorris Rodgers added, “This project could enable Plug Power to meet its mission to contribute to cleaner transportation and logistics industries, as well as facilitate the anticipated rapid growth of the hydrogen economy in the United States. It would strengthen our country’s economic, environmental, and renewable zero carbon energy.”

Congressman Paul Tonko said, “Investing in clean hydrogen will be an essential component of building America’s clean next-generation economy. Projects like this one bring that future closer than ever, not just because they pave the way for cleaner, more efficient transportation systems but because they show what we can achieve when we put the resources of the U.S. Department of Energy into the hands of America’s greatest clean energy innovators and entrepreneurs—creating good jobs and building a cleaner, more competitive economy for all. I congratulate Plug Power on this important milestone and look forward to this project moving through the DOE process.”

“I have long extolled the benefits and potential of hydrogen power and am excited that Plug Power is leading the way in harnessing this innovative technology,” said Congressman Joe Morelle. “By leveraging their assets and expertise, we can not only achieve our goal of shrinking our carbon footprint, but we can also create high-quality jobs and strengthen our local economy. I’ve been proud to work alongside them and know that this investment would help pave the way for a cleaner, more sustainable future.”

About Plug Power

Plug Power is building the green hydrogen economy as the leading provider of comprehensive green hydrogen and fuel cell turnkey solutions. The Company’s innovative technology powers electric motors with hydrogen fuel cells amid an ongoing paradigm shift in the power, energy, and transportation industries to address climate change and energy security, while meeting sustainability goals. Plug Power created the first commercially viable market for hydrogen fuel cell technology. As a result, the Company has deployed over 40,000 fuel cell systems for e-mobility, more than anyone else in the world, and has become the largest buyer of liquid hydrogen, having built and operated a hydrogen highway across North America. Plug Power delivers a significant value proposition to end-customers, including meaningful environmental benefits, efficiency gains, fast fueling, and lower operational costs. Plug Power’s vertically-integrated GenKey solution ties together all critical elements to power, fuel, and provide service to customers such as Amazon, BMW, The Southern Company, Carrefour, and Walmart. The Company is now leveraging its know-how, modular product architecture and foundational customers to rapidly expand into other key markets including zero-emission on-road vehicles, robotics, and data centers. Learn more at www.plugpower.com.

Safe Harbor Statement
This communication contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that involve significant risks and uncertainties about Plug Power Inc.("PLUG"), including but not limited to statements about PLUG's expectations regarding its multi-year investment and growth , PLUG’s clean hydrogen technology and fuel cell solutions playing a critical role in achieving climate and decarbonization goals, deepening of relationships with key stakeholders, and acceleration of demand and adoption of hydrogen technology . You are cautioned that such statements should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of the times that, or by which, such performance or results will have been achieved. Such statements are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in these statements. For a further description of the risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of PLUG in general, see PLUG’s public filings with the Securities and Exchange Commission, including the “Risk Factors” section of PLUG’s Annual Report on Form 10-K for the year ended December 31, 2019 and Quarterly Reports on Form 10-Q for the quarters ended March 31, 2020, June 30, 2020 and September 30, 2020. Readers are cautioned not to place undue reliance on these forward-looking statements. The forward-looking statements are made as of the date hereof, and PLUG undertakes no obligation to update such statements as a result of new information.

SOURCE: PLUG POWER

Media Contact

Ian Martorana
The Bulleit Group
‪(415) 237-3681
plugpowerpr@bulleitgroup.com

FAQ

What is the significance of Plug Power's $520 million loan guarantee application?

The loan guarantee from the U.S. DOE will support Plug Power's initiative to establish a network for green hydrogen production, enhancing its operational capabilities.

When does Plug Power plan to build its hydrogen network?

Plug Power aims to build a 500-ton hydrogen network by the year 2025.

How will the loan guarantee affect Plug Power's operations?

The loan guarantee is expected to facilitate the construction of hydrogen production facilities that will utilize renewable energy sources, thereby boosting Plug Power's operations.

What are the expected job outcomes from Plug Power's new facility?

The project is expected to create 68 jobs at the hydrogen fuel production facility located in Genesee County.

How does Plug Power's project contribute to the green hydrogen economy?

The project aims to establish a nationwide network of green hydrogen production facilities, supporting cleaner transportation and logistics industries.