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Released April 24, 2024 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--Plug Power Incorporated (NASDAQ:PLUG) (Latham, New York) said Tuesday two of its hydrogen plants in Georga and Tennessee reached nameplate capacity, while the company expects construction of a joint-venture hydrogen plant in Louisiana will reach mechanical completion later this year.
Plug Power's project activity includes Power-to-X projects, which are aimed at producing hydrogen utilizing electrolyzers powered by renewable energy, including those that make hydrogen from water (liquid "green" hydrogen).
Plug Power's green hydrogen plant in Kingsland, Georgia reached 15 tons per day (TPD) of liquid hydrogen production, and its plant in Charleston, Tennessee has been running at 15 TPD since the beginning of April, the company said in a press release.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Chemical Processing Project and Plant databases can click here for the related project reports and here for the plant profiles.
The company's other hydrogen-production projects include its joint venture with Olin Corporation (NYSE:OLN) (Clayton, Missouri) in Saint Gabriel, Louisiana. Plug Power said it expects the project will add 15 TPD to its North American network by the end of the third quarter, resulting in a total 40 TPD of internal production capacity. Subscribers can click here to read the project report.
"Plug is doing substantial work on other U.S.-based plants and is actively engaged with key strategic suppliers to facilitate the expansion of its green hydrogen network and to achieve cost-effectiveness in green hydrogen production at scale," the company said in the press release.
One project aimed at expanding its hydrogen production is a $600 million green hydrogen plant in Alabama, New York. Plug Power and Chart Industries Incorporated (NYSE:GTLS) (Atlanta, Georgia), which provides engineered equipment to the clean-energy and industrial-gas markets, are more than two years into construction. The plant is expected to produce up to 80 TPD when completed in 2025. Click here to read the detailed project report.
In addition, Plug is developing an expansion of its Georgia plant, which would bring the plant's production capacity to 30 TPD. Industrial Info's researchers have assessed the project with a medium probability (70-80%) of kicking off in November and wrapping up a year later. Click here for the project report.
Another proposed green hydrogen-production project, albeit with a low probability (0-69%) of moving forward, is a grassroot plant in Graham, Texas. The project is in its permitting phase. Click here for the project report.
On the company's March conference call reporting financial results for the fourth quarter and full-year 2023, Sanjay Shrestha, chief strategy officer of Plug Power, talked about the project favorably: "The one [project] we're really very much focused on right now is our project in Texas." He said the company believes it will receive the U.S. Department of Energy's (DOE) NEPA (National Environmental Policy Act) approval in the second quarter, "certainly by the end of Q2."
He added the Texas project could be aided by a loan guarantee program with the DOE, which provides up to $1.6 million to build up to six hydrogen-production facilities, although the loan is not yet finalized. The loan can fund up to 80% of a project's costs.
But in the most recent earnings call, Chief Executive Officer Andy Marsh said the company is "operationally" not dependent on the loan for 2024. Plug already has invested in the project, but Marsh said, "because we've already made significant investments in Texas, we see opportunities to even have some capital come in from the DOE to support that activity."
Despite the progress made on the project, Plug Power plans to lower its capital expenditures (capex) for 2024. In the call, Chief Financial Officer Paul Middleton said: "Our near-term capital strategy is very focused: drive significant improvement in the cash burn by reducing capex, reducing inventory investment, improving margins, and tempering new platform spending; work with the DOE to secure the DOE $1.6 billion project financing facility while developing complementary follow-on project financing solutions," among other efforts.
At the same time, Plug has noted its financial stability is on the upswing, although the company has yet to reach profitability. In the earnings-related press release, the company said "there is no longer substantial doubt of the company's ability to continue as a going concern, demonstrating the company's financial foundation and commitment to sustainable operations and growth. The company has determined it has sufficient cash on hand coupled with available liquidity to fund its ongoing operations for the foreseeable future."
That is reflected in record revenue of $891 million for 2023, representing a 27% growth over 2022. "This revenue growth stems from the successful execution of our business strategies in the renewable energy market and our ongoing dedication to innovation and market expansion," the company said.
Subscribers to Industrial Info's GMI Database can click here for a full list of detailed reports for projects mentioned in this article, and click here for a full list of related plant profiles.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 Trillion (USD).
Plug Power's project activity includes Power-to-X projects, which are aimed at producing hydrogen utilizing electrolyzers powered by renewable energy, including those that make hydrogen from water (liquid "green" hydrogen).
Plug Power's green hydrogen plant in Kingsland, Georgia reached 15 tons per day (TPD) of liquid hydrogen production, and its plant in Charleston, Tennessee has been running at 15 TPD since the beginning of April, the company said in a press release.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Chemical Processing Project and Plant databases can click here for the related project reports and here for the plant profiles.
The company's other hydrogen-production projects include its joint venture with Olin Corporation (NYSE:OLN) (Clayton, Missouri) in Saint Gabriel, Louisiana. Plug Power said it expects the project will add 15 TPD to its North American network by the end of the third quarter, resulting in a total 40 TPD of internal production capacity. Subscribers can click here to read the project report.
"Plug is doing substantial work on other U.S.-based plants and is actively engaged with key strategic suppliers to facilitate the expansion of its green hydrogen network and to achieve cost-effectiveness in green hydrogen production at scale," the company said in the press release.
One project aimed at expanding its hydrogen production is a $600 million green hydrogen plant in Alabama, New York. Plug Power and Chart Industries Incorporated (NYSE:GTLS) (Atlanta, Georgia), which provides engineered equipment to the clean-energy and industrial-gas markets, are more than two years into construction. The plant is expected to produce up to 80 TPD when completed in 2025. Click here to read the detailed project report.
In addition, Plug is developing an expansion of its Georgia plant, which would bring the plant's production capacity to 30 TPD. Industrial Info's researchers have assessed the project with a medium probability (70-80%) of kicking off in November and wrapping up a year later. Click here for the project report.
Another proposed green hydrogen-production project, albeit with a low probability (0-69%) of moving forward, is a grassroot plant in Graham, Texas. The project is in its permitting phase. Click here for the project report.
On the company's March conference call reporting financial results for the fourth quarter and full-year 2023, Sanjay Shrestha, chief strategy officer of Plug Power, talked about the project favorably: "The one [project] we're really very much focused on right now is our project in Texas." He said the company believes it will receive the U.S. Department of Energy's (DOE) NEPA (National Environmental Policy Act) approval in the second quarter, "certainly by the end of Q2."
He added the Texas project could be aided by a loan guarantee program with the DOE, which provides up to $1.6 million to build up to six hydrogen-production facilities, although the loan is not yet finalized. The loan can fund up to 80% of a project's costs.
But in the most recent earnings call, Chief Executive Officer Andy Marsh said the company is "operationally" not dependent on the loan for 2024. Plug already has invested in the project, but Marsh said, "because we've already made significant investments in Texas, we see opportunities to even have some capital come in from the DOE to support that activity."
Despite the progress made on the project, Plug Power plans to lower its capital expenditures (capex) for 2024. In the call, Chief Financial Officer Paul Middleton said: "Our near-term capital strategy is very focused: drive significant improvement in the cash burn by reducing capex, reducing inventory investment, improving margins, and tempering new platform spending; work with the DOE to secure the DOE $1.6 billion project financing facility while developing complementary follow-on project financing solutions," among other efforts.
At the same time, Plug has noted its financial stability is on the upswing, although the company has yet to reach profitability. In the earnings-related press release, the company said "there is no longer substantial doubt of the company's ability to continue as a going concern, demonstrating the company's financial foundation and commitment to sustainable operations and growth. The company has determined it has sufficient cash on hand coupled with available liquidity to fund its ongoing operations for the foreseeable future."
That is reflected in record revenue of $891 million for 2023, representing a 27% growth over 2022. "This revenue growth stems from the successful execution of our business strategies in the renewable energy market and our ongoing dedication to innovation and market expansion," the company said.
Subscribers to Industrial Info's GMI Database can click here for a full list of detailed reports for projects mentioned in this article, and click here for a full list of related plant profiles.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 Trillion (USD).
