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Released August 11, 2023 | sugar land
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Researched by Industrial Info Resources (Sugar Land, Texas)--On Wednesday, hydrogen ecosystem developer Plug Power Incorporated (NASDAQ:PLUG) (Latham, New York) provided an update on its strategic growth projects. Plug Power's major developments include Power-to-X projects--which produce green hydrogen--hydrogen fuel-cell systems, and the storage and delivery of green hydrogen. Industrial Info is tracking $2.6 billion worth of projects from Plug Power worldwide, including $1.2 billion worth in the U.S.
The company continues to ramp up production at its new green hydrogen plant in Kingsland, Georgia, with final commissioning activities underway to reach 17.5 tons per day (TPD) of production in the third quarter. Subscribers to Industrial Info's Global Market Intelligence (GMI) Chemical Processing project and plant databases can click here for the related project report, and click here for the plant profile.
Industrial Info is tracking two other grassroot green hydrogen projects from Plug Power, including its $281 million plant in Graham, Texas, designed to produce 45 tons per day, with liquid production targeted for the second half of 2024. Meanwhile, Plug Power said it is progressing toward commissioning 74 TPD of capacity in the first half of 2024 at its $600 million plant in Alabama, New York. Subscribers can see detailed information on the Texas and New York projects.
Through a joint venture, Plug Power and Olin Corporation (NYSE:OLN) (Clayton, Missouri) are working on engineering, procurement and construction activities at a $85 million green hydrogen liquefaction plant in Saint Gabriel, Louisiana, and first production is expected to begin in first-quarter 2024. Subscribers can click here for a project report.
In a quarterly earnings-related conference call, Chief Executive Officer Andy Marsh pointed to the Inflation Reduction Act (IRA) as a growth driver for the company's hydrogen development: "We anticipate further advantages as we tack into manufacturing incentives within the IRA along with the production tax credit for hydrogen." He also noted the company is in the final stages of its second round of due diligence with the U.S. Department of Energy's (DOE) loan program office for $1 billion in project financing.
For more information on hydrogen investments in North America, see Industrial Info's July 5, 2023, article - Hydrogen Investments Are Coming, but North America Is Behind the Curve, IIR Data Show.
Plug Power also is developing green hydrogen production in Europe, which includes a 35-ton-per-day grassroot plant at the Port of Antwerp in Belgium, "with overwhelming interest surpassing the plant's capacity by over tenfold," the company said. Construction is expected to begin in 2024, with initial production in 2025. Click here for more information.
The company aims to produce 500 metric tons per day of green hydrogen by 2025 and 1,000 metric tons per day by 2028.
Regarding future capital expenditures, the company said it is "evaluating multiple sources of capital," as it continues to see interest from corporate entities and infrastructure funds to partner in future hydrogen plant development, while longer-term capital is likely to be covered with operating cash flow and "traditional project financing as the company and the green hydrogen industry grow exponentially into the second half of the decade."
Plug Power has yet to turn a profit, but the company reported revenue of $260 million in the second quarter, up 72% year over year compared with $151.3 million in the second quarter of 2022. The growth was largely due to sales from its cryogenics and liquefier business, which was $69.7 million, compared with $18.2 million in the prior year. The company's cryogenic solutions include storage tanks and portable delivery trailers for liquid hydrogen.
On the most recent earnings call, Chief Financial Officer Paul Middleton said he expects "tremendous sequential progress" in margins in the second half of the year as green hydrogen plants come online.
At the company's Analyst Day event in June, Chief Executive Officer Marsh said he expects revenue between $1.2 billion and $1.4 billion in 2023.
Subscribers to Industrial Info's GMI project and plant databases 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.
Subscribers can click here for a list of detailed reports for active projects in the U.S. and Europe from Plug Power.
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 over 200,000 current and future projects worth $17.8 Trillion (USD).
The company continues to ramp up production at its new green hydrogen plant in Kingsland, Georgia, with final commissioning activities underway to reach 17.5 tons per day (TPD) of production in the third quarter. Subscribers to Industrial Info's Global Market Intelligence (GMI) Chemical Processing project and plant databases can click here for the related project report, and click here for the plant profile.
Industrial Info is tracking two other grassroot green hydrogen projects from Plug Power, including its $281 million plant in Graham, Texas, designed to produce 45 tons per day, with liquid production targeted for the second half of 2024. Meanwhile, Plug Power said it is progressing toward commissioning 74 TPD of capacity in the first half of 2024 at its $600 million plant in Alabama, New York. Subscribers can see detailed information on the Texas and New York projects.
Through a joint venture, Plug Power and Olin Corporation (NYSE:OLN) (Clayton, Missouri) are working on engineering, procurement and construction activities at a $85 million green hydrogen liquefaction plant in Saint Gabriel, Louisiana, and first production is expected to begin in first-quarter 2024. Subscribers can click here for a project report.
In a quarterly earnings-related conference call, Chief Executive Officer Andy Marsh pointed to the Inflation Reduction Act (IRA) as a growth driver for the company's hydrogen development: "We anticipate further advantages as we tack into manufacturing incentives within the IRA along with the production tax credit for hydrogen." He also noted the company is in the final stages of its second round of due diligence with the U.S. Department of Energy's (DOE) loan program office for $1 billion in project financing.
For more information on hydrogen investments in North America, see Industrial Info's July 5, 2023, article - Hydrogen Investments Are Coming, but North America Is Behind the Curve, IIR Data Show.
Plug Power also is developing green hydrogen production in Europe, which includes a 35-ton-per-day grassroot plant at the Port of Antwerp in Belgium, "with overwhelming interest surpassing the plant's capacity by over tenfold," the company said. Construction is expected to begin in 2024, with initial production in 2025. Click here for more information.
The company aims to produce 500 metric tons per day of green hydrogen by 2025 and 1,000 metric tons per day by 2028.
Regarding future capital expenditures, the company said it is "evaluating multiple sources of capital," as it continues to see interest from corporate entities and infrastructure funds to partner in future hydrogen plant development, while longer-term capital is likely to be covered with operating cash flow and "traditional project financing as the company and the green hydrogen industry grow exponentially into the second half of the decade."
Plug Power has yet to turn a profit, but the company reported revenue of $260 million in the second quarter, up 72% year over year compared with $151.3 million in the second quarter of 2022. The growth was largely due to sales from its cryogenics and liquefier business, which was $69.7 million, compared with $18.2 million in the prior year. The company's cryogenic solutions include storage tanks and portable delivery trailers for liquid hydrogen.
On the most recent earnings call, Chief Financial Officer Paul Middleton said he expects "tremendous sequential progress" in margins in the second half of the year as green hydrogen plants come online.
At the company's Analyst Day event in June, Chief Executive Officer Marsh said he expects revenue between $1.2 billion and $1.4 billion in 2023.
Subscribers to Industrial Info's GMI project and plant databases 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.
Subscribers can click here for a list of detailed reports for active projects in the U.S. and Europe from Plug Power.
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 over 200,000 current and future projects worth $17.8 Trillion (USD).
