Business
Plug Power Acquires Joule Processing, Enters Strategic Collaboration with Atlas Copco Gas and Process and Fives to Expand Offerings for Global Hydrogen Liquefaction Market
Aims to Drive Performance and Cost Improvements through Optimized Turnkey Integration and Standardization of Hydrogen Liquefaction Plants, Expanding
About this update from Plug Power, Inc.
[{"type":"text","content":"Aims to Drive Performance and Cost Improvements through Optimized Turnkey Integration and Standardization of Hydrogen Liquefaction Plants, Expanding Opportunities for Liquid Hydrogen throughout the WorldLATHAM, N.Y., Feb. 17, 2022 (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 signed a collaboration agreement with Atlas Copco Mafi-Trench Company LLC, the turboexpander technology center within the Gas and Process division of Atlas Copco, and Fives, a global leader in brazed heat exchangers and cryogenic cold boxes, to jointly develop hydrogen liquefaction plants (also known as hydrogen liquefiers). Liquifying hydrogen makes it easier to transport, leading to significant cost savings and broader distribution coverage. Today’s collaboration announcement closely follows Plug Power’s acquisition last month of Joule Processing LLC, a process solution and engineered equipment provider with a strong track record of execution among the largest EPC (Engineering, Procurement and Construction) and oil and gas midstream companies. The proven cryogenic process technology that Joule developed for the gas processing industry is directly applicable to hydrogen liquefaction and has the potential to reduce the cost of liquified hydrogen by 25%. This acquisition will also represent a capital expenditure savings of approximately $200 million for Plug Power over the next four years by bringing hydrogen liquefaction capabilities in house. Plug Power purchased Joule for a total consideration of up to $160 million, with $30 million upfront and $130 million of future earn outs based on meeting liquefier efficiency, third-party sales and gross margin targets. Joule’s liquefaction process is being deployed in Plug Power’s green hydrogen plant under development in Texas. “Plug Power manufactures the best electrolyzer solution in the world today,” said Andy Marsh, CEO of Plug Power. “And, we have the complete delivery network in place. The liquefier system is key to offering hydrogen in liquid form, which is ideal because of its superior energy density versus gaseous hydrogen, lower transportation cost and potential for powering trains, ships and airplanes. Joule’s capabilities complete this end-to-end green hydrogen solution for Plug Powe...