The hydrogen company Plug Power has received a contract from Amazon

Fuel cell manufacturer Plug Power Inc. (PLUG) received a solid positive boost thanks to the news of a partnership with the giant Amazon.com Inc… Amazon is moving towards zero emissions and intends to make hydrogen the primary means to achieve this goal. Amazon has signed a contract with Plug Power to supply hydrogen fuel for its large fleet. From 2025, Plug Power will provide Amazon with almost 11 thousand tons of hydrogen from renewable sources. 

It will be enough to ensure the work of 30 thousand forklifts and 800 heavy trucks. This news pleased Plug Power investors. However, the main thing about it is that Amazon became the first technology giant to order hydrogen in such a large volume and under a long—term contract. This event is significant for the perception of the future of hydrogen energy. Now bullish sentiment in this area of green energy has received strong reinforcement. Many other large companies are also striving for a zero carbon footprint, that is, the abandonment of burning fossil fuels in the entire supply chain for business: from delivering paper clips to the office to powering large enterprises. 

Against this background, the demand for hydrogen may grow since this fuel has the highest energy density at zero emission. For Plug Power, the contract with Amazon is essential, and not only because it will increase the company’s revenue to $3 billion by 2025. Currently, Plug Power is creating megawatt hydrogen power plants and expects to become a leader in the market of technologies for hydrogen production. The deal with Amazon will allow Plug Power to reach the target of producing 500 tons of liquid hydrogen per day in the North American market.