Plug and Allied Green Execute Binding Framework Agreement for 3 GW Electrolyzer Capacity

This follows recent completion of MOU and BEDP contracts

Both parties are collaborating to finalize purchase agreement in coming months

SLINGERLANDS, N.Y., Oct. 07, 2024 (GLOBE NEWSWIRE) -- Plug Power Inc. (NASDAQ: PLUG), a global leader in comprehensive hydrogen solutions for the green hydrogen economy, has signed a binding framework agreement with , an Australian company focused on green ammonia production, to finalize a supply agreement for three gigawatts (GW) of electrolyzer capacity to AGA’s green hydrogen to ammonia plant in Australia.

The framework agreement follows the MOU and basic engineering and design package (BEDP). Both parties will now move into finalizing the sales and purchase agreement. The partnership between Plug and AGA marks a major step toward building one of the world's largest green ammonia production facilities in the world, with the delivery of Plug’s electrolyzer system expected for the end of the year in 2026/early 2027.

AGA is in the process of developing one of the most globally significant green ammonia production facilities, designed to produce approximately 2,700 metric tons per day (TPD) of green ammonia, leveraging abundant renewable energy resources and a robust energy infrastructure. Strategically located at Gove Peninsula in the Northern Territory of Australia, the facility is positioned to cater to the growing demand from AGA's customers in Asia and Europe, ensuring a reliable and secure supply of green ammonia. Accordingly, this collaboration aims to significantly decarbonize the typical ammonia production process by replacing conventional Steam Methane Reforming (SMR) techniques with green hydrogen generated through Plug's advanced electrolyzers. Combining this technology with AGA’s deep industry experience and technical expertise will enable AGA to produce green hydrogen and ammonia competitively when compared against its conventionally produced non sustainable and carbon intensive counterparts.

“Ammonia producers are recognizing the substantial advantages of cost and carbon reduction through electrolysis-based hydrogen,” said Andy Marsh, CEO of Plug Power. “We’re thrilled to formalize this framework agreement with Allied Green Ammonia who is at the forefront of global hydrogen and ammonia production and facility design. Our extensive experience in constructing and operating large-scale hydrogen facilities, combined with our cutting-edge PEM electrolyzer technology, positions us as the ideal partner for this transformative 3 GW project. Together, we are paving the way for a more sustainable future in green ammonia production, while supporting the global transition to net-zero emissions.”

"At Allied Green, we are excited to leverage Plug’s world leading electrolyzer technology to produce green ammonia, marking a significant step toward our shared vision of a sustainable energy future,” said Alfred Benedict, Chairman & Managing Director of Allied Green. “Our collaboration with Plug Power builds on our team’s substantial work over many years that will enable us to efficiently harness the power of electrolysis-based hydrogen and, drastically reduce carbon emissions in the ammonia production process. The finalization of the supply agreement is one of the last major milestones for our project to progress to final investment decision (FID), which is expected imminently.”

About AGA

AGA is an Australian based company partnering with the world’s leading technology and materials providers to design, develop, construct and operate one of the world’s largest and most efficient green ammonia production facilities.

AGA has secured essential equipment, technology, and offtake agreements to ensure the successful development of project, including Plug’s state-of-the-art electrolyzers, manufactured at its gigafactory in New York.

AGA values the substantial support of its industry stakeholders, the Northern Territory Government, the Australian Government and the local indigenous peoples represented by the Gumatj Corporation. Through these partnerships, AGA aims to deliver a critical piece of infrastructure that is expected to generate thousands of local jobs, saving millions of tonnes of carbon dioxide from being released into the atmosphere and provide the global industry with sustainable, clean and affordable fuels.

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About Plug

Plug is building an end-to-end green hydrogen ecosystem, from production, storage, and delivery to energy generation, to help its customers meet their business goals and decarbonize the economy. In creating the first commercially viable market for hydrogen fuel cell technology, the company has deployed more than 69,000 fuel cell systems and over 250 fueling stations, more than anyone else in the world, and is the largest buyer of liquid hydrogen.

With plans to operate a green hydrogen highway across North America and Europe, Plug built a state-of-the-art Gigafactory to produce electrolyzers and fuel cells and is developing multiple green hydrogen production plants targeting commercial operation by year-end 2028. Plug delivers its green hydrogen solutions directly to its customers and through joint venture partners into multiple environments, including material handling, e-mobility, power generation, and industrial applications.

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Plug Power 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 framework agreement with Allied Green Ammonia (“AGA”), including when or on what terms Plug may finalize a supply agreement with AGA and expected timing for any Plug delivery; AGA’s plans to build one of the world's largest green ammonia production facilities in the world, including production capacity, ability to produce green hydrogen and ammonia competitively and efficiently, ability to reduce carbon emissions and timing of FID. 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 (the “SEC”), including the “Risk Factors” section of Plug’s Annual Report on Form 10-K for the year ended December 31, 2023, Plug’s Quarterly Reports on Form 10-Q for the quarters ended March 31, 2024 and June 30, 2024 and any subsequent filings with the SEC. 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.

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