Dallas, Texas 06/30/2015 (Financialstrend) – Plug Power Inc (NASDAQ:PLUG) continues to grow the market base for its products after reaching an agreement with Walmart Canada over the expansion of a hydrogen and fuel cell contract. As part of the new deal, the company is to supply the retail store with 124 GenDrive fuel cells for the High-Velocity Distribution Center Building in Balzac Alberta Canada.
Plug Power- Walmart Strong Partnership
GenDrive Hydrogen fuel cell popularity has continued to grow thanks to its ability to guarantee increased productivity of the lift truck fleets. The fact that fuel cells eliminate the need to change batteries has allowed its demand to skyrocket.
The latest agreement brings the sites fleet to 230 units marking the first GenFuel installation in Canada. Plug Power Inc (NASDAQ:PLUG) has deployed more than 1,800 GenDrive units to Walmart’s operations in the US. Until now, the company has focused on addressing the forklift market with the GenDrive units. However, plans are in place to expand to other markets.
Possible Markets for GenDrive Fuel Cells
Plug Power is believed to be carrying out tests with FedEx as the company looks to roll out a fuel cell powered ground support equipment. Charlatte, a third party provider, has already provided equipment, which Plug Power Inc (NASDAQ:PLUG) is to provide the fueling station. The fact that FedEx Corporation (NYSE:FDX) uses more than 1,500 cargo tractors shows the great growth possibilities for GenDrive Fuel cells.
The company has not yet tapped the auto industry with its products, a market expected to offer other synergies for growth. Working with Ford Motor Company (NYSE:F) and General Motors Company (NYSE:GM), which have not yet embraced fuel cell driven equipment should offer a wider market for the products.
Plug Power Inc (NASDAQ:PLUG) enjoys a big head start in the fuel cell powered forklift business. Poised to act as the edge in fending off imminent competition from Hyster-Yale Materials handling Inc (NYSE:HY), which has just completed the acquisition of Nuvera Fuel cells.