Shares of green hydrogen maker Fusion Fuel Green (NASDAQ:HTOO) are climbing 8% in early trading today. This moves comes after HTOO stock jumped 14% on Friday. This morning, the Ireland-based company announced that it had made a deal to help create a sizeable green hydrogen plant in Bakersfield, California.
Shares of the company are also trending on social media today. Message volume for the ticker is up 20% on Stocktwits as of this writing.
Here’s what investors should know about HTOO stock moving forward.
HTOO Stock and the Bakersfield Plant
For its recently announced deal, Fusion Fuel Green will develop a 75-megawatt green hydrogen plant in Bakersfield, California in conjunction with another firm, Electus Energy, which specializes in “microgrid solutions producing both clean electricity and fuel at no upfront cost.” Fusion Fuel Green and Electus have formed an exclusive joint venture to carry out the project.
The new plant will use solar energy to create hydrogen and will also utilize Fusion Fuel’s HEVO technology. This technology is “capable of producing up to 9,300 tons of green hydrogen per annum including nighttime operation,” according to the company’s press release. The Bakersfield facility will be able to provide sufficient power for “over 1,000 Class 8 trucks or buses per day.”
Fusion Fuel says that about $180 million of capital will be needed to launch the plant. However, the company did not provide an estimate on the amount of revenue or profit the factory could generate. Per Seeking Alpha, Fusion Fuel expects a “final investment decision” in early 2024 and “commissioning in the first half of 2025.”
More About Fusion Fuel Green
So, what else should investors know about Fusion Fuel as HTOO stock climbs today?
Fusion Fuel reports that its electrolyzer design can create hydrogen using renewables “at highly competitive costs without any associated carbon emissions.” The company calls the design “HEVO.”
Based in Ireland, Fusion Fuel is particularly focused in Europe. According to its website, it currently has six projects in Portugal, one project in Spain and one in Morocco.
On average, analysts expect Fusion Fuel to generate $70.8 million of revenue in 2023. That would mark a significant increase from the $11.08 million analysts expect this year.
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On the date of publication, Larry Ramer did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.