Plug Power Stock Charges Higher On $1.66B Department Of Energy Loan: The Details

Plug Power Inc PLUG shares are trading higher in the after-hours session Thursday after the green hydrogen company announced a loan guarantee from the U.S. Department of Energy (DOE).

What Happened: Plug Power said it closed on a $1.66 billion loan guarantee from the DOE’s Loan Programs Office (LPO) that will help finance the construction of up to six projects to produce and liquify zero- or low-carbon hydrogen at scale throughout the U.S.

“Finalizing this loan guarantee with the Department of Energy represents a significant step in the expansion of our domestic manufacturing and hydrogen production capabilities, which create many high-quality jobs throughout the U.S.,” said Andy Marsh, CEO of Plug Power.

“In addition to reducing carbon emissions and enhancing the resilience of the U.S. energy grid, we believe the hydrogen economy aligns closely with national security interests, ensuring that the U.S. remains at the forefront of energy technology development and deployment on a global scale.”

Plug noted in the press release that its current hydrogen generation network has a liquid hydrogen production capacity of approximately 45 tons per day.

Susquehanna analyst Biju Perincheril maintained Plug with a Neutral rating on Thursday and raised the price target from $2 to $2.50.

PLUG Price Action: Plug Power shares were up 3.65% in after-hours, trading at $2.84 at the time of publication Thursday, per Benzinga Pro.

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Photo: Courtesy of Plug Power.