Plug Power secures 2GW Uzbekistan electrolyzer deal

SLINGERLANDS, N.Y. – Plug Power Inc. (NASDAQ: PLUG), currently valued at $1.09 billion in market capitalization, has expanded its partnership with Allied Green Ammonia (AGA), securing a new 2 gigawatt (GW) electrolyzer project for a green chemical production facility in Uzbekistan. The company’s stock has shown significant volatility, with a notable 17.5% gain over the past week, according to InvestingPro data. The agreement, which solidifies Plug’s role as a key player in global decarbonization efforts, was announced today and will be formalized at the Tashkent International Investment Forum.

The $5.5 billion facility, backed by the Uzbek government, will produce sustainable aviation fuel, green urea, and green diesel, marking a significant stride in the country’s sustainable energy initiatives. This deal is expected to bolster Plug’s position as a leading provider of electrolyzer technology for large-scale decarbonization projects.

Andy Marsh, CEO of Plug, highlighted the expansion as a testament to the company’s capability in executing industrial-scale projects. The collaboration with AGA now encompasses a total of 5 GW of electrolyzer capacity across two continents, demonstrating Plug’s ability to meet the growing demand for green hydrogen solutions.

Alfred Benedict, Managing Director of AGA, expressed confidence in Plug’s technology and delivery capabilities. The partnership’s momentum for global decarbonization is growing, with plans to extend their efforts beyond the current projects in Australia and Uzbekistan.

The Uzbekistan project builds upon AGA’s previously announced 3 GW commitment for its green ammonia facility in Australia, which is on track for a final investment decision in the fourth quarter of 2025. Sanjay Shrestha, President of Plug, underscored the shared vision between the two companies to accelerate the shift to low-carbon hydrogen.

Plug Power’s technology is already in use or under development on five continents, supporting various sectors, including industrial, transportation, energy, and chemicals. As the demand for green hydrogen infrastructure rises, Plug’s extensive experience and scalable solutions position it as a preferred partner in the energy transition.

The company has deployed over 72,000 fuel cell systems and 275 fueling stations, with hydrogen plants in Georgia, Tennessee, and Louisiana producing 39 tons per day. Plug’s customer base includes Walmart, Amazon, Home Depot, BMW, and BP. Despite its extensive operations, InvestingPro analysis reveals challenging financials with a -77.5% gross profit margin and rapid cash burn, though the company maintains a healthy current ratio of 1.95, indicating sufficient liquidity to meet short-term obligations.

This expansion is based on a press release statement and highlights Plug Power’s ongoing commitment to building a global hydrogen economy with integrated production, storage, delivery, and power generation capabilities. For investors seeking deeper insights into Plug Power’s financial health and growth prospects, InvestingPro offers comprehensive analysis with 14 additional ProTips and detailed financial metrics in its Pro Research Report, part of its coverage of over 1,400 US equities.

In other recent news, Plug Power Inc. announced a record production milestone at its Woodbine, Georgia plant, achieving the highest monthly output of liquid hydrogen in the United States with 300 metric tons in April. The facility, which began operations earlier this year, contributes to Plug Power’s expanding hydrogen generation network, now producing 40 tons per day across its sites. In financial updates, Plug Power reported first-quarter 2025 revenue of $133.7 million, missing analyst expectations but showing an 11.1% year-over-year increase. Despite weaker-than-anticipated revenue, the company improved its gross margin loss to -55% from -132% the previous year and reduced net cash used in operations and investments.

Analysts have shown mixed reactions to Plug Power’s performance. Jefferies reduced its price target for Plug Power from $1.70 to $0.90, citing concerns about the company’s financial strategy and liquidity management. Meanwhile, Citi maintained a Sell rating with a $0.75 price target, pointing to challenges such as missed earnings per share expectations and potential tariff impacts. On a different note, Plug Power’s CFO, Paul Middleton, demonstrated confidence in the company’s future by purchasing $250,000 worth of company stock. Additionally, the company secured a significant customer order and initiated operations at its Los Angeles plant, which may provide some positive momentum despite existing challenges.

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