CLAYTON,
Mo., April 28, 2022 /PRNewswire/ -- Olin
Corporation (NYSE: OLN), a leading vertically integrated chlor
alkali producer and marketer, and Plug Power Inc. (NASDAQ: PLUG), a
leading provider of turnkey hydrogen solutions for the global green
hydrogen economy, announced today the signing of a memorandum of
understanding (MOU) with the intention to create a joint venture
(JV) to produce and market green hydrogen to support growing fuel
cell demand in the global hydrogen economy.
The JV is the first of its kind and will provide reliability of
supply and speed to market for green hydrogen throughout
North America, setting the
foundation for broader collaboration between the two companies. The
first production plant in St. Gabriel,
Louisiana will produce 15 tons per day (tpd) of green
hydrogen.
This partnership brings together Olin, North America's largest producer of
electrolytic hydrogen, with Plug Power, who is building an
end-to-end global green hydrogen ecosystem. Under the JV, Plug
Power will market the hydrogen and provide logistical support for
delivery while Olin will provide reliable hydrogen production and
operational support.
"Olin's 130-year history of producing hydrogen as part of our
chlor alkali production process combined with Plug Power's
leadership in the green hydrogen economy creates a powerful
partnership to serve the growing demand for green hydrogen," noted
Scott Sutton, Chairman, President,
and CEO of Olin. "This JV is a key step for Olin as we seek to
recognize the full potential of Olin's untapped hydrogen supply
capabilities across North America.
We are excited to partner with Plug Power, a true leader in
sustainable hydrogen, to serve the fuel cell market."
Plug Power has been investing heavily in green hydrogen
production, the future of clean energy. This JV activity will
expand Plug Power's existing work to build a "first of a kind"
green hydrogen generation network in North America to help customers achieve their
sustainability goals of net-zero carbon emissions. Plug Power is
targeting 70 tpd by the end of this year and is on track to deliver
500 tpd of green hydrogen production by 2025 and 1,000 tpd by
2028.
"We believe widespread availability of green hydrogen will
create a flywheel effect by making green hydrogen ubiquitous and
economical, helping accelerate the proliferation of numerous fuel
cell applications," said Andy Marsh,
CEO of Plug Power. "Olin has proven itself as a leader and bringing
Olin's reliable production capabilities together with the expertise
of Plug Power is sure to make a lasting impact on the global
hydrogen economy."
The joint venture is expected to be operational in 2023.
COMPANY DESCRIPTIONS
Olin Corporation is a leading vertically integrated global
manufacturer and distributor of chemical products and a leading
U.S. manufacturer of ammunition. The chemical products produced
include chlorine and caustic soda, vinyls, epoxies, chlorinated
organics, bleach, hydrogen and hydrochloric acid. Winchester's
principal manufacturing facilities produce and distribute sporting
ammunition, law enforcement ammunition, reloading components, small
caliber military ammunition and components, and industrial
cartridges.
Plug Power 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
50,000 fuel cell systems and over 165 fueling stations, more than
anyone else in the world, and is the largest buyer of liquid
hydrogen. With plans to build and operate a green hydrogen highway
across North America and
Europe, Plug Power is building a
state-of-the-art Gigafactory to produce electrolyzers and fuel
cells and multiple green hydrogen production plants that will yield
500 tons of liquid green hydrogen daily by 2025. Plug Power will
deliver 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.
Visit www.olin.com and www.plugpower.com for more
information.
PLUG 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: The
joint venture's St. Gabriel, LA
facility production targets of approximately 15 tons of green
hydrogen daily; Plug's independent green hydrogen production
network targets of 70 TPD by the end of 2022 and targets of 500 TPD
of green hydrogen generation network in North America by 2025 and 1,000 TPD on a
global basis by 2028; Plug's potential to assist companies adopting
green hydrogen to improve both efficiency and sustainability of
their operations, and the potential to reduce their carbon
footprint; PLUG's ability to meet global demand for Hydrogen supply
and decarbonization, and the joint venture's expected operations
starting in 2023. 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, 2021 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.
OLIN CORPORATION FORWARD-LOOKING
STATEMENTS
This communication includes forward-looking statements.
These statements relate to analyses and other information that are
based on management's beliefs, certain assumptions made by
management, forecasts of future results, and current expectations,
estimates and projections about the markets and economy in which we
and our various segments operate. The statements contained in
this communication that are not statements of historical fact may
include forward-looking statements that involve a number of risks
and uncertainties.
We have used the words "anticipate," "intend," "may," "expect,"
"believe," "should," "plan," "outlook," "project," "estimate,"
"forecast," "optimistic," "target," and variations of such words
and similar expressions in this communication to identify such
forward-looking statements. These statements are not
guarantees of future performance and involve certain risks,
uncertainties and assumptions, which are difficult to predict and
many of which are beyond our control. Therefore, actual
outcomes and results may differ materially from those matters
expressed or implied in such forward-looking statements. We
undertake no obligation to update publicly any forward-looking
statements, whether as a result of future events, new information
or otherwise. The payment of cash dividends is subject to the
discretion of our board of directors and will be determined in
light of then-current conditions, including our earnings, our
operations, our financial conditions, our capital requirements and
other factors deemed relevant by our board of directors. In
the future, our board of directors may change our dividend policy,
including the frequency or amount of any dividend, in light of
then-existing conditions.
The risks, uncertainties and assumptions involved in our
forward-looking statements, many of which are discussed in more
detail in our filings with the SEC, including without limitation
the "Risk Factors" section of our Annual Report on Form 10-K for
the year ended December 31, 2021, and
our Quarterly Reports on Form 10-Q and other reports furnished or
filed with the SEC, include, but are not limited to, the
following:
Business, Industry and Operational Risks
- sensitivity to economic, business and market conditions in
the United States and overseas,
including economic instability or a downturn in the sectors served
by us;
- declines in average selling prices for our products and the
supply/demand balance for our products, including the impact of
excess industry capacity or an imbalance in demand for our chlor
alkali products;
- unsuccessful execution of our strategic operating model, which
prioritizes Electrochemical Unit (ECU) margins over sales
volumes;
- failure to control costs and inflation impacts or failure to
achieve targeted cost reductions;
- our reliance on a limited number of suppliers for specified
feedstock and services and our reliance on third-party
transportation;
- higher-than-expected raw material, energy, transportation,
and/or logistics costs;
- the occurrence of unexpected manufacturing interruptions and
outages, including those occurring as a result of labor
disruptions, production hazards and weather-related events;
- the failure or an interruption of our information technology
systems;
- failure to identify, attract, develop, retain and motivate
qualified employees throughout the organization;
- our inability to complete future acquisitions or successfully
integrate them into our business;
- our substantial amount of indebtedness and significant debt
service obligations;
- risks associated with our international sales and operations,
including economic, political or regulatory changes;
- the negative impact from the COVID-19 pandemic and the global
response to the pandemic, including without limitation adverse
impacts in complying with governmental mandates;
- weak industry conditions affecting our ability to comply with
the financial maintenance covenants in our senior credit
facility;
- adverse conditions in the credit and capital markets, limiting
or preventing our ability to borrow or raise capital;
- the effects of any declines in global equity markets on asset
values and any declines in interest rates or other significant
assumptions used to value the liabilities in, and funding of, our
pension plans;
- our long-range plan assumptions not being realized causing a
non-cash impairment charge of long-lived assets;
Legal, Environmental and Regulatory Risks
- changes in, or failure to comply with, legislation or
government regulations or policies, including changes regarding our
ability to manufacture or use certain products and changes within
the international markets in which we operate;
- new regulations or public policy changes regarding the
transportation of hazardous chemicals and the security of chemical
manufacturing facilities;
- unexpected outcomes from legal or regulatory claims and
proceedings;
- costs and other expenditures in excess of those projected for
environmental investigation and remediation or other legal
proceedings;
- various risks associated with our Lake City U.S. Army
Ammunition Plant contract and performance under other governmental
contracts; and
- failure to effectively manage environmental, social and
governance (ESG) issues and related regulations, including climate
change and sustainability.
All of our forward-looking statements should be considered in
light of these factors. In addition, other risks and
uncertainties not presently known to us or that we consider
immaterial could affect the accuracy of our forward-looking
statements.
2022-10
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SOURCE Olin Corporation