Officials at the Genesee County Economic Development Center do anticipate that Plug Power will complete construction, at some point, of its clean hydrogen fuel plant at WNY STAMP.
"We continue to check in with them periodically," said CEO Mark Masse. "They've said the project is on pause, but it's still a very important part of their overall strategic goal of green hydrogen production, and they're still intending to construct the facility at STAMP."
The Lathan-based hydrogen company received word a week ago that the Department of Energy finalized a $1.66 billion loan guarantee with the company, which the company said would be used to complete construction on six plants, without specifically naming the $290 million project in Genesee County as one of the plants it will continue work on.
There's been some doubt about the future of the plant since HeatMap reported in October that the WNY STAMP project was not included in the DOE loan application. The DOE has not responded to The Batavian's request to obtain a copy of the document.
Chris Suozzi, VP for business and workforce development at the GCEDC, reportedly told a Washington, D.C.-based commercial real estate firm that Plug Power's STAMP project is on hold.
According to Heatmap, Suozzi spoke to PRP Real Estate Management. The firm recorded the phone call.
“They’re not ready to go," Suozzi reportedly said. "They’re on pause. We don’t know what’s going to happen with them at this point.”
Masse said Plug Power was in a "holding pattern" while awaiting news of the DOE loan.
"I have not followed up with them since the announcement," Masse said. "I don't think the announcement stated where the loan guarantee was going to go, but I'm sure we'll be reaching out to them at some point here soon, just to get another update from them and find out what their plans are for that funding."
The new potential barrier for Plug Power, however, may be an executive order signed by Donald Trump on his first day in office freezing disbursement of funds under the 2022 Inflation Reduction Act targeted to clean energy projects.
The order explicitly targets grants, which have mostly been distributed already, but it's unclear how it affects the DOE's Loan Program Office.
The loan closed a week ago, but it is unclear whether the funds were transferred to Plug by Monday. A public relations representative did not respond to The Batavian's request for comment on the project.
The office of Sen. Charles Schumer did not respond to The Batavian's request for a comment on the status of the project and the loan.
The stock market has not reacted favorably to news of the loan closing. Since Thursday, the price per share of Plug's stock has dropped from an open of $2.75 to a close on Wednesday of $2.05.
The company reportedly already carries $930 million in debt, and at no point in its 28-year history has it turned a profit.
Plug Power also faces a class-action lawsuit filed in May claiming that the company's stock price was artificially inflated between May 9, 2023, and January 16, 2024.
The plaintiffs claim that the company and a pair of senior officers misled investors by lying and withholding information about delays in the build-out plans of its production facilities in SEC filings.
Plug Power is currently the nation's largest producer of green hydrogen. Its Georgia plant produces 15 tons of liquid hydrogen per day. Its Tennessee plant produces 10 tons per day. It also has an operational plant in St. Gabriel, Lousiana.
If the WNY STAMP plant ever comes online, it is expected to produce 74 tons daily. The company is also constructing additional plants in New York and Texas.
The company seeks to become the nation's first vertically integrated green hydrogen producer, providing customers with fuel, products, and support. Plug aims to provide customers fuel cells, electrolyzers (splitting water into hydrogen and oxygen), and liquid hydrogen fuel. They currently provide companies like Walmart and Amazon with hydrogen-powered forklifts. The company sees a future in hydrogen powering long-haul trucking.
