PowerTap Hydrogen Capital Corp. (NEO:MOVE.AQN, OTC:MOTNF) said its subsidiary, PowerTap Hydrogen Fueling Corp, has entered into a non-binding Letter of Intent (LOI) with Cleantech Power Corp. (NEO:PWWR.AQN, OTCQB:PWWRF) (PWWR), initiating a collaborative effort in clean energy project development.
The objective of the partnership is to leverage the expertise of both companies in the cleantech industry, driving the adoption of low carbon intensity clean hydrogen and renewable energy solutions.
According to the terms of the LOI, both PowerTap Hydrogen Fueling and Cleantech Power will make their best commercial efforts to negotiate a definitive agreement within 180 days. The agreement will outline the specifics of the collaboration.
Under the LOI, the two companies will evaluate project opportunities on a case-by-case basis, potentially establishing a special purpose entity or pursuing other non-exclusive arrangements as detailed in the definitive agreement. The intended outcome is to enhance their value propositions by combining PowerTap's hydrogen fueling technology with PWWR's fuel cells and power development projects.
In a statement, Salim Rahemtulla, CEO of PowerTap Hydrogen Fueling, expressed excitement about the collaboration, commenting: "We are excited about the opportunity to integrate Cleantech Power Corp's assets into our product stack. This collaboration will enable us to deliver affordable renewable energy in the form of hydrogen and power at our various projects, furthering our commitment to sustainable energy solutions."
Frank Carnevale, CEO of Cleantech Power, highlighted the significance of this collaboration, adding: "The collaboration between Cleantech Power Corp and PowerTap Hydrogen Fueling Corp represents a significant step towards accelerating the development of clean hydrogen infrastructure in North America. By delivering hydrogen to customers' sites, we bridge the divide that enables hydrogen to be used on our Combined Heat and Power (CHP) systems and our other proprietary technology."
Through its subsidiary, PowerTap focuses on installing hydrogen production and fueling infrastructure across the United States. With over 20 years of development, the company is commercializing its third-generation blue hydrogen product to cater to the refueling needs of the automotive and long-haul trucking markets, which currently lack hydrogen fueling infrastructure.
Contact the author at jon.hopkins@proactiveinvestors.com