$NKLA: Semafor Top Ten News Stories From Yesterday, Mon, 13 FEB 23: 4th Story on $NKLA ($PLUG Mention in the WSJ Story)

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🟡 Semafor Flagship: UFOs and asteroids | Semafor | Semafor

Fourth story down was this one on $NKLA:

A United States manufacturer is building hydrogen plants to fuel its planned hydrogen-powered truck fleet. The Wall Street Journal reported that Nikola, based in Arizona, plans to begin assembling hydrogen trucks later this year, but lacks hydrogen infrastructure. Its first plant, in Phoenix, should be producing 30 tons a day by late next year. Nikola hopes to be producing enough fuel for 7,500 trucks by 2026, and will build fueling stations around the country. Several manufacturers, including Tesla, are building electric trucks, for which infrastructure largely exists. But Nikola hopes that hydrogen trucks’ longer range will give them an edge in the market.

More from WSJ linked from the Semafor post, and aall me when the first “HYLA” station is completely built

https://archive.ph/bnVPY

Nikola, based in Arizona, said it began work late last year on a plant in the Phoenix suburb of Buckeye to extract hydrogen from water. Nikola forecast the initial hydrogen production volume at about 30 metric tons a day by late 2024. The company said it is negotiating an investment agreement for the plant with Fortescue Future Industries, a unit of Australian iron ore company Fortescue Metals Group Ltd.

A companion storage plant is planned at the site with hydrogen company Plug Power Inc., Nikola said. The storage plant will be able to turn hydrogen gas into a liquid at very low temperatures, making it easier to transport. Nikola said it intends to ship the hydrogen by truck to the company’s first three filling stations in California.

The hydrogen fuel network represents one of Nikola’s biggest challenges as it prepares to compete with battery-electric truck rivals, including electric-car maker Tesla Inc. and diesel truck manufacturers rolling out electric models. Many established truck makers have said they expect the limited availability of hydrogen to hold down demand for hydrogen trucks, and predict battery-electric trucks will become the first choice for truck operators seeking an electric alternative to diesel.

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https://archive.ph/bnVPY#selection-477.0-515.188

Nikola said it has hydrogen supply commitments from Pennsylvania-based KeyState Natural Gas Synthesis LLC, Wabash Valley Resources LLC in Indiana, Canada’s> TC Energy Corp. and New York-based Plug Power. To meet its trucks’ targeted zero-emissions profile, Nikola needs to obtain hydrogen from the limited supplies made from low-carbon or zero-emissions processes.

Nikola is offering suppliers the prospect of a dedicated fleet of trucks that would consume their hydrogen. “If we can get hydrogen to our customers at a competitive rate, they’ll buy more trucks and we’ll buy more hydrogen,” Mr. Mendes said.

Nikola’s trucks initially will be offered on leases that will include the cost of hydrogen fuel, which Nikola said will be factored into lease payments at a fixed price or a variable rate.

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$PLUG Mention from the WSJ story:

https://archive.ph/bnVPY#selection-567.0-575.192

Plug Power, which specializes in extracting the hydrogen from water, will start providing hydrogen to Nikola this year. Plug Power CEO Andy Marsh said he isn’t worried about ending up with too much production capacity for hydrogen if the actual demand for Nikola’s trucks turns out lower than anticipated.

“I have places to put this hydrogen regardless,” he said. “The risks are pretty low.”
Nikola plans to locate its first three fueling stations near Los Angeles. The truck maker says it will brand its hydrogen and stations under the name “Hyla,” combining “hydrogen” and “Nikola.”

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$PLUG daily, weekly, and monthly charts:

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Disclosure: I am trading neither $NKLA or $PLUG

Just building a new thread on both for future use.