FuelCell Energy Inc. (FCE, Danbury, CT), a manufacturer of stationary fuel cell power plants for distributed generation, and Enbridge Inc. announced that they have finalized an agreement where Enbridge will be a distributor of FuelCell Energy's Direct FuelCell® (DFC®) products in Canada. The agreement with FuelCell Energy introduces ultra-low, emission base load DFC power plants; the DFC300A, DFC1500 and DFC3000 with introductory ratings of 250kW, 1MW and 2MW, respectively.
As part of the agreement, Enbridge has received warrants to purchase 500,000 shares of FuelCell Energy common stock. The agreement calls for the warrants to be exercisable on a graduated scale based on order flow generated by Enbridge. The full quantity of warrants will vest with order commitments for 20MW of DFC power plants. The exercise prices of the warrants range from $14.65 to $19.04 per share and the warrants will expire in November 2006.
