H Power Forms Agreement with PSA Peugeot Citroen
H Power Corp. (Clifton, NJ) announced that it has formed a joint development agreement with PSA Peugeot Citroen (Paris) to develop low-power fuel cells that will be used in light-duty vans.
The 7kW fuel cells will be employed as “range extenders,” an on-board device that increases the current range of an electric power car through an alternative energy source.
The minimum revenue to H Power expected to be generated from this joint-development agreement will be $2.0 million over three years. Based on the results of these efforts, both companies will jointly seek to identify additional fuel cell applications. During the first year of the agreement, H Power will receive $1.0 million for the development and delivery of two separate generations of fuel cell systems.
H. Frank Gibbard, CEO of H Power, commented, “We welcome the opportunity to further our relationship with PSA Peugeot Citroen, a preeminent European automaker. Based on PSA Peugeot Citroen's past successes with the testing and employment of our fuel cell stacks, we believe that we will once again be able to provide PSA Peugeot Citroen with superior fuel cell technologies that meet their stringent requirements.”