Ballard inks $18M supply contract with Broad-Ocean for 400 fuel cell engines
Another transaction with the Chinese motor manufacturer, worth $11 million, was announced in April; both deals represent $29 million and 600 fuel cell engines
VANCOUVER—Burnaby B.C.-based fuel cell manufacturer Ballard Power Systems announced June 5 that it has entered into an $18 million supply contract with Chinese motor developer Zhongshan Broad-Ocean Motor Co., Ltd.
Ballard will support the deployment of 400 FCveloCity fuel cell engines integrated into clean energy buses and trucks in several Chinese cities.
“This deal provides another critical validation of the rapidly emerging market opportunity in China for the adoption of fuel cell technology to help solve environmental challenges, including air quality,” said Randy MacEwen, Ballard’s president and CEO.
This announcement, together with an $11 million transaction announced in April 2017, means that Ballard is planning to support Broad-Ocean through the deployment of 600 fuel cell engines. Both transactions have a combined value of $29 million.
Deliveries are expected to be made this year.
Ballard also closed a strategic technology transfer, licensing and supply deal with Broad-Ocean this April, under which Broad-Ocean plans to set up three module assembly operations in China, representing a further $25 million to Ballard over 5 years.
Broad-Ocean, headquarted in the City of Zhongshan in Guangdong Province, produces motors for electric vehicle machinery and heating, ventilation and air conditioning units. In 2016, it became Ballard’s largest shareholder.