Loop Energy signs $12M supply agreement with Tevva Motors

Tevva Motors and Loop Energy have inked a multi-year fuel cell supply agreement, with delivery commitments exceeding $12 million through 2023.

Tevva is the first client to enter the Full Production Phase of Loop Energy’s Customer Adoption Cycle as a result of this agreement, which is in effect until 2024. Information on how to join the analyst conference call on July 5 is included at the end of the release.

Tevva will integrate Loop Energy’s fuel cell devices into its manufacturing process as it ramps up production of its Hydrogen-Electric Trucks in 2023 to fulfill demand. After Loop Energy’s eFlow technology won the competitive bid process in 2021, resulting in Tevva placing initial orders, the collaboration between the two firms has continued to gain momentum.

Loop Energy is more confident that it will reach or surpass its earlier buy order guidance as a result of the considerable rise in 2023 order volume, which builds on Tevva’s 2022 purchases. The increase in order volume reflects the readiness of the commercial transportation industry to use hydrogen fuel cell technology as a zero-emissions solution.

“The market for zero-emissions commercial vehicles continues to develop quickly, and this supply agreement with Tevva puts Loop Energy on the path to not only technology leadership, but fuel cell market leadership,” Loop Energy President & CEO, Ben Nyland said. “This is amongst the largest fuel cell product supply agreements in recent years. The contract with Tevva is indicative of the surge in interest we see in Europe for hydrogen-electric vehicles and the fuel cells that power them. Tevva is quickly establishing itself as a leader in the zero-emission commercial vehicle market in Europe, and we are looking forward to providing the fuel cell systems they need to succeed.”

“Development of our Hydrogen-Electric Truck platform has been extremely encouraging, and we are seeing growing demand for our product line,” Tevva Founder & CEO, Asher Bennett said. ”Loop Energy continues to show it can support our production targets and provide a fuel cell solution that will deliver lower costs and improved performance to our customers. As a result, we are moving closer to our corporate goal of reducing 10 million tons of global transportation CO₂ emissions by 2030.”

Tevva and Loop Energy unveiled their first hydrogen-electric truck at the Road Transport Expo in Warwickshire, United Kingdom, on June 30. The first of these vehicles are projected to hit the road in 2022. Once deployed, the trucks are anticipated to rapidly add to the 500,000 kilometers of road service already powered by Loop Energy’s fuel cells.