Ballard's Mark9 SSL fuel cell product.

Plug Power Inc and Ballard Power Systems have extended their existing supply agreement through to 31 December 2010. The previous agreement was to expire on 1 May 2009.

Under the new agreement, Ballard will remain the exclusive fuel cell stack supplier for Plug Power's GenDrive product line.

"We're excited to extend our original agreement, which leverages Plug Power's application expertise, system integration, market knowledge and customer relationships," says Ballard CEO John Sheridan.

Ballard's Mark9 SSL fuel cell products supply power to GenDrive hydrogen fuel cell units, which replace lead-acid batteries in forklifts used in large warehouse, distribution and manufacturing facilities. The technology is expected to offer customer benefits including continuous power for increased productivity, reduced operational costs, an increase of floor space due to the elimination of a battery charging room and the removal of the storage and handling of toxic materials.

Ballard says it reduced the cost of its Mark9 SSL product by 23% in 2007 and is on track for a further 40% reduction through to 2010. This will be achieved mainly through continuous manufacturing processes, reduced platinum loadings and volume component pricing from suppliers.

Plug Power president Andy Marsh says Ballard's Mark9 SSL fuel cell product is at the heart of the company's GenDrive system.

"We are two companies that understand the big picture and are jointly driving market adoption of hydrogen fuel cells," Marsh adds.