FuelCell Energy Inc (NASDAQ: FCEL) is making a run for the top in the market this morning, following up on the strong gains that we saw recently. So far, the stock is up more than 10%, and it may continue climbing.
FCEL Stock Is On To Watch After Expanded XOM Partnership
The recent run in FuelCell Energy started when the company announced that it expanded its agreement with ExxonMobil (XOM). According to the press release, the two companies entered into an agreement to optimize carbonate fuel cell technology.
In the release FCEL said that the agreement is with the aim of creating large-scale carbon capture opportunities. The company said that ExxonMobil is exploring opportunities to deploy this technology within its operations.
Importantly, the agreement is worth up to $60 million. In particular, the two companies will work to optimize the core technology, overall process integration and large-scale deployment of carbon capture soltuions.
In a statement, Vijay Swarup, Vice President of Research and Development for ExxonMobil Research and Engineering Company, had the following to offer:
ExxonMobil is working to advance carbon capture technologies while reducing costs and enhancing scalability. This expanded agreement with FuelCell Energy will enable further progress on this unique carbon capture solution that has the potential to achieve meaningful reductions of carbon dioxide emissions from industrial operations.
Why This News Is Leading To Such Excitement
At the end of the day, this contract is huge for FuelCell Energy. Here’s how I see it:
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