VANCOUVER, BRITISH COLUMBIA, Oct 09, 2008 (MARKET WIRE via COMTEX News Network) -- Ballard Power Systems (TSX: BLD)(NASDAQ: BLDP) today announced that
it has entered into a high volume development and supply agreement,
with an affiliate of the ACME Group and IdaTech LLC, to supply net
5kW natural gas fuel cell products. The systems will be deployed by
ACME, primarily for telecom backup power applications in India.
Ballard will supply these fuel cell products to IdaTech for
integration into natural gas-fuelled systems. ACME and IdaTech will
enter into an agreement to form a joint venture in India for the
manufacture and assembly of this system. Ballard will be the
exclusive supplier of fuel cells to this joint venture.
This agreement provides a binding commitment for the purchase of
approximately 1,000 units in 2009 and 9,000 units in 2010, subject to
meeting product design and acceptance specifications.
ACME, a proven infrastructure provider to telecom network operators,
intends to deploy these systems for extended backup power for
wireless base stations throughout India. These systems will deliver
important benefits to ACME's customers, including reliability,
extended service life, cost savings and environmentally friendly
John Sheridan, Ballard's President and Chief Executive Officer said,
"This high volume, binding agreement represents a big step forward
for Ballard and the broader fuel cell sector. The ten-thousand unit
volume will enable significant cost reductions and this new low cost,
natural gas fuel cell product will be an important enabler for the
acceleration of product adoption in other stationary power markets."
In consideration of ACME's minimum 10,000 unit purchase commitment
and its agreement to develop the market for fuel cell systems in
applicable territories, Ballard has granted ACME exclusive rights for
the sale and use of Ballard's fuel cells for stationary power
applications in the Indian subcontinent and for telecom backup power
applications in the Middle East and Africa (excluding South Africa)
through to mid-2011. The agreement provides options for extending
these exclusivity provisions into 2011 and 2012, subject to
additional binding orders by ACME for at least 10,000 units per year.
Atul Sabharwal, Chief Operating Officer of the ACME Group stated,
"Fuel cell backup power systems offer an excellent and reliable
proposition to telecom service providers because they help operators
reduce downtime and also substantially reduce greenhouse gas
emissions, which contribute to global warming." Mr. Sabharwal
welcomed the opportunity to offer a reliable and flexible backup
power solution based on fuel cell technology, in collaboration with
"high-quality partners". He concluded, "Globally, at any telecom
site, batteries and generators are the cause of a lot of pollution.
In addition, they have high operational costs. We expect fuel cells
to help with both of these issues."
"These agreements are a testament to the value of sound
partnerships," added Hal Koyama, IdaTech's Chief Executive Officer.
"We have been able to leverage the relationship that our partner,
Ballard, has had with ACME, in order to establish an important new
agreement that will enable execution of our market strategy in India
and other countries."
These agreements replace Ballard's existing supply agreement with
ACME and represent an increase in volume of at least three times.
These agreements do not impact Ballard's existing supply agreements
with IdaTech for its iGen(TM) and ElectraGen(TM) products.
About Ballard Power Systems
Ballard Power Systems (TSX: BLD)(NASDAQ: BLDP) is recognized as a
world leader in the design, development, manufacture and sale of
clean energy fuel cell products. Ballard's mission is to accelerate
fuel cell product adoption. To learn more about what Ballard is doing
with Power to Change the World(R), visit www.ballard.com.
About the ACME Group
The ACME Group today is a leading provider in the field of
innovative, green energy solutions for wireless telecommunications,
cold chain systems, alternative energy, wastewater treatment and
environmental impact solutions. ACME solutions, which are geared
towards energy optimization and cost-efficiency, have been welcomed
by leading telecom operators around the world. The company enjoys an
international presence through its own establishments, channel
partners and associates in over 20 countries and partners with giants
such as Nokia Siemens Networks and Ericsson. It continues to offer
improved solutions to its customers and has invested heavily in R&D
both in India and abroad. For more about ACME, see www.acme.in and
IdaTech is a global leader in the development and manufacturing of
clean and reliable PEM fuel cell solutions for telecommunications,
commercial and industrial backup power from 250W to 15kW. IdaTech's
unique technologies provide solutions for a wide range of
applications from portable to off grid power and directly support
efforts towards sustainable energy. IdaTech's portfolio of
industry-certified fuel cell solutions are based on the company's
fuel processing, fuel cell stack and power module and fuel cell
system integration capabilities. With the support of strategic
partners and customers, the company's energy solutions are being
deployed domestically and internationally for stationary, portable
and other advanced applications. For more information on IdaTech fuel
cell solutions and advanced technologies, please visit
This release contains forward-looking statements that are based on
the beliefs and assumptions of Ballard's management and reflect
Ballard's current expectations as contemplated under section 27A of
the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. Such assumptions relate
to our financial forecasts and expectations regarding our product
development efforts, manufacturing capacity, and market demand. These
statements involve risks and uncertainties that may cause our actual
results to be materially different, including, without limitation,
the rate of mass adoption of our products, product development
delays, changing environmental regulations, our ability to attract
and retain business partners and customers, our access to funding,
increased competition, our ability to protect our intellectual
property, changes in our customers' requirements, and our ability to
provide the capital required for product development, operations and
marketing. Readers should not place undue reliance on Ballard's
forward-looking statements and Ballard assumes no obligation to
update or release any revisions to these forward looking statements.
For a detailed discussion of the risk factors that could affect
Ballard's future performance, please refer to our most recent Annual
Ballard, the Ballard logo and Power to Change the World are
registered trademarks of Ballard Power Systems Inc.
For further information, or to arrange an interview with a Ballard
spokesperson, please see contact information below.
Ballard Power Systems
SOURCE: Ballard Power Systems Inc.