Hyzon Motors Inc. (NASDAQ:HYZN) shares are trading higher Tuesday after the company entered into a purchase agreement for 12 hydrogen-powered refuse Fuel Cell Electric Vehicles (FCEVs).

What To Know: Hyzon, a hydrogen fuel cell system manufacturer, announced that recycling company GreenWaste signed a purchase agreement for 12 FCEVs, contingent upon Hyzon meeting specific commercial terms and technical specifications.

GreenWaste is set to become the first company in North America to operate hydrogen-powered refuse trucks. The purchase agreement follows a trial period of Hyzon's vehicles in the Bay Area, in which the company tested essential performance metrics including payload capacity and operational range.

"It is clear hydrogen-powered refuse collection demand is growing, powered by Hyzon's high-performance hydrogen fuel cells," said Parker Meeks, CEO of Hyzon. "Our technology offers a compelling value proposition to our customers, providing zero-emission power necessary to meet the demanding challenges of refuse trucks, ensuring they perform day in and day out."

Hyzon also highlighted its recent announcement related to the start of production for its single-stack 200kW Fuel Cell System, allowing for standardized manufacturing of fuel cell systems at volume for commercial sale.

The FCEVs will be manufactured in partnership with New Way Trucks, which specializes in refuse truck bodies. Deliveries to GreenWaste are expected to begin "as soon as" the fourth quarter of 2025.

HYZN Price Action: Hyzon Motors shares were up 24.4% at $2.40 at the time of writing, according to Benzinga Pro.

• Peloton Stock Pedals Higher On Costco Partnership: What's Going On?

Image Via Shutterstock.