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Ballard Power expects $11M in contract revenue

NEW YORK (AP) -- Canadian fuel-cell maker Ballard Power Systems said Thursday it expects at least $11 million in revenue from a contract to make fuel cells for buses in China.

Ballard said it will get $11 million in license revenue during the first phase of work, which will last a year. If the program progresses on schedule, it will get additional revenue depending on how many fuel cell stacks are ordered.

In May, Ballard said it would make fuel cells to support Azure Hydrogen's zero-emission bus program. Ballard will provide a license, associated equipment and engineering services to help assemble the power modules for the buses. Once Azure Hydrogen's capacity is established, Azure will assemble the modules and Ballard will supply fuel cells stacks.

Ballard reported $16.9 million in revenue in the first six months of the year.

Shares of Ballard Power Systems Inc. added 19 cents, or 11 percent, to $1.84 in morning trading.