Benzinga | Jan 11, 2022 10:54AM EST

Covenant Logistics Inks Letter Of Intent For 50 Nikola Zero-Emission Vehicles

* Covenant Logistics Group Inc (NASDAQ:CVLG) has signed a collaboration agreement with Nikola Corp (NASDAQ:NKLA) to add 50 zero-emission vehicles to its fleet.

* The agreement includes a Letter of Intent (LOI) for 10 Nikola Tre battery-electric vehicles (BEVs) and 40 Nikola Tre fuel cell electric vehicles (FCEVs).

* The delivery of the first Tre BEV truck and mobile charging trailer for testing is expected in Q2 2022, with the Tre FCEV testing expected to follow in 2023.

* "While the Tre BEV is ideally suited for short-haul, metro-regional applications, the Nikola Tre FCEV has an anticipated range of up to 500 miles and is expected to be a valuable addition to their highway regional operation," said Pablo Koziner, president of Nikola's Energy and Commercial division.

* Price Action: NKLA shares are trading higher by 2.77% at $10.20 on the last check Tuesday.