Shares surged on Friday after the alternative energy company said the U.S. Navy contacted MagneGas and purchased their first order of MagneGas 2, following a demonstration. The demonstration showed travel speed tests against acetylene.
MagneGas2 has the ability to cut faster than acetylene, and is safer to operate due to its lighter than air density, reduced slag, and lower oxygen consumption.
"The opportunity to help the U.S. Navy turn ships around faster so that our Armed Forces can protect U.S. interests around the globe makes the whole MagneGas team very proud," said CEO Ermanno Santilli in a statement.
About 4.65 million shares of MagneGas were traded as of 1:54 p.m. ET today, compared to the company's average trading volume of about 1.51 million shares a day.
Tarpon Springs, Fla.-based MagneGas is an alternative energy company that creates a system that produces hydrogen based fuel through the gasification and sterilization of liquid and liquid waste.
The company has developed a process, which gasifies various types of liquid waste through a plasma arc system.
The company produces gas bottled in cylinders for the purpose of distribution to the metalworking market as an alternative to acetylene.