• Altech Batteries signs third offtake deal for its CERENERGY salt batteries
  • Company to supply 10MWh of batteries in first year, increasing to 30MWh in subsequent years
  • Deal with Axsol will allow company to break into the western defence sector

 

Special Report: Altech Batteries is making inroads into the defence sector after executing a third offtake heads of agreement for the supply of CERENERGY solid-state salt batteries to NATO certified supplier Axsol.

The exclusive distribution agreement with Axsol – a leading, award-winning German provider of integrated renewable energy solutions – covers the supply of 10 megawatt hours of CERENERGY® energy storage capacity in the first year that rises to 30MWh in subsequent years.

It includes an option to increase offtake to 120MWh per annum subject to availability.

Altech Batteries (ASX:ATC) is developing a CERENERGY® manufacturing plant with capacity of 120MWh per annum with Fraunhofer IKTS under a 75:25 joint venture.

Axsol’s involvement will streamline qualification procedures, enabling early market entry and sales of batteries to NATO and select western allied forces.

CERENERGY® batteries use common table salt (sodium chloride) and ceramic solid-state technology and may be up to 50% cheaper than regular lithium-ion batteries due to not using critical minerals like lithium, nickel and cobalt.

Besides being insulated from supply chain concerns, these batteries are also completely fire and explosion proof while being able to operate in all but the most extreme of conditions – all factors that make them ideally suited for defence applications and government agencies.

Axsol will also leverage its expertise and know-how in efficiently managing and integrating various battery technologies with multiple energy supply sources using its advanced energy management system in collaboration with ATC.

Battery deliveries are expected to start in Q1 2027 once the battery plant is commissioned.

“We are delighted to have secured such a competent partner in Axsol, enabling Altech to enter the highly attractive defence-related market segment with our CERENERGY® GridPack battery energy storage system,” chief executive officer Iggy Tan said.

“Axsol’s strong interest in our technology highlights the unique advantages of Altech’s CERENERGY® sodium chloride solid state battery technology and the exceptional unique selling points we bring to the market.”

 

Other offtake deals

ATC secured its first offtake deal in September 2024 after executing a letter of intent from Germany’s Zweckverband Industriepark Schwarze Pumpe for the purchase of 30MWh of energy storage capacity annually for the first five years of production.

ZISP will use the batteries to transition the Schwarze Pumpe Industrial Park, which it manages, entirely from coal to renewable energy.

The second agreement was reached in late November 2024, after the company executed a letter of intent with green hydrogen joint venture RefLau for 30MWh of CERENERGY® energy storage capacity in the first year.

RefLau – a JV between European utility and energy companies Enertrag SE and Energiequelle GmbH – will then purchase 32MWh of CERENERGY® energy storage capacity per annum thereafter for the next four years of production.

The partnership aims to develop a standard hybrid power island using 80MW of solar and wind energy, incorporating 32 Altech CERENERGY® 1MWh GridPacks, with Enertrag and Energiequelle purchasing the storage units.

RefLau also plans to purchase 10MWh CERENERGY® GridPack batteries for its plant in Schwarze Pumpe.

As part of the agreement, ATC will purchase green electricity at competitive prices directly from the partners in the region for its planned production plant.

 

 

 

This article was developed in collaboration with Altech Batteries, a Stockhead advertiser at the time of publishing.

 

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.