We’ll soon know if Redflow’s new zinc battery factory can outpace lithium rivals
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Battery maker Redflow has started making the first parts for its zinc-bromine batteries at a new Thailand factory.
The part is an electrode stack, which charges and discharges batteries by “plating” and “deplating” zinc on a membrane.
The company (ASX:RFX) said today it’s on track to produce its high performance zinc-bromine batteries June.
Redflow shares jumped as high as 18c, before settling to 17.5c in mid-morning Tuesday trade — up 9 per cent.
Investors looking for more exposure to the battery metals theme without buying more miners have begun to consider Australia’s handful of listed battery makers as well, which includes Ultracharge (ASX:UTR) and Protean (ASX:POW).
Redflow has had a tough few years its struggled to find the best market for its product.
Redflow (ASX:RFX) is one of Australia’s earliest battery ventures, specifically their ZCell flow batteries — systems that allow a slower, longer release of energy than lithium ion batteries.
But it’s not had a good run, as lithium batteries have leapfrogged its arguably more suitable service for home energy storage, in both price and sheer market recognition.
In a review in May last year, it admitted it couldn’t compete on price with lithium batteries.
At the end of September, Redflow was forced to acknowledge that it would continue to bleed cash “for the time being” as it implements a strategic review.
The company moved its production from Mexico to Thailand late last year, in order to be closer to telco customer in Australia, New Zealand and the Asia Pacific region.
Redflow signed its first major deal in May with New Zealand telco infrastructure provider Hitech Solutions.