Altech Batteries Wins Conditional Grant Approval under STARK Program in Germany

Altech Batteries (ASX: ATC) has achieved a significant milestone with preliminary approval for a €46.7 million grant to support its CERENERGY sodium-chloride solid-state battery project in Saxony, Germany.

The approval was provided by the German Ministry of Economic Affairs and Energy under the STARK program, which funds projects aimed at transforming coal-dependent regions into centres of renewable energy innovation.

While the endorsement marks a major step forward, the grant remains conditional on financial close and the German parliament’s approval of the 2026 federal budget.

Conditional Grant Support

The €46.7 million package represents 30% of the project’s capital expenditure, excluding financing and working capital requirements.

It follows Altech’s successful completion of the second stage of the government’s approval process.

Managing director Iggy Tan said the confirmation reflected both strong government backing and the promise of a battery technology designed in partnership with Germany’s Fraunhofer Gesellschaft.

The company described the approval as “a great sign of support and a recognition of this innovative battery technology.”

Altech noted that it has been pursuing a range of funding opportunities offered by German state and federal authorities, as well as the European Union, to underpin its clean energy projects.

Transforming Coal Regions

The CERENERGY project is located in Saxony, a region transitioning away from lignite coal under Germany’s broader energy transformation agenda.

The STARK program aims to accelerate this shift by supporting technologies that contribute to an ecologically and economically sustainable future.

By positioning its production facility within this industrial heartland, Altech expects to benefit from both financial incentives and a skilled local workforce.

The company believes the project could serve as a cornerstone for Europe’s shift towards grid-scale renewable storage solutions.

Altech’s site also places it in line for broader EU support, with Brussels directing resources into projects that reduce reliance on fossil fuels and strengthen European energy independence.

CERENERGY Battery Background

The CERENERGY sodium-chloride solid-state battery uses table salt as a key input and avoids reliance on critical minerals such as lithium, cobalt, graphite and copper, thereby insulating Altech from volatile raw material prices and supply chain risks.

The batteries are intended to be fire- and explosion-proof, capable of withstanding extreme climates and delivering a lifespan of more than 15 years.

Altech is planning a 120-megawatt-hour production facility in Saxony, with the goal of producing modules for grid storage markets.

In parallel, Altech is advancing its Silumina Anodes project, which applies a proprietary high-purity alumina coating to silicon for use in lithium-ion batteries.

This technology has been shown to improve energy density and battery life, with plans for an 8,000 tonne per annum plant already underpinned by a Definitive Feasibility Study and green accreditation.

Twin-Track Strategy

The company’s development pipeline gives it exposure to both emerging alternatives to lithium-ion batteries and enhancements within the lithium-ion sector itself.

Altech sees CERENERGY as a long-term solution for grid-scale energy storage while targeting Silumina Anodes at supplying the rapidly growing electric vehicle market.

Together, these projects provide a twin-track strategy designed to position Altech as a major supplier of next-generation battery technologies across Europe.