Altech Batteries and ZISP sign strategic agreement for renewable energy storage in Germany

Altech Batteries (ASX: ATC) has signed a strategic offtake letter of intent for the sale of units of its unique CERENERGY battery storage system.

Under the initial agreement between German organisation Zweckverband Industriepark Schwarze Pumpe (ZISP) and Altech Batteries, ZISP will purchase 30 megawatt-hours of energy storage capacity annually, consisting of 1MWh GridPacks, for the first five years of production from 2027.

Altech’s scalable BESS solution ensures renewable energy is stored efficiently, overcoming a key challenge for Germany in transitioning from coal.

Nationwide shift

Germany’s Energiewende policy is driving a nationwide shift from fossil fuels to renewable energy.

The partnership between ZISP and Altech is seen as a key step in replacing coal with sustainable, renewable energy solutions that align with Germany’s 2020 legislative mandate for the coal phase-out.

The project also supports ZISP’s goal of achieving certification under the EU’s “Zero Valley” initiative, making Schwarze Pumpe a model for renewable energy storage and generation.

First offtake

Chief executive officer Iggy Tan said the signing is an important step for Germany and Altech.

“This letter of intent marks a significant milestone for Altech Batteries as it represents our first offtake agreement for the CERENERGY GridPack Battery Energy Storage System,” Mr Tan said.

“The interest shown by ZISP in our technology is a clear signal of growing demand for innovative energy storage solutions, particularly as industries shift toward 100% renewable energy.”

Mr Tan said he expects the partnership will pave the way for future demand as the industrial park moves toward a green energy future.

Assembly success

Altech reported in mid-July that all 240 cells for its first CERENERGY ABS60 BatteryPack Prototype had been fabricated, assembled and initialised at its Fraunhofer IKTS Hermsdorf pilot plant in Germany.

To validate a homogeneous cathode material distribution, all cells were cycled through several testing stations at Fraunhofer and Arnstadt.

During the fabrication of the two 60kWh prototypes, several design improvements aimed at increasing the cell’s energy capacity and lowering the nickel content were added to the cell’s positive probe.

The re-design of the positive probe allows for slightly faster charging and discharging while lowering the unit costs of the battery.

Testing revealed that most cells had higher-than-expected energy capacities, an outstanding result that strongly supports the chosen electrode design.