Altech (ASX:ATC) Advances CERENERGY® and Silumina Anodes™ Projects with Key Strategic Developments

Highlights

• Altech has received positive interest from banks and investors for CERENERGY® project funding.
• A 55% increase in energy density has been achieved with its Silumina Anodes™ battery material technology.
• Altech’s third offtake deal with Axsol covers a 5-year agreement for CERENERGY®
• The company raised AU$ 4 million through an oversubscribed share placement.
• Its CERENERGY® battery project received a “Dark Green” rating from CICERO, part of S&P Global Ratings.

Altech Batteries Limited (ASX:ATC), a specialty battery technology company, is focused on advancing its revolutionary CERENERGY® Sodium Chloride Solid State (SCSS) Battery Technology Project. Altech has a joint venture agreement with the renowned German government battery institute Fraunhofer IKTS, aimed at commercialising its CERENERGY® battery. Plans are in place to construct a 120 MWh production facility on the company’s land in Saxony, Germany, to produce CERENERGY® battery modules to provide grid storage.

Growing Interest in CERENERGY® Project

The company has developed a comprehensive financing plan and target structure, along with investment teaser documents and a data room. it has engaged with 10 commercial banks and two venture debt funds, all of which have expressed positive interest. Altech is now in the process of shortlisting a potential lead bank.

Regarding equity funding, the company is considering the sale of a minority interest in the project to unlock both capital and strategic value, with draft term sheets already shared with investors. Additionally, an offtake agreement in the form of a Letter of Intent (LOI) has been signed with ZISP.

Offtake Agreements and Strategic Partnerships

Altech has executed a second offtake LOI for its CERENERGY® GridPacks with Referenzkraftwerk Lausitz GmbH (RefLau), a joint venture of Enertrag SE and Energiequelle GmbH. The agreement covers an offtake of 30MWh in the first year, increasing to 32MWh in subsequent years.  

Altech has signed a strategic Heads of Agreement with Axsol GmbH, a certified supplier to NATO. The agreement includes an initial offtake of 10MWh in the first year, with a potential increase to 30MWh in subsequent years, and an option to scale up to 120MWh, subject to availability. This exclusive five-year agreement covers distribution for Western Defence Industries and cooperation on a multisystem battery management system (BMS). The company expects to commence deliveries in Q1 2026 after commissioning the production plant.

55% Boost in Li-ion Battery Energy Density

Altech’s Silumina Anodes™ Lithium-ion Battery Project has achieved a 55% increase in energy density, with an average energy retention capacity of approximately 500 mAh/g. This achievement follows Altech’s previous success in overcoming the “silicon barrier,” which led to a 30% increase in energy density. The company aims to continue pushing the boundaries of energy density to further enhance lithium-ion battery performance.

AU$4M Capital Raise to Accelerate Projects

Altech raised AU$4 million through an oversubscribed share placement at an issue price of AU$ 0.06 per share, reflecting a 50% premium to the recent entitlements issue on 07 August 2024. The funds will be directed towards advancing both the CERENERGY® and Silumina Anodes™ projects, helping to accelerate their development and commercialisation.

Green Rating and Share Performance

Subsequent to the quarter end on 24 January 2025, Altech announced that its CERENERGY® battery project received the highest possible green rating, “Dark Green,” from the independent Centre of International Climate and Environmental Research (CICERO), now owned by Standard & Poor’s Global Ratings in Oslo, Norway.

Shares of ATC closed at AUD 0.046 on 6 February 2025, up over 3.37% from the last close.