Highlights

• ATC has executed a new offtake Letter of Intent (LOI) for CERENERGY® energy storage capacity.
• LOI executed with Referenzkraftwerk Lausitz GmbH (RefLau), a joint venture between Enertrag SE and Energiequelle GmbH.
• Under the agreement, ATC will purchase green electricity from regional partners for its planned battery production facility.

Altech Batteries Limited (ASX:ATC, FRA:A3Y), through its subsidiary Altech Batteries GmbH, has secured a second Offtake Letter of Intent (LOI) with Referenzkraftwerk Lausitz GmbH (RefLau), a joint venture between Enertrag SE and Energiequelle GmbH.

Under the agreement, RefLau will purchase 30 MWh of CERENERGY^® energy storage capacity in the first year, increasing to 32 MWh annually over the following four years.

As part of the arrangement, ATC will source competitively priced green electricity directly from the partners for its planned battery production facility in Germany.

Key Features of the Partnership:

• CERENERGY® GridPacks: RefLau will begin purchasing with deliveries starting in Q4-2026.
• Purchase Targets: Initial target of 30 MWh in 2027 with 32 MWh annually from 2028 to 2031.
• Confidential Pricing: A price agreement per GridPack has been established with technical data and guarantees as per the data sheet.

Partnership goals

Altech, Enertrag, and Energiequelle intend to collaborate on supplying green electricity to Altech’s battery facility, with to the potential to incorporate its CERENERGY® storage systems. This collaboration aims to stabilise renewable energy output, ensuring a reliable power supply while enabling hybrid power islands.

The partnership will establish electricity contracts to supply green energy to ATC’s battery plant from Enertrag and Energiequelle’s facilities.

The goal is to develop a standard hybrid power island powered by 80 MW of solar and wind energy, incorporating 32 Altech CERENERGY® 1MWh GridPacks. Enertrag and Energiequelle have agreed to purchase these storage units. This standardised solution will be deployed across Europe for decentralised energy solutions.

 These decentralised standalone energy solutions, referred to as an “Energy Island”, are designed to integrate seamlessly into existing power grids. With their cost-effective nature, this model is expected to become a preferred model for decentralised energy systems across Europe.

About the Partners

Image source: Company update

A major player in the renewable energy sector, Enertrag specialises in wind turbines, solar power, and power-to-gas systems, with operations in Germany, France, South Africa, Vietnam and other countries.

Headquartered in Zossen, Germany, Energiequelle develops renewable energy projects, including wind, solar, and biomass. The company is also advancing green hydrogen production and partially converting it back of electricity. Energiequelle plans to set up a facility near Altech.

Data source: Company update

ATC shares were trading at AU$0.049 apiece at the time of writing on 26 November 2024.