Altech Batteries has sealed a third offtake agreement with Axsol GmbH, a defence market renewable energy solutions supplier for NATO based in Germany. The partnership is set to provide Axsol with up to 120MWh of energy storage over the first five years from Altech’s groundbreaking Cerenergy salt batteries.
Cerenergy’s solid-state sodium chloride batteries are potentially a game-changing alternative solution to standard lithium-ion batteries which have seen stellar uptake in recent years.
Altech’s agreement includes an initial commitment to supply 10MWh of batteries in the first year, scaling up to 30MWh annually in subsequent years with the potential to reach 120MWh per year depending on availability.
The company says Axsol is renowned for integrating solar, wind, and hydrogen energy systems and will also serve as Altech’s exclusive distribution partner to facilitate sales of Cerenergy into the lucrative western defence industry.
Management believes the partnership will capitalise on Axsol’s established reputation within NATO and other allied forces streamlining qualification procedures and accelerating market entry for Altech’s battery technology.
Altech Batteries CEO Iggy Tan said: “We are delighted to have secured such a competent partner in Axsol, enabling Altech to enter the highly attractive defence-related market segment with our CERENERGY® GridPack Battery Energy Storage System. Axsol’s strong interest in our technology highlights the unique advantages of Altech’s CERENERGY® Sodium Chloride Solid State Battery technology and the exceptional unique selling points we bring to the market.”
Altech’s is hopeful its cutting-edge Cerenergy technology will become a vital component in defence applications thanks to its robust, durable and non-flammable design.
Management says the batteries, which it plans to develop in collaboration with Germany’s Fraunhofer IKTS, offer a safer and more sustainable alternative to traditional lithium-ion batteries.
Sodium-chloride, a basic ingredient in table salt, has the potential to significantly reduce the production costs compared to the current mineral rich lithium and cobalt-rich batteries being adopted.
Altech says the batteries have exceptional performance in extreme conditions, from freezing temperatures to desert heat and a projected life span of more than 15 years making them an ideal alternative for renewable energy applications.
Importantly, the inked heads of agreement with Axsol also includes a collaborative component designed to develop a multisystem battery management system (BMS) which Altech hopes should seamlessly integrate Cerenergy batteries with other energy sources.
Aligning with the anticipated commissioning of Altech’s state-of-the-art production facility in Saxony, Germany, deliveries to Axsol are slated to begin in the first quarter of 2027.
The partnership with Axsol builds on Altech’s growing list of strategic alliances for its state-of-the-art technology. Cenergy would seem to be a perfect fit in providing a scalable, future solution for energy storage across the high-demand and heavily funded markets of defence and renewable energy.
Is your ASX-listed company doing something interesting? Contact: matt.birney@businessnews.com.au
By Andrew Todd
