The next-gen battery developer RedFlow Ltd [ASX:RFX] share price has soared today, thanks to the announcement the company had just signed its largest battery sale.
The agreement, which will see RFX batteries used to supply energy storage in California, has sent the RFX share price up 37.04%, at the time of writing, to trade at 7.4 cents per share.
Source: Trading View
The RFX share price reached a 52-week high last month, spurred on by a partnership with Optus to supply RFX batteries as part of the Australian Government’s Mobile Network Hardening Program.
RedFlow announces single largest sale
Excitement surrounding RFX shares seemed to return today after the battery developer announced it would supply its batteries to global waste recovery leader Anaergia Inc.
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The energy storage system will comprise of 192 zinc-bromine flow batteries to support two megawatt hours at Anaergia’s Rialto Bioenergy Facility in California as part of the Facility’s microgrid.
As part of the sale, RFX will receive more than US$1.2 million (excluding taxes) for the system.
Though this will occur in stages including on signing, on shipment, on delivery of goods to site, and on practical completion.
Expected to occur in Q3 of this calendar year.
When operational, the facility will be North America’s largest landfill diverted organic waste digester facility.
And will convert 700 tons per day of organic waste and 300 tons per day of biosolids into renewable natural gas and Class A fertiliser.
RFX’s technology will enable Anaergia to store and supply up to 2MWh of energy during the daily 4–9pm peak tariff period.
CEO Tim Harris commented on today’s milestone:
‘Our batteries thrive on heat and hard work, which is exactly what Anaergia requires from them.
‘This project also enables Redflow to establish a presence in California, where we can offer commercially-proven zinc-bromine flow battery solutions to the broader Californian and US energy market, which is expected to rapidly transition to renewable energy.
‘We are very excited about the potential for Redflow in California and the broader US market.’
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Anaergia’s microgrid project was funded in part by a grant from the California Energy Commission and consists of the batteries, a biogas conditioning system to support a 2.0MW biogas-fuelled cogeneration unit, and a microgrid control system.
California is seeking to decarbonise its electric grid by 2045.
To do so would mean it needs to deploy between 45 and 55 GW of long-duration energy storage if it is to achieve its target.
Or 150 times the energy storage currently built and operational.
Meaning California alone could represent a significant market for RFX’s products.
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Regards,
Lachlann Tierney,
For Money Morning
