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RedFlow Signs Supply Agreement With BlueSky Energy GmbH

RedFlow's (ASX:RFX) shares are expected to firm after signing a non-exclusive agreement with BlueSky Energy GmbH for supply and a point of presence in Europe.

The company is a leading developer of zinc-bromide flow batteries, and is well-funded with over $10 million in cash at the end of June 2014.

BlueSky is an energy storage integrator currently offering a variety of products to the market and have both a direct sales team and distribution partners throughout Europe.

In other recent supply agreements, RFX entered an agreement in June with the global leader in energy management Schneider Electric (EPA:SU), which is capitalised at around EUR40 billion.

BlueSky and RFX

BlueSky will continue offering their current products as well as the RFX battery which provides a higher-density energy product at a lower cost.

BlueSky has purchased a battery from RFX which is currently operating at their factory in Austria.

Stuart Smith, RFX ceo, said that the company looks forward to a long relationship with BlueSky whose team have a successful history of getting products to market.

"Their strategy is complementary to RedFlow and we look forward to entering the European market with an entrepreneurial and dynamic team and our innovative technology."

BlueSky founder and director, Hansjorg Weisskopf, added: "The RedFlow battery and the containerized offering is well suited for the German and other European markets.

"The installed solar base is very high in Germany in particular and we believe the RedFlow battery will suit this market.

"The recently completed RedFlow 500kWh containerized solution also provides a compelling business case in selected applications where up to 800V DC power is required.

"The round trip efficiency of approximately 80% is also a clear differentiator."

RedFlow in Europe

RedFlow have formed RedFlow Europe GmbH, 100% owned by RedFlow Ltd and registered in Germany, to service and support its operations in the European market.

Additional collaboration

In addition, a separate collaboration agreement has been signed whereby RFX will be leasing warehouse and office space from BlueSky to provide a point of presence for the European market.

Empty batteries will be shipped from the manufacturer, Flextronics, and filled with electrolyte, tested and then transported by road or rail to customers in Europe.

RFX's Zinc Bromine Flow Batteries

The ZBM flow battery is a high performance battery that provides high energy density and best performance in deep discharging applications.

It operates at 100% and partial charge and discharge without degradation.

Recent developments have meant that all electrical components on the battery are now DC powered and all components that previously required an auxillary AC power supply have been replaced with DC components.


RFX now has a pathway into the European market through the deal with BlueSky, and follows on from the recent supply agreement with the US$40 billion capped Schneider Electric.

Earlier in the year RFX's technology attracted internet entrepreneur Simon Hackett, who is also a NBN director, and invested over $2 million at a premium.

RFX has previously forecast sales of at least 250-300 batteries per month by the end of 2015.

Highlighting the market potential for RFX, zinc bromine batteries are expected to have a 19% market share the energy storage market predicted to be worth $114 billion by 2017.

RFX is well-funded with over $10 million in cash at the end of June 2014.

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