RedFlow 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.
The company has now completed its prototype large scale energy storage system, and the development of this working prototype is an important milestone.
The AusIndustry's Cleantech Innovation Fund provided funding assistance.
It is the culmination of over 18 months of work where RedFlow delivered all milestones on time and under budget, with the company now expecting to achieve the final milestone and final milestone payment on 30th September.
Stuart Smith, CEO of RedFlow, commented: "The fact we now also have a cost competitive large scale and high voltage product capable of deployment in the field places us in a strong position.
"Manufacturing capability is being transferred to Flextronics and we expect to be in a position to commence supplying commercial volumes from the end of this calendar year."
RedFlow's standard 3kW/8kWh zinc-bromide battery module (ZBM) is designed to be integrated into energy storage systems for a range of stationary applications.
It has also developed a large scale containerized solution with a nominal voltage of 440V-750V DC.
The ZBM's specific characteristics of daily deep charge and discharge capability make them ideal for storage of intermittent renewable energy, managing peak load on the grid as well as for supporting off-grid or micro-grid power systems.
Flextronics; a $6B partner
Flextronics brings its manufacturing expertise to the table, which brings scalability that could help reduce the cost of batteries as well as quality assurance, repeatability and consistency.
It also has a proven track record for successful product introductions for OEM partners.
The Technical Outcome
RedFlow has successfully charged and discharged 48 batteries in 4 strings producing 500-720V on a common DC Bus.
This has been coupled with and tested on a 144kW ABB inverter (PCS100)
connected to the grid. During testing, the full power of the inverter was sourced from the batteries and discharged.
Similar tests in terms of DC bus parameters will be conducted on a 25kW PureWave® CES inverter from S&C which has already been successfully coupled with the batteries and the grid.
Potential market size
Lux Research estimating that the energy storage market could be worth a potential $114 billion by 2017.
Zinc bromine batteries are expected to have a 19% market share of this market.
RedFlow is therefore perfectly positioned to benefit from the increased demand and usage of these batteries.
Points of presence in Europe
Last week RedFlow signed a non-exclusive agreement with BlueSky Energy GmbH for supply and a point of presence in Europe.
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.
Proactive Investors believes that the market opportunities for RedFlow's batteries for large scale energy storage from wind and solar, and for a variety of "mini-grid" applications, are considerable.
Highlighting the demand, the company has not yet marketed the product, yet it is already in early discussions with potential customers for the commercial application of this storage product.
Combined with the recent progress on DC component batteries, the end storage system will incorporate 60 batteries in an easily transportable 20 foot shipping container housing which can produce 0.6MWh of energy at up to 750V DC.
Any number of separate systems can then be linked to comprise MW scale storage capacity as required.
The company is well-funded with over $10 million in cash at the end of June 2014.
RedFlow shares are expected to trade higher today, as the company continues to be re-rated as it consistently hits milestones on time and budget.
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