Altech Batteries (ASX: ATC) has confirmed a $4 million capital raise to accelerate the development of its promising CERENERGY technology, which is being touted as a game-changer in the battery industry. With its fire- and explosion-proof design, CERENERGY batteries are gaining attention as a safer and more sustainable alternative to traditional lithium-ion batteries.
The funds will support Altech’s ambitious plans, including the commissioning of its Silumina anodes pilot plant and the fabrication of a second 60-kilowatt-hour battery prototype. The company is also gearing up for the next phase of its CERENERGY project: securing project finance and exploring a larger production facility.
Driving Innovation in Battery Technology
CERENERGY batteries have emerged as a potential disruptor in the energy storage market. Free of critical metals like lithium, cobalt, graphite, and copper, these solid-state batteries rely on abundant materials such as table salt.
- Key Benefits of CERENERGY Batteries:
- Fire- and explosion-proof design.
- A lifespan exceeding 15 years.
- Capable of operating in extreme climates, from freezing cold to scorching deserts.
Managing Director Iggy Tan described the timing of the capital raise as pivotal. “We are encouraged by the strong market interest in our current initiatives,” Tan said.
The funds will also facilitate a preliminary study for a potential 4-gigawatt-hour battery facility, which could significantly expand the commercial reach of CERENERGY technology.
Strong Market Confidence
Altech’s recent capital raise highlights growing investor confidence in the company’s direction. The placement at $0.06 per share represents a 50% premium over the $0.04 per share offered during the company’s August entitlement issue.
Tan assured shareholders of the company’s commitment to maintaining value, stating, “Altech does not intend to conduct another entitlements issue at the higher price.”
This strategy reflects the company’s growing market traction and its determination to balance innovation with shareholder value.
Collaboration with Fraunhofer IKTS
Altech’s partnership with Germany’s Fraunhofer IKTS is a cornerstone of its CERENERGY strategy. The joint venture aims to commercialize solid-state battery technology and construct a 120-megawatt-hour production facility in Saxony, Germany.
- Facility Objectives:
- Manufacture CERENERGY battery modules.
- Provide grid storage solutions to meet growing energy demands.
The JV leverages Fraunhofer IKTS’s expertise in battery research and Altech’s strategic position in the battery supply chain. Together, they are addressing critical challenges like supply chain risks and fluctuating metal prices.
Expanding Production Capabilities
The $4 million injection also sets the stage for the potential development of a 4-gigawatt-hour production facility. If realized, this facility would significantly scale up CERENERGY’s market presence and production capacity, supporting grid storage and other large-scale energy applications.
- Next Steps:
- Fabrication of a second 60-kilowatt-hour prototype.
- Commissioning of the Silumina anodes pilot plant.
- Preliminary study for the larger facility.
These milestones represent a systematic approach to advancing CERENERGY’s commercial readiness.
A Sustainable Future
By sidestepping reliance on critical metals, Altech is positioning CERENERGY as a sustainable solution to the growing demand for energy storage. As global markets grapple with the volatility of lithium and other metals, this technology offers an innovative alternative that reduces environmental impact and enhances supply chain resilience.
With strong market interest and strategic partnerships, Altech Batteries is charting a bold course toward transforming the energy storage landscape.
