LONDON (Alliance News) - Shares in redT Energy PLC climbed on Thursday as it signed an exclusivity agreement with German energy development company Energy System Management GmbH for the delivery of two energy storage projects.
Shares in the energy storage company rose 27% to 6.20 pence on Thursday.
Under the agreement's terms, redT will provide two 40 megawatt-hours grid-scale energy projects as a first phase deployment, to supply secondary control reserve services to the German and Austrian markets.
The first phase will provide 80 megawatt-hours and is expected to start construction in 2019, and will become the first flow machines to provide SCR in Germany, as opposed to coal-fired power plants.
The two projects are intended to be the first phase of plans to roll out a further 690 megawatt-hours of projects in the future.
"These projects are a groundbreaking development, not only for redT but for European energy markets as a whole. We are very pleased to partner with ESM, and together we look forward to delivering these projects to market. redT is proud to be the exclusive energy storage partner on the initial 80 megawatt hours phase, with a planned expansion of an additional 690 megawatt hours of future projects," said Chief Executive Scott McGregor.
"This is a real long-term infrastructure application for energy storage - providing four-hours of capacity to the grid and supporting the growth of renewables, which is what stationary energy storage is designed to do. We are pleased that economic models in the market now support this development," McGregor added.
