REG - Gelion PLC - Energy Storage Integration Solutions Launch

GelionAnnouncement

16/10/2024 07:00

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20241016:nRSP3899Ia&default-theme=true

RNS Number : 3899I  Gelion PLC  16 October 2024

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF
REGULATION 2014/596/EU AS IT FORMS PART OF UK DOMESTIC LAW BY VIRTUE OF THE
EUROPEAN UNION (WITHDRAWAL) ACT 2018 ("MAR"). UPON PUBLICATION OF THIS
ANNOUNCEMENT THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC.

16 October 2024

Gelion plc

("Gelion" or the "Company" or the "Group")

Energy Storage Integration Solutions Business Launch with £1m commercial
order

Gelion (AIM: GELN), the Anglo-Australian battery innovator, announces the
launch of its Energy Storage Integration Solutions business, with the award of
its first commercial order, expanding Gelion's charter to become an end-to-end
battery technology innovator and energy storage company.

Highlights

 ·             Secured its first commercial order to supply battery energy storage systems
               (BESS) to Group Energy Pty Ltd (part of the larger Borg Group), with ~£1m
               revenue and modest margins expected to be recognised in the current financial
               year (H1 calendar year 2025).
 ·             Potential for expansion across further Borg Group sites in the future.
 ·             Leverages Gelion's in-house expertise in Battery Management systems (BMS) and
               BESS integration, which are critical elements to bring battery technology to
               commerciality.
 ·             Establishment of route to market for Gelion's next-generation battery
               technologies.

Borg Group ~£1.0m order

Gelion's commercial order worth ~£1.0m was placed for two high-performance 1
MW/ 2 MWh lithium-ion (high-performance and readily available third-party
cells) containerised BESS to be delivered to Australian company, Group Energy,
part of the larger Borg Group ("Borg").

Borg intends to use the BESS to help achieve its sustainability goals,
participate in the Australian frequency response market, and conduct energy
arbitrage and peak shaving.

Gelion's proprietary battery monitoring software will capture key BESS data to
understand critical performance and operational parameters in real-time
enabling proactive maintenance and maximisation of the BESS cycle life for
Borg.

Next-Generation Technologies Route to Market

To support the transition to renewables, Gelion has established its
Integration Solutions business which will utilise and develop its existing
capabilities (that support its own battery chemistry developments) and
commence the commercial supply of BESS to its customers.

The Integration Solutions business leverages the extensive knowledge,
capability and experience of Gelion's Engineering and Operations team which
has a proven track record of delivering over c.300 MWh successful BESS
projects.

Gelion will initially focus on the Australian market, providing BESS with
storage capacity between 100 kWh and 10 MWh. Targeted applications include:

 ·             Commercial & Industrial - On-site battery systems to optimise energy
               costs, provide grid stability services and protection against grid power
               outages.
 ·             Stand-Alone Power Systems - Off-grid solar PV and BESS for remote locations,
               providing reliable power to sectors including telecommunications, agriculture,
               mining, and defence.
 ·             Reserve Power - Back-up power solution for essential services including the
               telco market.

Gelion's vision is to expand its integration capabilities, strengthen customer
relationships, and progressively introduce its proprietary battery
technologies as they reach commercialisation. This approach enables the
Company to deeply embed itself as a trusted supplier, gaining valuable
insights into customer needs and requirements. By customising its own products
to meet these specific demands, Gelion aims to strengthen customer
relationships and position itself as a preferred partner. This strategy is
expected to accelerate market entry when its proprietary products are ready,
while generating revenue and margins that will help offset development costs,
further driving innovation and growth.

Integration Solutions business established

Gelion will initially integrate high-performance third-party cells into the
BESS, monitored by its proprietary cloud-based battery monitoring software.

Industry analysts Wood Mackenzie forecast the global energy storage market to
grow by more than 600% 1  to 2033, with Australia ranking as the fourth
largest market. Australia's beneficial climate and vast footprint has enabled
renewable energy deployments to surge. The recently announced Australian
government funding and competitive wholesale and frequency markets further
underpin the energy storage growth estimate.

Gelion CEO John Wood said: "Our team at Gelion has end to end experience in
energy storage, from advanced cell chemistry, through product and application
integration to cloud-based monitoring.  We are structuring to build
commercial success while also sustaining and developing the customer facing
expertise that will help us introduce our own leading technologies.  We value
the opportunity to provide this solution to Borg Group, an Australian company
deeply committed

to sustainable practice and look forward to growing the Integration business
in conjunction with the development of our Li-S and Zinc based battery
technologies."

Borg Group Managing Director, John Borg said: "We are excited to partner with
Gelion, an Australian energy storage innovator, to support our net-zero goals
and enhance our sustainable business practices across the Borg Group. We are
confident in the success of this project and look forward to expanding these
integrated solutions across additional Borg locations in the future."

CONTACTS

 Gelion plc                                                    via Alma

 John Wood, CEO

 Amit Gupta, CFO

 Thomas Maschmeyer, Founder and Principal Technology Advisor
                                                               +44 207 220 0500

 Cavendish Capital Markets Limited

 (Nominated Adviser and Broker)

 Corporate Finance

 Neil McDonald

 Seamus Fricker

 Adam Rae

 Sales

 Louise Talbot

 Alma Strategic Communications (Financial PR Adviser)          +44 20 3405 0205

 Justine James                                                 gelion@almastrategic.com (mailto:gelion@almastrategic.com)

 Hannah Campbell

 Will Ellis Hancock

 

About Gelion

Gelion ("gel: ion") is a global energy storage innovator, supporting the
transition to a more sustainable economy by commercialising two globally
important next generation technologies: Lithium-Sulfur (LiS) and Zinc-based
(Zn) hybrid cells to electrify mobile and stationary applications. Gelion plc
(the Group) is listed on the London Stock Exchange's Alternative Investment
Market and wholly owns Australia based Gelion Technologies Pty Ltd and UK
based OXLiD Ltd. Gelion is designing and delivering innovative battery
technologies and integrated systems solutions to enable that transition and
return value for its customers and investors.

Lithium Sulfur

Gelion's effort is directed at the potential for the Li-S chemistry to deliver
double the gravimetric energy density of standard Lithium-ion chemistries
whilst concurrently reducing cost and increasing safety, targeting the EV and
e-aviation market, helping to make global transport, energy consumption and
storage more sustainable.

Gelion is developing a GEN 3 Lithium Sulfur cell product for its high energy
density sulfur cathode at its expanded R&D facilities in Australia and UK,
enabling it to integrate with a variety of anodes ranging from graphite to
silicon to lithium metal, depending on the targeted application.

Gelion's GEN 3 cell is unlocking the potential of sulfur batteries for a wide
range of global mobile applications including electrical
vertical-take-off-and-landing (eVTOL), drone markets, electric vehicles (EVs)
and stationary energy storage (ESS).

Advantages of Gelion's GEN 3 Lithium Sulfur

 ·               High energy density - Energy density > 400 Wh/kg, when using a 10+ Ah
                 pouch cell.
 ·               Semi-solid-state as a route to increased longevity/cycle life: GEN 3 employs a
                 semi-solid-state mechanism, maintaining the sulfur-based cathode materials in
                 the cathode, preventing their diffusion into the electrolyte and diminishing
                 associated battery degradation caused by reactive polysulfides. This approach
                 mitigates the major degradation factor associated with conventional Li-S
                 technology.
 ·               Increased sulfur utilisation: GEN 3 demonstrates the full theoretical
                 capacity of sulfur, i.e. a much higher sulfur utilisation than found in
                 conventional Li-S approaches.
 ·               Simplified supply chain: The innovative cathode is produced by mixing
                 commercially available materials with abundant sulfur using a low-energy,
                 room-temperature process, with potential to eliminate the need for
                 pre-fabrication of the sulfur composite (sulfur composite is related to
                 cathode active material in conventional lithium-ion batteries), streamlining
                 the associated supply chain and production process and enabling localised
                 manufacturing.
 ·               Environmental and economic benefits: The water-based, standard-atmosphere
                 cathode production process eliminates the need for toxic solvents, leading to
                 significant cost savings and enhanced manufacturability.

Zinc

Gelion is adapting its zinc technology to comprise an alternate cathode
technology, a zinc hybrid cell to develop complementary next-generation
batteries for the lead-acid eco-system. Early testing indicates that this
solution has the potential to maintain good energy density levels with
enhanced cost and safety aspects. Once fully developed, Gelion intends for our
zinc technology to provide a durable and sustainable market extension within
the ecosystem that supports lead-acid batteries.

Recycling

Gelion is pioneering an innovative battery recycling technology designed to
enhance and supplement current recycling methods. Our technology aims to
significantly reduce the initial costs of recycling plants, minimize waste,
and lower carbon emissions, while improving the purity of metal products and
enabling efficient lithium extraction. This advancement will allow for a
broader range of scrap materials to be recycled. Currently in the feasibility
stage, Gelion is committed to advancing our technology to a pilot-scale
demonstration, paving the way for commercialisation through material
production and IP licensing.

Integration

Gelion leverages its significant integration and BMS capability to deliver
bespoke BESS for Australian customers. These BESS are currently based on
lithium-ion technology and will also include Gelion's next-generation
batteries as these become available. Gelion will deploy BESS with our
proprietary cloud-based battery monitoring system, which will provide
real-time diagnostics and alerts to maximise performance and return on
investment for our customers

 

 1 
https://www.pv-magazine.com/2024/07/09/global-energy-storage-fleet-to-surpass-1-tw-3-twh-by-2033-woodmac-says/
(https://www.pv-magazine.com/2024/07/09/global-energy-storage-fleet-to-surpass-1-tw-3-twh-by-2033-woodmac-says/)

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  CNTFFDSIMELSELS