REG - Gelion PLC - Factory Acceptance Test Complete & First Revenue

GelionAnnouncement

17/04/2025 07:00

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RNS Number : 4383F  Gelion PLC  17 April 2025

17 April 2025

Gelion plc

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

Completion of BESS factory acceptance testing

Recognition of first revenue of £780,000 for 4MWh BESS order

 

Gelion (AIM: GELN), the global energy storage innovator, announces that
(further to the announcement on 16 October 2024), it has now completed the
factory acceptance testing for the 4-megawatt hour (MWh) battery energy
storage system (BESS), and is delivering it to Group Energy Pty Ltd (part of
the larger Borg Group). Installation and commissioning is planned for June
2025, followed by go live operations.

Accordingly, Gelion will recognise £780,000 of revenue in April / early May
2025, representing approximately 80% of the order value, with the remaining
20% to be recognised on successful commissioning.

Highlights

 ·    Successful completion of the BESS factory acceptance test enabling
 shipment of two 2MWh BESSs to Borg Group sites in Somersby and Charmhaven near
 Sydney, Australia

 ·     First revenue recognition for Gelion's Integration Solutions
 business, with £1.0m total order value

 ·     Installation and commissioning of the BESSs planned for June 2025
 ·    Potential for additional BESS installations across Borg Group and
 others in the future, with a growing sales      pipeline with potential
 customers across multiple industries including Manufacturing, Building
 Materials, Education and Property Development

 ·     Gelion is targeting £2.0m+ Integration Solutions revenue in
 FY2026

 ·    Integration activities support market understanding for Gelion's
 next generation battery technologies as they are developed

Gelion CEO, John Wood, commented: "It's a privilege to have the opportunity to
supply these state-of-the-art Gelion BESS solutions to industry leading Borg
Group. Our team has worked closely with our partners to specify and have our
first two containerised BESS for Borg Group assembled and validated. The
successful completion of Factory Testing of these integrated systems gives us
confidence they will perform well at Borg Group's manufacturing sites. Our
Integration Solutions team is growing a strong pipeline of additional
potential customers, who like Borg Group, are seeking the benefits of energy
storage to support the transition to renewables."

Borg Group Managing Director, John Borg, added: "Our team is looking forward
to receiving our BESS units from Gelion in the near future. We expect these
systems to generate revenue by participating in the spot electricity market to
offset our energy costs and make the best use of our existing and future solar
PV. Based on successful BESS operations, we will look to further expand the
use of BESS systems within our operations for their commercial and
sustainability benefits."

Gelion's 1MW/2MWh BESS, 20-foot containerised all-in-one system ready for
shipment

 

Borg Group BESS Implementations

The two 2MWh BESS installations are the first of potentially many BESSs to be
implemented at Borg Group sites throughout Australia. Installation and
commissioning of the BESSs are planned for June 2025, followed by go live
operations.

Borg Group intends to use the BESSs to help achieve its sustainability goals
and reduce energy costs by participating in the Australian frequency response
market, conducting energy arbitrage and peak load shaving.

Each BESS is a fully integrated 20ft container including 2 MWh of high-quality
lithium-ion batteries and 1 MW of efficient, high-performance inverters with
fast power response (<100 milliseconds) suitable for Australia's frequency
response market.

Gelion will help maximise return on investment for Borg Group by using the
Company's in-house developed remote BESS monitoring software. The software
captures key BESS data to understand critical performance and operational
parameters in real-time enabling proactive maintenance and maximisation of
BESS cycle life. Borg Group subsidiary, Crossmuller Pty Ltd, will work closely
with Group Energy and Gelion to provide on-site civil works and integration of
the BESSs with building and electrical systems.

Integration Solutions Growing Sales and Pipeline

Gelion's experienced Integration Solutions team are initially focussed on
providing BESS solutions with capacity between ~100 kWh and ~10 MWh to
Australian Commercial and Industrial (C&I) and Government customers.

Gelion is targeting £2.0m+ Integration Solutions revenue from the Australian
market in FY2026. The team is growing a strong sales pipeline with potential
customers across multiple industries including Manufacturing, Building
Materials, Education and Property Development.

CONTACTS

 Gelion plc                                               via Alma

 John Wood, CEO

 Amit Gupta, CFO

 Strand Hanson Limited (Nominated and Financial Adviser)  +44 (0) 20 7409 3494

 Christopher Raggett / Rob Patrick

 Oberon Capital (Broker)                                  +44 20 3179 5300

 Nick Lovering/ Mike Seabrook / Adam Pollock

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

 Justine James / Hannah Campbell / Will Ellis Hancock     gelion@almastrategic.com (mailto:gelion@almastrategic.com)

 

This announcement contains inside information for the purposes of Article 7 of
EU Regulation No. 596/2014, which forms part of United Kingdom domestic law by
virtue of the European Union (Withdrawal) Act 2018, as amended.

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), Sodium-Sulfur
(Na-S) 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 and Battery Minerals 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.

 

 

Integration Solutions

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.

About Group Energy

Group Energy is part of the Borg Group, a proudly Australian-owned business
that includes companies such as Porta Products (formerly Australian Panels),
polytec, Crossmuller and reDirect Recycling.

Established to support Borg Group's energy, carbon and sustainability
initiatives, Group Energy plays a key role in driving renewable energy
adoption, emissions reduction and energy resilience.  We own and operate 16
MW of rooftop solar PV, generate environmental certificates such as
Large-Scale Renewable Energy Certificates (LGC's) and Australian Carbon Credit
Units (ACCUs), and lead sustainability and energy efficiency activities.

As a registered market participant with the Australian Energy Market Operator
(AEMO), we will operate the BESS to optimise revenue through spot market
arbitrage and frequency control ancillary services (FCAS), whilst maximising
the use of on-site solar generation.

 

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