4th Jun 2014 10:54
LONDON (Alliance News) - Camco Clean Energy PLC Wednesday said its subsidiary Renewable Energy Dynamics Technology Ltd has entered into a manufacturing agreement with Jabil Circuit Inc to accelerate REDT's development towards commercial sales of its flow batteries in the near future.
REDT, which has developed a flow battery for energy storage, is 49% owned by Camco, a developer of emissions reduction and clean energy projects.
Under the agreement with Jabil, REDT will be provided with a scale manufacturing capability that enables it to speed up its market deployment plans and it expects to be in a position to start commercial sales in the near future, with Jabil starting production of the REDT Vanadium Redox Flow Battery from its UK base in Livingstone.
It expects the first 20 units to be launched in early 2015, with a further 5,000 units expected to be manufactured between 2015 and 2017.
The battery enables electrical energy generated from renewable sources, such as wind and solar, to be stored in liquid form, potentially solving a key issue holding back the wide-scale adoption of renewable energy - how to create a consistent supply of energy, including at night and during calm weather conditions.
REDT successfully proved the commercial nature and storage power of its technology in 2012 and since then has been conducting demonstration projects in the UK and Portugal.
The company said that Jabil contracted detailed technical due diligence, patent rights protection and market demand research on REDTs battery prior to entering into the deal.
"After a lengthy quality research and demonstration phase the REDT battery is now ready for commercialisation. Outsourcing our manufacturing, as a non-core skill, to such a credible and quality partner as Jabil will ensure we can commercialise a high quality REDT battery at large volumes which can meet the strong demand for storage," Chief Executive Officer Scott McGregor said in a statement.
Camco Clean Energy shares were up 11% to 7.34 pence, putting it amongst the top AIM ALL-Share risers on Wednesday.
By Tom McIvor; [email protected]; @TomMcIvor1
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