Altech Batteries (ASX:ATC) has signed its third lead offtake agreement for its CERENERGY GridPack battery technology, this time with German renewable energy provider Axsol GmbH.
The agreement will see Axsol, a NATO certified supplier, exclusively distribute Altech’s CERENERGY batteries to Western defense industries. The agreement includes an initial offtake of 10 MWh in 2027, increasing to 30 MWh per year from 2029 to 2031. There is also an option to expand to 120 MWh per year, subject to availability.
Altech’s CERENERGY battery technology uses a sodium chloride solid-state system as an alternative to lithium-ion batteries. The batteries are non-flammable, fire resistant and designed to operate in extreme environments, making them suitable for military and government use.
Altech and Axsol will also collaborate on a multi-system battery management system to integrate various battery technologies and energy sources. This aligns with the growing trend to use hybrid energy storage systems for increased flexibility and resilience.
Altech plans to begin production of its CERENERGY batteries at its factory in Saxony, Germany, with deliveries to Axsol expected to begin in early 2027.
Altech shares are trading up 2.33% at 4.4 cents.
