Gravity-based energy storage developer Energy Vault lands 1.6 GWh deal
Gravity-based energy storage provider Energy Vault has landed a deal with DG Fuels for 1.6 GWh of energy storage to support sustainable aviation fuel projects.
The gravity storage systems will be deployed at DG Fuels projects in Louisiana, British Columbia, and Ohio, providing green electricity in conjunction with solar to match demand load of green hydrogen production. The renewable power will be used to power HydrogenPro water electrolysis for both hydrogen and oxygen feedstock production.
The deal is expected to generate $520 million in revenue, Energy Vault said. The first of the three projects is expected to commence in mid-2022.
“We are proud to collaborate with DG Fuels and its partners to economically enable 24/7 renewable power, supporting DG Fuels to execute against their plans to efficiently deliver green fuel to the aviation industry,” Energy Vault CEO Robert Piconi said. “Our energy storage systems are designed to maximize the use of local materials and stimulate local job creation, thus amplifying the sustainability benefits of DG Fuels’ deployment plans. These projects will play a critical role in reducing our reliance on fossil-based fuels while further advancing our country’s decarbonization goals.”
Read more: Energy Vault valued at $1.1 billion after merger
Energy Vault’s energy storage systems use gravity to store and release renewable energy on demand, giving grid-scale reliability to clean energy sources in place of fossil fuels.
Energy Vault’s special purpose acquisition merger with Novus Capital Corporation II in September valued the company at $1.1 billion. The company said at the time that it had eight executed agreements and letters of intent for 1.2 GWh of energy storage capacity, with deployments planned for later this year in the U.S., before rolling out in Europe, the Middle East, and Australia in 2022.
Energy Vault storage systems have a technical life of 35 years.
“We are pleased to be partnering with Rob and the Energy Vault team to deploy their innovative energy storage system which best meets our needs for reliable, cost effective, safe and sustainable energy storage,” said DG Fuels CEO Michael Darcy. “Energy Vault’s system will play a critical role within our technology and vendor ecosystem to efficiently deliver SAF to the transportation industry.”
Source: Renewable Energy