EnerVenue, a startup that has developed an alternative to lithium-ion batteries for long-term renewable energy storage, raises $515 million in latest capital annually filing with the SEC seen by TechCrunch.
The company is in the means of building a gigawatt factory in Kentucky to provide nickel-hydrogen batteries. estimated cost $264 million. Most recently, the company raised $125 million in a Series A round that closed in late 2021. Given the scale of investment in the factory, it is likely that latest funds will likely be allocated to the project.
EnerVenue has so far raised $308 million of its $515 million goal, filings show. An organization spokesperson didn’t immediately reply to a request for comment at the time of publication.
The startup’s nickel-hydrogen technology relies on batteries that were originally used to store energy aboard the International Space Station and in satellites resembling the Hubble Space Telescope. In many ways, the nickel-metal hydride battery is the ideal variety of battery for spacecraft: its chemistry can withstand bitter cold and blistering heat, and it doesn’t lose much capability over time, which suggests it might probably last so long as how the ship is expected to survive. .
However, in the past, nickel and hydrogen were expensive. For space applications, this is not a major problem; cost is often far down the priority list. But on Earth, costs dominate.
The equation modified, nevertheless, when Yi Cui, a professor at Stanford University and president of EnerVenue, modified the chemistry to remove the expensive platinum. Cui is waiting this adjustment and others that may help bring the cost per kilowatt-hour below $80 for large-scale battery production.
The batteries themselves look more like elongated SCUBA tanks than AA cells. This is because they need to contain hydrogen gas, which is released when the battery is charged.
Nickel-metal hydride batteries are not as energy dense as lithium-ion, which suggests they’ll not yet compete for space in electric vehicles. However, because these batteries can withstand a big selection of temperatures, they do not require expensive cooling equipment resembling lithium-ion cells. EnerVenue is betting that its compact design and low maintenance requirements will attract the attention of utilities looking for ways to store surplus renewable energy. Last yr, the startup claimed so A price of seven gigawatt hours obligations from customers.
The scale of the latest round reflects the challenges many hardware-based climate technology corporations face as they fight to scale up to satisfy industrial demand. Building a first-of-its-kind factory is often expensive, but the risks involved mean infrastructure funds are hesitant to increase the crucial credit. As a result, startups often have to lift large sums from enterprise capital firms, trading equity capital for the money needed to build large projects. Finding corporations willing to take the risk is an obstacle in itself.
EnerVenue appears to have at least partially overcome this obstacle, finding enough investors for a large series B. The next challenge will likely be completing the factory, scaling up production and sending the modern batteries into the world.