Energy Vault, developer of an innovative gravity-based storage technology, has signed a licence and royalty deal for renewable energy storage with Atlas Renewable LLC and China Tianying Inc.
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The deal supports the deployment of Energy Vault’s proprietary gravity energy storage technology and energy management software platform within mainland China and the Special Administrative Regions (SAR) of Hong Kong and Macau.
In addition, Atlas Renewable is making a $50 million investment to upsize the current private placement investment (“PIPE”) from $150 million to $200 million, and paying an additional $50 million in 2022 licensing fees for use and deployment of Energy Vault’s gravity energy storage technology.
The agreement represents the first gravity-based storage partnership between a U.S. and Chinese company for the deployment of the technology in China. The licensing deal, which also marks a first of its kind for Energy Vault, is for the use of its EVx and EVRC product platforms.
The companies expect to start construction of the first 100MWh system in the second quarter of 2022 at the selected site in Rudong, Jiangsu Province located outside of Shanghai.
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The companies will also assess the reuse of available waste materials such as coal combustion residuals, mine tailings, waste fiberglass and concrete debris as a beneficial re-use within the “mobile masses” used in the construction of the gravity energy storage systems. The licensing agreement is separate and additional to Atlas Renewable LLC’s $50 million PIPE investment.
