Altech Batteries Ltd (ASX:ATC, OTC:ALTHF) has struck a strategic collaboration agreement with China’s AMPower, a subsidiary of battery giant Chilwee Group, to begin selling sodium nickel chloride (Na/NiCl₂) batteries across Australia, Europe and the United States.
The move delivers Altech an immediate commercial presence in the fast-growing energy storage market, ahead of commissioning its flagship 120-megawatt-hour (MWh) CERENERGY® project in Germany.
Early entry into UPS market
Under the agreement, AMPower will manufacture battery packs to Altech’s specifications, which will then be branded, marketed and distributed by Altech. The initial focus will be on uninterruptible power supply (UPS) systems, with sodium nickel chloride batteries already in production at AMPower’s 100-MWh-per-annum facility.
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These UPS batteries offer a set of distinctive advantages: they are fireproof, deliver long cycle life and perform reliably in extreme temperatures. Crucially, they can remain idle, fully charged and instantly deployable for more than a decade without maintenance — addressing niche markets such as explosion-proof environments and facilities where lithium-ion batteries face restrictions.
Altech said it has assembled a marketing team to drive near-term sales in Europe, Australia and the US.
Building towards grid-scale storage
The collaboration also lays the foundation for a second phase, with Altech and AMPower co-developing small and medium-sized battery energy storage systems (BESS). Each company will distribute these products under its own brand.
AMPower has capacity to double its current output to 200 MWh annually, creating room for larger-scale applications in household, industrial and grid storage. Altech said this pathway will generate incremental cash flow while strengthening brand recognition and paving the way for the CERENERGY® 120 MWh project in Saxony, Germany, which has already secured preliminary German government funding approval of €46.7 million.
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AMPower Sodium Nickel Chloride Battery Facility
Protecting proprietary technology
Importantly, Altech emphasised that its collaboration safeguards intellectual property. AMPower will not receive access to Altech’s proprietary CERENERGY® cell technology, developed in partnership with Germany’s Fraunhofer IKTS, while Altech will not access AMPower’s Durathon® designs.
AMPower will manufacture and integrate the systems, while Altech defines technical specifications, supervises production, and manages certification, marketing, and distribution. Products sold under Altech’s brand will comply with international battery standards and carry a three-year warranty.
Strategic Cooperation Signing Ceremony
A step-change strategy
Altech managing director Iggy Tan said demand for safer alternatives to lithium-ion batteries was rising sharply, particularly in sensitive sectors.
“Altech is experiencing exceptional interest in our sodium nickel chloride solid-state battery technology, especially from customers seeking safer, more reliable alternatives to lithium-ion,” Tan said. “Growing concerns over battery fire risks, particularly in data centres and AI facilities, are further accelerating demand.
“Our collaboration with AMPower enables immediate production, and our offtake customers are eager to secure supply,” he added. “By moving quickly to meet this demand, Altech is positioning itself as a leader in what we see as the next major wave in battery storage innovation.”
Altech said the deal allows it to capture early revenue, build credibility in global markets, and reduce funding reliance as it transitions towards full-scale CERENERGY® production in Germany.