Zinc8 Energy Solutions Inc (CVE:ZAIR) (OTCPINK:MGXRF) (FRA:0E9) reports that it ended its first quarter of 2021 with $15.5 million in capital as the company advances its Zinc-air Energy Storage System.
During the quarter ended March 31, the company raised more than $15 million in a private placement offering and leased a 16,000 square-foot testing and assembly facility. It intends to build five Zinc-air batteries to complete the certification process and advance the production schedule by establishing pilot production capability.
READ: Zinc8 Energy Solutions inks US$200,000 contract with leading cloud provider for pilot demonstration of energy storage system
Other quarterly highlights include:
- Signed a host site agreement with the New York Power Authority and The University at Buffalo, The State University of New York. The selection of the site allows for the demonstration of a 100-kilowatt/one-megawatt-hour Zinc-air battery system in Buffalo to level out peaks in electricity consumption, increase campus resiliency, and assist in training campus utility staff with new energy storage technology; and
- Signed a $200,000 contract with one of the leading cloud providers to demonstrate its patented Zinc-air Energy Storage System and to validate and assess the zinc-air long-duration energy storage technology. Zinc8's technology will be tested for resilient backup application; the 10-hour kilowatt/80-kilowatt-hour unit will undergo required assessment tests agreed upon by the cloud provider to address its unique use cases in data centers.
"As a result of the successful financing in the first quarter, we have been able to drive a number of initiatives that get us steps closer to commercial production," said CEO Ron MacDonald in a statement.
"As evidenced by the subsequent events to the quarter, we have new customers, an accelerated build program going on for several batteries at the new facility and additional business development opportunities on the horizon. We have specific plans and timelines to certify and test zinc-air energy storage systems over the course of this year with additional catalysts and related milestones we expect to announce along the way."
MacDonald added: "We have a strong balance sheet and understand that we are in the early innings for the transformation of the energy market. We believe that long-duration energy storage solutions will play a significant role during this transformation and that fact has been reinforced by the growing demand in the energy storage market."
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