Zinc8 Energy Solutions ended its third quarter with an $11.6 million balance sheet as it advances toward commercialization in the long duration energy storage market.
During the quarter ended September 30, the company announced the relocation of its engineering teams to its newly upgraded and renovated facility in Richmond, British Columbia where the construction of multiple test zinc-air energy storage systems (ZESS) for certification to the Underwriters Laboratories (UL) and Canadian Standards Association (CSA) battery safety standards with demonstration projects are underway as well.
READ: Zinc8 Energy Solutions continues to advance towards initial production of 40-kilowatt zinc-air energy storage system
"We continue to invest in our facility and equipment and we are adding key personnel which will help guide us on our path towards the planned commercialization of a 40kW ZESS in early 2023," said Zinc Energy CEO Ron MacDonald in a statement
"Our engineering teams have been relocated into our new facility which contain multiple test batteries that will undergo rigorous testing and analysis for systems level evaluation and UL certification. I am confident with our resources and the execution capability of the team at Zinc8 and I look forward to the next phase of our technology development."
The market outlook
Going forward, Zinc8 Energy Solutions (CSE:ZAIR) said the long duration energy storage continues to play an expanding and increasingly important role in the energy transition as 2021 marks the start of a period of rapid growth for the industry. Research firm IHS Markit is forecasting over 12 gigawatt (GW) of capacity installations in total this year.
The company also pointed out that the Long Duration Energy Storage Council (LDES Council), an industry group launched during the recent United Nations climate change summit in Glasgow, Scotland, released a report that demonstrates the significant potential of a broad group of technologies that can store and discharge energy for eight hours or longer, with the potential of 10% of all electricity generated stored at some stage by 2040.
The LDES Council stated that deployment of 85 terawatt-hour (TWh) to 140 TWh of long duration storage deployed by 2040 could be enough to limit global warming to 1.5 degrees Celsius (NASDAQ:CELH) as outlined in the Paris Agreement.
Zinc8 Energy Solutions said significant capital remains committed to battery storage, as clean energy market research group Mercom Capital said the storage sector attracted US$11.4 billion in corporate funding in the first nine months of 2021, an increase of over 350% compared to the same period in 2020.
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