August 27th, 2023 | 09:00 CEST
Altech Advanced Materials, Volkswagen, FREYR Battery - Investment opportunity in the future energy storage market
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"[...] The collaboration with CVMR offers two primary advantages for Power Nickel: We can cover a larger portion of the value chain in the future, and despite the extensive cooperation with all its positive outcomes, we have remained significantly independent. [...]" Terry Lynch, CEO, Power Nickel
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Altech Advanced Materials to open 23 energy storage pilot plants in September
According to BloombergNEF, the global energy storage market is expected to grow to about 942 GW / 2,857 GWh by 2040, attracting investments of USD 620 billion over the next 22 years. Altech Advanced Materials AG based in Heidelberg, Germany, focuses on emission-free energy storage and thus has the best chances of growing in this market. What makes this Company special is its innovative approach to generating energy from a raw material that is abundant in Europe: salt.
Together with the Fraunhofer Institute for Ceramic Technologies and Systems IKTS, Altech has created an innovative battery technology that can serve as storage in the event of fluctuations or even failures in the power grid.
Such power grid storage systems balance peak loads during those times of the day when electricity demand is particularly high. With its innovative technology, Altech is, therefore, directly in an optimal area to take maximum advantage of increasing demand in the energy transition market.
Altech is contributing the anode technology in the collaboration, called "Silumina Anodes™". Altech's patent application for Silumina Anode™ battery material technology and other additional patent applications are currently being filed in key markets such as the US, Europe, China, Japan, Korea and 156 other countries.
The common goal of this collaboration between Altech Advanced Materials and Fraunhofer IKTS is to achieve rapid qualification of the Silumina Anode™, enabling accelerated market entry. At the same time, the Altech research laboratory will be expanded to enable the production of Li-ion pouch cell batteries.
Progress on the construction of the pilot plant at the Schwarze Pumpe Industrial Park in picturesque Brandenburg is proceeding rapidly. The overall commissioning of the pilot plant, including the calciner, is scheduled for September 2023.
Sodium batteries have the advantage of withstanding over 7500 charging cycles without losing much capacity. They are also very heat resistant, making them ideal for countries with high temperatures, such as Dubai or Australia.
At the Annual General Meeting of Altech Advanced Materials AG, shareholders approved all items on the agenda. Interested investors can find the presentation here.
Volkswagen optimizes semiconductor supply chain, and chipmakers settle in Germany with taxpayers' money
The Volkswagen Group also had to learn painfully in the lockdowns and economic gaps of the COVID-19 pandemic how valuable a seamless supply chain can be, as demonstrated by Altech Advanced Material AG at its Schwarze Pumpe site in Brandenburg.
Chip demand has risen sharply in the automotive industry, mainly due to electric vehicle production and the need for complex software. The supply situation is lagging due to the complexities of building chip factories. "The global market capacity is not enough. We have to act," said Dirk Grosse-Loheide, head of purchasing at Volkswagen.
The Wolfsburg-based company is now optimizing its procurement of electronic components and semiconductors to ensure a reliable supply in the long term and remain a technological leader. The new procurement strategy aims to achieve greater transparency in the semiconductor value chain to better manage global demand and avoid bottlenecks.
Last July, Volkswagen and chip manufacturer STMicroelectronics announced plans for joint development of a new semiconductor. The German federal government in Berlin is luring major contract chip manufacturers with billions in subsidies. Intel from the US and TSMC of Taiwan have announced the construction of factories in Germany this year. The taxpayer gets to pay for it.
The automotive sector is becoming increasingly valuable to the semiconductor industry. Automobiles account for USD 47 billion in semiconductor sales worldwide. By 2030, this sector is expected to rank 3rd with a market share of USD 147 billion.
FREYR Battery posts Q2 results with less loss than expected
FREYR Battery announced its Q2/2023 financial results and exceeded analysts' expectations with an adjusted loss of USD 0.18 per share for the quarter ended June. The average estimate of four analysts had predicted a higher loss of USD 0.26 per share. Reported revenue was USD 0, in line with analyst expectations.
Despite the positive performance, shares of FREYR Battery are down 18.6% in the current quarter and posted a year-to-date loss of 12.3%. The Company reported a quarterly loss of USD 25.28 million.
The median price target forecast by Wall Street analysts for FREYR Battery over the next 12 months is USD 13.50, reflecting continued interest and potential growth for the Company.
In terms of personnel, there is a lot going on at FREYR Battery. Ex-Microsoft executive Birger Steen has been named the new CEO. As part of a planned succession, Torstein Dale Sjøtveit, the Founder, is retiring.
Altech Advanced Materials focuses on innovative, emission-free energy storage systems that work with sodium chloride. Together with the Fraunhofer Institute for Ceramic Technologies and Systems IKTS, they developed a battery technology that can be used, for example, to stabilize the power grid during fluctuations. Silumina Anode™ technology and patent applications in 156 markets increase the enterprise value of Altech Advanced Materials AG and secure its role as a pioneer in the energy storage industry. Volkswagen Group optimizes its semiconductor supply chains to ensure long-term reliable supply and remain a technology leader. FREYR Battery presented its Q2/23 results with a better-than-expected loss of USD 0.18 per share. The Company, which focuses on innovative battery solutions, is undergoing a period of personnel change, with Birger Steen becoming the new CEO.
Conflict of interest
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