Redflow

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Redflow Limited, a publicly-listed Australian company (ASX: RFX), produces small 10kWh zinc-bromine flow batteries that tolerate daily hard work in harsh conditions. Marketed as ZCell and ZBM2, Redflow batteries are designed for high cycle-rate, long time-base stationary energy storage applications in the residential, commercial & industrial and telecommunications sectors, and are scalable from a single battery installation through to grid-scale deployments. Redflow batteries are sold, installed and maintained by an international network of energy system integrators. Redflow’s smart, self-protecting batteries offer unique advantages including secure remote management, 100 per cent daily depth of discharge, tolerance of high ambient temperatures, a simple recycling path, no propensity for thermal runaway and sustained energy delivery throughout their operating life.

 

Redflow CEO Simon Hackett: ”We remain on track to commence production with our new manufacturing partner MPTS as planned”Australian battery company Redflow Limited has today announced it has established a company in Thailand to manage production of its zinc-bromine flow batteries in South East Asia.

In May, the ASX-listed company (ASX:RFX) announced its decision to move its battery manufacturing from North America to South East Asia, to be closer to its most lucrative markets, in Australia, Oceania and southern Africa, and to reduce production costs.

In a statement to the ASX this morning, Redflow reported that it has established Redflow (Thailand) Limited, which is negotiating a lease on premises in a Thai free trade zone. It is also seeking Thai licensing and regulatory approvals.

As well as its location, close to Redflow’s supply chain and marketplaces, Thailand offers good manufacturing expertise, competitive logistics, an attractive labour cost and effective tax treatment for international manufacturers within its free trade zone structure.

Redflow CEO Simon Hackett said the final North American production batch of ZBM2 batteries was now in transit to Australia. “I’m pleased to report that our stack manufacturing equipment from North America has arrived in Thailand ahead of schedule,” he said.

Redflow Exchange Chairman and CEO Simon Hackett with ZCellRedflow Executive Chairman and CEO Simon Hackett with ZCellAustralian battery company Redflow Limited today unveiled an investment package that will raise $14.5 million to target sustainable delivery of its zinc-bromine flow batteries to high demand areas such as telecommunications.

Redflow’s capital-raising follows its May announcement of decisions from a strategic review including:

  • Prioritising sales to supply proven demand areas including mature telecommunications / industrial / commercial, remote/off-grid power and ‘weak-grid’ market segments
  • Transitioning battery production to South East Asia at a more appropriate manufacturing site to leverage proximity to proven markets and reduce supply chain costs
  • Implementing a range of key battery cost-down projects to reduce delivered product manufacturing cost by at least 30 per cent over the next 18 months, and
  • Targeting sustainable cashflow-positive operations by the end of 2018.

Redflow has provided an Investor Presentation containing details of the outcome of its Strategic Review and consequent activities undertaken or planned by the company, plus its new manufacturing partner, Malaysian-based MPTS, a long-term supplier of a core component of Redflow’s battery stack.

Redflow CEO Simon HackettRedflow CEO Simon HackettAustralian battery company Redflow Limited (ASX:RFX) has praised proposed new regulations that prioritise fire safety for the deployment of lithium-based batteries inside homes. 

Standards Australia has released final draft recommendations that require lithium-ion batteries - which are classified as “fire hazard class 1” - must not be installed inside a domestic dwelling, within a metre of any access or egress area or under any part of a domestic dwelling. There are no current Standards Australia regulations for in-home battery installations.

This draft standard follows Clean Energy Council industry rules issued last year, which state: “Some lithium-based batteries can fail due to internal overheating, in a process known as ‘thermal runaway’. The normal chemical reactions within the battery during charging are exothermic (heat-generating).

“If this heat is not able to dissipate, or the battery is overcharged for a long duration, the rate of chemical reaction can then speed up, which in turn increases the battery temperature further, in an ­increasing cycle until the battery is physically damaged ... Once this happens, there is a risk of fire and/or rupture of the battery, with emission of toxic material.”

Redflow CEO Simon Hackett said the safety-first principle should be a priority for the rapidly growing energy storage industry. “While manufacturers say modern lithium-based batteries are designed not to overheat, it only takes one poorly designed or deployed battery to catch fire at night to cost lives,” he said.