Storelectric to raise up to $92M for hydrogen storage solutions

Storelectric is in negotiations with Middle Eastern investors and developers for large-scale subterranean hydrogen storage systems, according to a top executive who spoke to Zawya.

“So far, we have secured 2-million-pound-sterling from a variety of modest investors,” stated Mark Howitt, Chief Technical Officer and Founding Director of Storelectric. We’re now seeking substantial investments of £25 million to £75 million ($38 million to $92 million) or more, and we’ve had interest from investors in the Middle East.”

“North Africa also has promise, particularly in terms of solar energy exports via interconnectors,” he added.

According to him, Storelectric devised and developed methods that have made compressed air energy storage (CAES) competitive in terms of efficiency, prices, and emissions, as well as hydrogen compatibility.

“Given the correct regulatory framework, the plant would be viable from day one,” he added, adding that the company’s CAES solutions can provide 30-60 percent ROI on their own and 50-70 percent ROI when integrated with renewables, cutting capital costs and increasing renewable profitability.

Salt caverns, according to Howitt, are suitable for storing enormous amounts of hydrogen at high pressures for prolonged periods of time if properly fitted.

“The smallest Hydrogen CAES that can be created for under £80 million is 75MW, 325-megawatt hours (MWh), assuming we can repurpose existing caverns.” The adiabatic Green CAES (which does not use fossil fuels for process heating) is 40 MW, 200 MWh, and would cost around £50 million if built according to the same principles. The lowest hybrid variant, at a cost of around £90 million, would be 106 MW.”

According to Howitt, standard compressor energy storage is around 50% efficient grid-to-grid, whereas Storelectric’s version is more than 60% efficient.

Storelectric has filed a patent for High-Temperature Hydrogen technology, which it believes will be cost-competitive with other electrolysis methods.

Storage, according to Howitt, can lower the capital and operating expenses of electrolysis, which requires near-baseload power to function well.

“How much cheaper can electrolysis get?” “How much cheaper can electrolysis get?” “How much cheaper can electrolysis get?” “You can cut the number of electrolyzers by a factor of 6 to 10 by utilizing our storage since it requires far fewer electrolyzers and they are used efficiently.”

Technical concerns, according to Howitt, have been assessed by large international engineering corporations such as Costain, EON, Siemens, and Mitsubishi.