Airengy has announced it will evaluate the development of a 2,5 GWh compressed air energy storage project in Denmark, continuing its expansion into long duration energy storage projects throughout Europe with a new partnership with Nobian. The project is targeted at the feasibility study of the compressed air energy storage (CAES) technology in an existing salt cavern, to facilitate the large-scale integration of renewable energy and grid flexibility.

The proposed project is based on compressed air energy storage, long-duration energy storage, Denmark energy storage, renewable energy infrastructure and AirBattery technology with the use of an existing underground salt cavern operated by Nobian. The plant will be able to store about 2,500 megawatt hours (MWhr) and can be expected to produce between 3 and 10 megawatts (MW), Airengy said.

Partnership to Assess Large-Scale Energy Storage

Airengy, trading on the Tel Aviv Stock Exchange under the symbol ARNG, stated it is entering into a partnership with Nobian to investigate and assess the technical and commercial viability of setting up the compressed air energy storage plant in Denmark.

The project is expected to involve the development of a connection between Airengy's proprietary AirBattery technology and an existing salt cavern owned and operated by Nobian, the European producer of high-purity salt, low-carbon essential chemicals and underground energy storage caverns. The companies plan to use existing geological infrastructure to investigate if long-duration compressed air storage has a role in the improvements in the reliability of the electricity system and the increased proportion of renewables generation.

Under the Agreement, the roles are defined as follows:

As part of the partnership, Nobian will manage all aspects of the salt cavern including regulatory and permitting approvals, stakeholder engagement, local communications and supporting infrastructure. The company will remain the operator and licensor of the cavern during the development of the project.

Airengy will contribute to the design of the AirBattery system, which will involve the air compression process, as well as the generation of electricity from compressed air through the use of its proprietary compressed air energy storage technology. The new plant will leverage the company's technology to provide approximately 2.5 GWh of storage in the existing underground cavern.

Leading the Growth in the European Markets

This project in Denmark is Airengy's fourth known compressed air energy storage (CAES) collaboration in Europe. The company has announced it has performed similar projects in England (in collaboration with Kistos), Romania (with Hagag Europe) and Germany (in partnership with SEFE).

The company's Danish project joins a series of deployments in key European energy markets, and is an important step in its plans to expand the long duration energy storage industry.

It also fits into Airengy's two-stage growth plan revealed in December. The first round will involve the development of smaller scale power plants in England and Romania (1-1.5 megawatts). Meanwhile, it is developing larger-scale projects, such as those in Romania and, now, Denmark.

Facilitating RE integration

Louwrens op de Beek, Director Energy Storage at Nobian, explained that large-scale energy storage is playing an ever-greater role in providing reliable, affordable renewable energy systems.

Pairing Nobian's experience in developing salt caverns and compressed air technology, provided by Airengy, could present new possibilities in the way electricity can be stored for any length of time and released when and if necessary, he said. He said that such systems can help alleviate power congestion and contribute to the future energy system in Denmark. The partnership is part of Nobian's Grow Greener Together strategy, and the company's goal to become a balancing partner in Denmark's energy system, he added.

European growth was expected and confirmed by Airengy.

Maj. Gen. (res.) The deal reflects Airengy's capacity to partner in strategic markets in Europe and expand the roll-out of its energy storage solutions, said Yiftah Ron-Tal, Chairman of Airengy.

The integration of Airengy's technology into existing geological infrastructure and industry knowledge demonstrates the company's strategy to develop commercial energy storage projects, said he. Airengy plans to explore further partnerships to promote its growth and bolster its presence in the long duration energy storage market, added Ron-Tal.

Looking Beyond Grid Storage

Tal Raz, the CEO of Aireng, said the deal marked the next step in Aireng's growth, which has a wide range of knowledge in salt mining, low-carbon chemicals, underground storage caverns and engineering.

Raz emphasized the partnership is a testament to a belief in Airengy's technology and its ability to offer energy storage solutions on a large scale for commercial use. The partnership may be used to further develop other projects in Europe, he added.

The firm also announced that, in addition to a focus on compressed air energy storage for electricity grids, it is also looking at possibilities in the data centre market. Airengy feels there may be many more applications for the compressed air technology in the next 10 years, especially if the company can establish new partnerships and leverage existing underground storage.

The company is targeting Europe's major players in the market for energy storage technology with long-duration energy storage as the investment in electricity networks, industrial energy systems and digital infrastructure grows.