German technology company Schmid Group and Saudi Arabian firm Nusaned Investment have completed the transaction for their planned joint venture (JV) to develop a GW-scale battery facility.
The JV will see the partners produce Vanadium Redox Flow Batteries (VRFB) through the jointly-formed Advance Energy Storage System Investment Company.
Nusaned Investment is a subsidiary of Saudi Basic Industries Corporation (SABIC) which is a subsidiary Saudi Aramco.
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The partners have announced that annual production capacity will top 3 GWh at its facility in Dammam 3rd Industrial City. Construction is expected to commence within the next few months, with completion expected by 2021.
Products will be offered under the Everflow brand, primarily for use in renewables capacity grid integration, minigrids, and the optimisation of existing power back-up systems.
The two lead partners are joined by Riwaq Industrial Development Company as additional investors and shareholders.
“The JV marks a milestone for Saudi Arabia in its quest to localize manufacturing for technologies in emerging industries, and marks another major step in SABIC’s NUSANED™ program that seeks to build partnerships and enable local content creation,” said Nusaned Investment CEO Fuad Mosa.
Saudi Arabia has targeted a total 57.5 GW of renewables capacity to be installed in the emirates by 2030 as the region transitions from its reliance on oil.
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