Brenmiller to Deliver Low-Carbon Steam to One of Europe’s Largest Premium Pet Food Manufacturers
August 19 2024 - 7:00AM
Business Wire
- Brenmiller to build, own and operate a 30 MWh bGen™ ZERO system
in Hungary.
- This is the first project through which Brenmiller will
generate revenues from both selling heat as a service and offering
balancing services to the local grid.
Brenmiller Energy Ltd. ("Brenmiller", "Brenmiller Energy” or the
“Company”) (Nasdaq: BNRG), a leading global provider of thermal
energy storage (“TES”) solutions for industrial and utility
markets, today announced that it has entered a 12-year Heat as a
Service (“HaaS”) agreement with Partner in Pet Food Hungaria KFT
(“PPF”), one of Europe’s leading private label pet food producers.
Under the terms of the agreement, Brenmiller will deliver low-cost
and low-carbon steam to PPF and be in a position to offer grid
balancing services to the local transmission system operator
(“TSO”), MAVIR. The Company expects project costs to total around
US $5 million.
Under the terms of the agreement, Brenmiller will design, build,
own and operate a 30 MWh bGen™ ZERO system next to PPF’s pet food
manufacturing plant in Dombovar, Hungary. Brenmiller’s bGen™ ZERO
will take priority over PPF’s existing fossil fuel boilers,
significantly reducing the pet food manufacturer’s energy costs and
carbon footprint. PPF will purchase steam from Brenmiller at a
fixed rate.
The economics of this project are made possible by increasingly
favorable regulatory and energy market conditions across Europe. In
Hungary, TSO MAVIR recently made heat battery asset owners eligible
for compensation through a new capacity market program designed to
incentivize flexibility. Brenmiller can also leverage the bGen™ to
participate in MAVIR’s grid balancing market and increase project
revenues.
"Our Heat as a Service solution is a win-win for Partner in Pet
Food. By providing access to heat, while maintaining our ownership
of the system, we’re helping our customer achieve both its
sustainability and profitability goals and will be able to deliver
critical flexibility to Hungary’s electricity grid to support the
deployment of more renewables," said Brenmiller’s Chairman and
Chief Executive Officer, Avi Brenmiller. "This dual ability is
crucial to unlocking the business case for thermal energy storage
in industrial applications. We are excited about our long-term
agreement with Partner in Pet Food and pleased to be establishing a
footing in Hungary’s fast-growing energy storage market."
Partner in Pet Food produces more than 700,000 tons of pet food
per year, which is distributed from its 12 production facilities to
over 400 retailers across 35+ European countries. Brenmiller’s
arrangement with PPF will help the company achieve its emissions
reduction targets of 42% by the end of 2030.
Gerald Kuehr, Chief Executive Officer of PPF, commented, “Our
company is committed to sustainability, and Brenmiller’s turnkey
bGen™ technology is an ideal way for us to prepare our
manufacturing operations for the future. As a European leading
company in private-label pet food, producing over 700,000 tons of
pet food annually, we have an obligation to lead by example and
drive the sustainability agenda in our industry forward. We are
pleased to work with Brenmiller to achieve our greenhouse gases
reduction goals.”
According to the Renewable Thermal Collaborative, 97% of process
heat in food and beverage processing is below 130°C. The Company
believes that the industry is well suited to adopt thermal energy
storage for power-to-heat applications. The food and beverage
sector is where Brenmiller is seeing the greatest demand for its
product and services, which reach temperatures of up to 650°C.
About bGen™ bGen™, Brenmiller’s TES system, converts
electricity into heat to power sustainable industrial processes at
a price that is competitive with natural gas. The bGen™ charges by
capturing low-cost electricity from renewables or the grid and
stores it in crushed rocks. It then discharges steam, hot water, or
hot air on demand according to customer requirements. The bGen™
also supports the development of utility-scale renewables by
providing critical flexibility and grid-balancing capabilities.
bGen™ was named among TIME’s Best Inventions of 2023 in the Green
Energy category.
About Brenmiller Energy Ltd. Brenmiller Energy helps
energy-intensive industries and power producers end their reliance
on fossil fuel boilers. Brenmiller’s patented bGen™ thermal battery
is a modular and scalable energy storage system that turns
renewable electricity into zero-emission heat. It charges using
low-cost renewable electricity and discharges a continuous supply
of heat on demand and according to its customers’ needs. The most
experienced thermal battery developer on the market, Brenmiller
operates the world’s only gigafactory for thermal battery
production and is trusted by leading multinational energy
Companies. For more information visit the company’s website at
https://bren-energy.com/ and follow the Company on X (formerly
Twitter) and LinkedIn.
Forward-Looking Statements This press release contains
“forward-looking statements” within the meaning of the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995
and other federal securities laws. Statements that are not
statements of historical fact may be deemed to be forward-looking
statements. For example, the Company is using forward-looking
statements in this press release when it discusses: the project
costs to total around US$5 million; increasingly favorable
regulatory and energy market conditions; that Brenmiller’s
partnership with PPF will help PFF achieve its emissions reduction
targets of 42% by the end of 2030. Without limiting the generality
of the foregoing, words such as “plan,” “project,” “potential,”
“seek,” “may,” “will,” “expect,” “believe,” “anticipate,” “intend,”
“could,” “estimate” or “continue” are intended to identify
forward-looking statements. Readers are cautioned that certain
important factors may affect the Company’s actual results and could
cause such results to differ materially from any forward-looking
statements that may be made in this press release. Factors that may
affect the Company’s results include, but are not limited to: the
Company’s planned level of revenues and capital expenditures; risks
associated with the adequacy of existing cash resources; the demand
for and market acceptance of our products; impact of competitive
products and prices; product development, commercialization or
technological difficulties; the success or failure of negotiations;
trade, legal, social and economic risks; and political, economic
and military instability in the Middle East, specifically in
Israel. The forward-looking statements contained or implied in this
press release are subject to other risks and uncertainties, many of
which are beyond the control of the Company, including those set
forth in the Risk Factors section of the Company’s Annual Report on
Form 20-F for the year ended December 31, 2023 filed with the SEC
on March 18, 2024, which is available on the SEC’s website,
www.sec.gov. The Company undertakes no obligation to update these
statements for revisions or changes after the date of this release,
except as required by law.
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version on businesswire.com: https://www.businesswire.com/news/home/20240819806127/en/
Media: Tori Bentkover
brenmillerenergy@antennagroup.com
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