Where Aytac Yilmaz lives in the Netherlands, the sun may not appear for several days, which can actually reduce the output of the country's solar panels. Wind turbines may make up some of the shortfall, but what happens when the wind disappears at the same time?
Enter large-capacity batteries geared toward long-term energy storage or grid service. Today, most are lithium-ion batteries, which are plentiful thanks to automotive demand but still prohibitively expensive. In the future, Yilmaz envisions these batteries being made from cheap and abundant iron.
His startup, Ore Energy, emerged from secrecy today by securing €10 million in seed funding from Positron Ventures and other investors, the company told TechCrunch exclusively. This money will help make grid-scale batteries not only cheaper but also longer-lasting.
“We’re targeting about 100 hours of storage, so we can actually bridge a longer gap in renewable generation,” Yilmaz told TechCrunch. “The more renewable energy there is on the grid, the longer the duration required.”
Ore Energy's core technology is derived from TU Delft in the Netherlands, where Yilmaz studied corrosion as part of his PhD and postdoctoral work. Batteries release energy as iron melts and store energy by reversing corrosion.
Unlike other batteries that have all the necessary chemicals inside, Ore Energy does not. Instead, they draw one of their main reactants, oxygen, from the atmosphere. Hence the name iron-air battery. “This reaction occurs because the battery is actually inhaling and exhaling oxygen,” Yilmaz said.
The company is already working with utility companies and the technology is ready for commercial-scale production, he said, adding that some of the new funding will help build a megawatt-scale plant. Within 10 years, Yilmaz hopes to bring gigawatt-scale factories online. “The real goal is deep decarbonization of the power grid in the 2030s,” he said.
Ore Energy isn't the only startup working on iron-air batteries. In the U.S., Form Energy is the undisputed leader and has refined its approach over the years, raising $928 million at a post-valuation of $2.06 billion, according to PitchBook. The company is nearing completion of its first large-scale plant in West Virginia and is expected to begin production later this year.
Form Energy has a significant lead, but Yilmaz believes there is room for more than one player in the game. “Form Energy is doing a really great job in the U.S.,” he said. “We have the same goal: to transform Europe’s power grid.”
