California-based Rondo Energy, a company that claims to deliver the world’s lowest-cost zero-carbon industrial heat, announced that it has secured $60M (approximately €55.18M) in a fresh round of funding.
The company plans to speed up the rollout of Rondo Heat Batteries (RHBs) worldwide and transform the global energy storage market. It will use the money to grow its operations internationally as well as develop and build storage projects around the world.
Investors in this round
The investment came from a consortium of investors including Breakthrough Energy Ventures, Energy Impact Partners, SCG, TITAN, Microsoft’s Climate Innovation Fund, Rio Tinto, SABIC, Aramco Ventures, SDCL Energy Efficiency Income Trust (SEEIT), and John Doerr.
Besides, Rio Tinto, Aramco Ventures, SABIC, SCG, TITAN, and SEEIT have joined Rondo’s Strategic Investor Advisory Board (SIAB). The aim is to enhance Rondo’s presence and impact in sustainable energy solutions.
John O’Donnell, CEO of Rondo Energy says, “Our Strategic Investor Advisory Board will help Rondo focus on the simplest, fastest ways to power their operations with low-cost clean energy and shape our priorities for ongoing research and development.”
“To tackle our climate challenge, we need tools to build big, low-cost, clean energy infrastructure fast. The Rondo Heat Battery is one of those tools. This investment will help us grow our capacity to meet customer demand and begin to build at scale,” adds O’Donnell.
“Delivering world’s lowest cost zero-carbon industrial heat”
The industrial sector is a major energy consumer, using high-temperature heat for various processes that contribute to a significant portion of global energy use and carbon emissions.
The US Department of Energy, led by Secretary Jennifer Granholm, has launched the Industrial Heat Shot Initiative, with a goal to cut 85 per cent of industrial heat emissions, addressing the challenge of decarbonising this vital sector.
The declining costs of wind and solar power now make them cheaper than traditional heating fuels. This is where Rondo Energy looks to make a difference.
The Rondo Heat Battery addresses the challenge of intermittent renewable sources by providing continuous, high-temperature clean heat for industries, enabling cost-effective and efficient industrial decarbonisation.
In 2023, the company claims to have achieved a major milestone by launching its first commercial unit, which lowered the carbon intensity of biofuel production for Calgren Renewable Fuels.
This marked the debut of the US’s first operational electric thermal energy storage system, renowned for its world-leading efficiency and temperature capabilities.
Additionally, Rondo also partnered with Siam Cement Group (SCG) to announce a current Heat Battery storage production capacity of 2.4GWh/year, with ambitious plans to scale up to 90GWh/year.
Rondo Heat Batteries store energy at half the expense of alternatives like green hydrogen and chemical batteries. By utilising tried-and-true materials like brick and iron wire, used in heavy industry for decades, Rondo has created a cost-effective solution.
This approach ensures safety, durability, and supply chain stability, setting it apart from other storage technologies and their associated risks.
Amid shareholder pressure, policymakers and business leaders are seeking cost-effective climate solutions. Rondo’s innovation addresses this need and is poised to play a vital role in the rapidly growing market of electrifying industrial heat.
Studies suggest that heat battery storage will surpass grid battery storage in a decarbonised world, leading to significant cost reductions for producing key commodities in the coming few years.