Eneco and Corre Energy Join Forces for Groundbreaking Compressed Air Energy Storage Project in Germany

Eneco and Corre Energy Join Forces for Groundbreaking Compressed Air Energy Storage Project in Germany

(IN BRIEF) Eneco and Corre Energy have entered into a provisional agreement to jointly develop and invest in Corre Energy’s inaugural compressed air energy storage (CAES) project in Germany, located in Ahaus, North Rhine-Westphalia. This collaboration will allow Eneco to leverage the full capacity of the initial project phase through its subsidiary, LichtBlick, and Corre Energy’s German subsidiary, Corre Energy Germany GmbH. CAES is a long-duration energy storage method that compresses air during surplus sustainable electricity generation and stores it in salt caverns at depths of around one kilometer. When needed, the stored compressed air can be used to generate electricity. The salt caverns, currently being emptied by Solvay, will be transferred to Corre Energy in 2027. Both companies anticipate finalizing the agreement in the first half of 2024, marking their second partnership within a year after their first collaboration in the Netherlands.

(PRESS RELEASE) ROTTERDAM, 22-Jan-2024 — /EuropaWire/ — Eneco and Corre Energy have signed a provisional agreement for the joint development of and investment in Corre Energy’s first compressed air energy storage (CAES) project in Germany. The partnership will enable Eneco to use the full capacity of the first phase of the project in Ahaus.

This project will be jointly developed, financed and operated through Eneco’s German subsidiary, LichtBlick, and Corre Energy’s German subsidiary, Corre Energy Germany GmbH. Both companies have entered into exclusive negotiations and expect to conclude a final agreement in the first half of 2024.

Compressed air energy storage (CAES) is a form of long-duration energy storage. When there is a surplus of sustainable electricity, this energy can be used to compress air with a capacity of 220 MW. This air will then be stored in salt caverns, cavities in the groud at a depth of around a kilometre under the surface. At times when we need this energy, for instance when there’s not enough sun or wind to generate power or when the power demand is higher than the supply, electricity can be produced by routing the stored compressed air to a turbine with a generation capacity of 320 MW.

The salt caverns that will be used for the project will be transferred to Corre Energy in an empty state in 2027. At the moment, salt is still being extracted from the caverns by chemical company Solvay.

“Energy storage is essential for the sustainable energy system of the future. It helps us to use clean power even when no wind or sun is available and also helps us to ease congestion in the power grid”, said Kees-Jan Rameau, COO – Integrated Energy at Eneco. “We see a bright future for these storage solutions, and this second project with Corre Energy brings us closer to achieving the goals set out in our One Planet Plan: to be climate neutral in 2035, together with our customers.”

“This landmark agreement combines offtake, development and investment arrangements to propel our first German project while showcasing the demand for and deliverability of our CAES solution to industry, authorities and investors alike”, said Keith McGrane, CEO of Corre Energy. “To sign a second deal with Eneco just 12 months on from our first agreement in the Netherlands is a testament to the relationship we’ve forged and highlights the unwavering support for our CAES solution. Following this agreement, Corre Energy looks forward to driving substantial progress on existing and new projects in 2024.”

The site in Ahaus is in the German state of North Rhine-Westphalia, close to the Dutch border and south east of Enschede. It has an ideal location between an area of growing wind power generation in the north of Germany and the urban and industrial regions in the south, which consume a great deal of power. Moreover, the site is close to the main pipeline of Germany’s hydrogen network (H2-Startnetz).

Media Contact:

Marnix Heijboer
Woordvoerder
marnix.heijboer@eneco.com
0651579851

SOURCE: Eneco