New Closed-Loop Molten Salt Energy Storage Facility in Spain Marks Malta’s First Commercial LDES Deployment with BBVA Backing

New Closed-Loop Molten Salt Energy Storage Facility in Spain Marks Malta’s First Commercial LDES Deployment with BBVA Backing

(IN BRIEF) BBVA and Malta Iberia PHES SL have signed an agreement to develop a 14 MWh long-duration energy storage demonstration plant in Puertollano, Spain. Utilizing a closed-loop molten salt and steam system, the facility will absorb surplus renewable energy and dispatch it on demand, enhancing grid stability and enabling higher shares of wind and solar power. BBVA’s financial structuring expertise ensures the project’s transition from planning to operation, while Malta brings its pioneering thermal storage technology. This collaboration underscores a shared commitment to decarbonizing Europe’s energy system, supporting industrial competitiveness and reinforcing energy security. Puertollano’s existing hydrogen research infrastructure and its participation in the H2Med corridor further amplify the region’s strategic role in the clean energy transition.

(PRESS RELEASE) BILBAO, 17-Jun-2025 — /EuropaWire/ — BBVA and Malta Iberia PHES SL, the Spanish arm of climate technology innovator Malta Inc., have formalized a pivotal agreement to build a 14 MWh commercial demonstration facility for long-duration energy storage (LDES) in Puertollano, Ciudad Real. This landmark project marks Malta’s inaugural deployment in Spain and underscores a joint commitment to bolstering European energy resilience through cutting-edge cleantech.

The plant will operate on a closed-loop molten salt and steam cycle, capturing excess renewable electricity and discharging it as firm, dispatchable power when needed. By smoothing out fluctuations from wind and solar generation, the system helps stabilize the grid, facilitates deeper penetration of intermittent clean energy, and advances decarbonization across the power sector. BBVA’s role as lead financial partner brings critical structuring expertise, enabling the venture to progress seamlessly from design phase into construction and operation.

Philippe Delleville, President and CEO of Malta Inc., remarked, “This partnership with BBVA represents a turning point in our commercialization journey. Demonstrating reliable, long-duration storage at scale proves that Europe can secure the foundational technology required to decarbonize industry, balance renewables, and reinforce energy sovereignty.” Roberto Albaladejo, Global Head of Strategy, Industries and Cross-Border Business at BBVA, added, “Backing transformational clean technologies is central to our mission of financing the real economy. Supporting Malta Iberia’s LDES plant aligns perfectly with our ambition to accelerate strategic innovations that stabilize grids, reduce emissions and strengthen Europe’s competitive edge.”

By uniting BBVA’s climate-aligned financing with Malta’s advanced thermal storage design, the partners aim to deliver not only clean electricity but also ancillary grid services vital for maintaining reliability in systems dominated by variable renewables. The project further positions the Iberian Peninsula as a European exemplar for energy storage and hydrogen integration—especially given Puertollano’s established National Hydrogen Centre and its role in the H2Med corridor linking Spain to broader continental networks.

SOURCE: Banco Bilbao Vizcaya Argentaria, S.A.