Industrial giant Honeywell International has announced a strategic investment in energy-storage company ESS Tech, with the goal of advancing the development and market adoption of iron-flow-battery energy-storage systems.
Honeywell’s investment of $27.5 million secures nearly 16.5 million shares in ESS Tech, as well as a warrant to purchase an additional 10.6 million shares at $1.89 each. As part of an intellectual-property license agreement, ESS also issued a warrant to purchase approximately 6.27 million shares at $2.90 each to Honeywell’s UOP affiliate.
With approximately 155.6 million shares already outstanding as of August 4th, this collaboration positions Honeywell and ESS Tech for significant progress in meeting the growing global demand for long-duration energy storage, driven by the rapid increase in renewable-power generation.
Iron-flow-battery technology offers a promising solution for energy storage, as it utilizes abundant resources like iron, salt, and water without relying on limited minerals such as lithium, cobalt, or vanadium.
This partnership between Honeywell and ESS Tech brings together industry expertise and innovation to create more sustainable and efficient energy solutions for the future.
