May 15 (Renewables Now) - German technology group SCHMID and two Saudi investors plan to form a joint venture in Saudi Arabia to develop and manufacture vanadium redox flow batteries (VRFB).
SCHMID said on Tuesday that it has signed an agreement for this JV with Riyadh-based Nusaned Investment, which is owned by SABIC, and the RIWAQ Industrial Development Company.
The trio will seek to create a “champion” in the utility-scale energy storage segment, with plans for a GW-scale manufacturing facility in the Kingdom. This complex is expected to enter production in 2020.
The new company will also rely on research and development facilities in both Germany and Saudi Arabia.
The Kingdom targets installing 57.5 GW of renewable energy capacity by 2030 and the JV partners consider utility-scale stationary energy storage to be critical in stabilising and connecting this new power generating capacity to the grid.