Amsterdam-based startup Ore Energy secures $43 million to develop iron-air batteries that can store energy for several days.

      Amsterdam's Ore Energy has secured $43 million in Series A funding to expand its iron-air battery technology, capable of storing renewable energy for up to 100 hours. The funding round, led by Plural and HV with contributions from Positron Ventures, brings the company's total financing to $61 million.

      The batteries operate through a process of oxidizing and reducing iron electrodes, allowing the system to charge and discharge using only iron, water, and air. This technology eliminates the need for critical raw materials like lithium or cobalt, enabling production through a completely European supply chain.

      Ore Energy was founded in 2023 by Aytac Yilmaz, Rutil Ozdemir, and Yaiza Gonzalez Garcia, stemming from research at Delft University of Technology. The company established the first known grid-connected iron-air battery system at TU Delft’s Green Village testing site last year and has completed pilot projects with French utility EDF in real-world settings.

      The startup has signed a significant deal for 1 GWh with Budget Thuis, a Dutch energy and telecom provider, marking the largest iron-air storage agreement in continental Europe. The initial phase, involving 400 megawatt hours, is expected to be delivered by 2028.

      Ore Energy addresses a longstanding issue in Europe: the need to store excess wind and solar energy for use during periods of low generation. While lithium-ion batteries can manage demand for a few hours, the variability in renewable energy production often creates shortages lasting days, leading to excessive curtailment of this surplus energy.

      The company also intends for its technology to serve as infrastructure for the AI era. As data centers are forecasted to considerably increase their global electricity consumption by 2030, according to Ore Energy, the erratic power demands of AI workloads heighten the need for reliable storage solutions.

      The funding will be used to establish their first manufacturing facility, aiming for gigawatt-hour production by 2028. Ore Energy is not alone in its focus on iron-air technology; US competitor Form Energy has raised over a billion dollars for similar technology, but Ore Energy claims its fully European supply chain provides it with a competitive advantage amid growing concerns over foreign dependencies.

      Ian Hogarth, a partner at Plural, noted that Ore Energy could potentially become “one of the world’s most important energy companies” by maximizing the value from existing wind resources. The company's goal is to establish iron-air technology as the standard for long-duration storage within the grid by 2035.