RedT Energy PLC Manufacturing Update

TIDMRED

RedT Energy PLC

31 March 2017

31 March 2017

redT energy plc

("redT" or the "Company")

Manufacturing update

redT energy plc (AIM:RED), the energy storage technology company, is pleased to announce that today, a Gen 2 energy storage machine is being delivered to its customer, University of Strathclyde. The 5kW, 20kWh liquid energy storage machine will be used alongside the grid and connected renewables as part of a joint project between the University and Gaia Wind at a site in Glasgow, Scotland and will be used to demonstrate the commercial case for storage in the UK for Gaia Wind's customers.

redT also notes that its manufacturing partner Jabil Circuit Inc (NYSE:JBL) will be closing its Livingston manufacturing plant. The Company wishes to make it clear that Jabil's recent announcement does not have a material effect on the redT business and the fulfilment of orders. The Company's production schedule remains on track with the delivery of this machine to University of Strathclyde and additional Gen 2 machines, which will ship to Africa shortly.

redT's business manufacturing strategy has always been and continues to be that mass production of redT machines would take place away from the Livingston facility, at other Jabil plants, following the conclusion of the Gen1 market seeding phase, which is now complete.

redT holds a global manufacturing service agreement (MSA) with Jabil, which is not tied to any specific location. As such, the MSA remains unchanged and the Company continues, as planned, to work with Jabil to optimise the lowest cost manufacture of different components of its energy storage machines by utilising Jabil's 90+ manufacturing plants across the world. This provides redT with a significant competitive advantage in the market. For the reminder of this year, manufacturing of small volume production runs and new product prototypes will continue to take place within the UK.

redT will also continue to grow its own Livingston operational centre, having built a strong engineering and operations team since opening the office in 2015. The downturn of the oil and gas sector in Scotland has provided redT with access to highly skilled labour pool and the Company is looking forward to further expanding its Scottish presence as a result.

Enquiries:

 
 redT energy plc                    [phone] 
 Scott McGregor, Chief Executive 
  Officer 
 Joe Worthington, Investor 
  & Media Relations 
 
 Cenkos Securities plc              [phone] 
 Nick Tulloch                       [phone] 
 Derrick Lee 
 
 Celicourt (Financial PR) 
  Mark Antelme 
  Joanna Boon 
  Jimmy Lea                         [phone] 
 
 

Notes to Editors

About redT energy

redT energy develops and supplies durable and robust energy storage machines based on proprietary vanadium redox flow technology for on and off-grid applications. The liquid storage medium affords an exceptionally long life of up to 25,000 full charge/discharge cycles and a 100 per cent usable depth of discharge. Combined with low maintenance requirements, this delivers industry leading lowest levelised cost of storage (LCOS) and total cost of ownership (TCO) results. The modular approach allows the power and energy components of systems to be independently sized to meet customer requirements.

Until now it has not been possible to directly compare variable renewable energy generation sources with diesel or fossil fuel generation. PV + Storage is now reaching 'grid parity' in many countries, a paradigm shift in energy production, which will ultimately enable a distributed energy network optimising conventional and renewable generation. The redT energy storage machine has applications in remote power, smart grids, power quality, and all aspects of renewable energy management.

To find out more about redT products or to register your interest in purchasing an energy storage machine please go to the below web address:

http://www.redtenergy.com/register-interest

For sales enquiries, please email [e-mail] or call [phone]

This information is provided by RNS

The company news service from the London Stock Exchange

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March 31, 2017 02:10 ET (06:10 GMT)