Europe Is Focusing on Batteries That Last Four Days and Don't Use Rare Earth Materials: The Future of Renewables

The Dutch startup Ore Energy has announced an agreement with energy provider Budget Thuis for the creation of a 1 GWh storage system, representing the largest European battery-based iron-air project announced so far on the continent.

The agreement includes an initial confirmed phase of 400 MWh, with deliveries scheduled for 2028. It is also the first commercial agreement in Europe between an energy company and an iron-air storage system provider.

The technology developed by Ore Energy differs from traditional lithium-ion batteries due to its ability to store electricity for much longer periods. The company’s batteries can ensure a range of autonomy between 24 and 100 hours, a value that allows the management of interruptions of multiple days with production from renewable sources.

The system exclusively uses iron, water, and air, and is installed within 40-foot modular containers, which can be linked together to increase overall capacity. Although this solution presents lower efficiency and larger sizes compared to lithium batteries, the use of abundant and low-cost materials could offer significant advantages in large-scale storage systems.

Budget Thuis aims to store excess wind energy during periods of high availability and reinject it into the grid when renewable production decreases and electricity prices rise. Once completed, the plant will be connected to the Dutch electricity grid through the containerized architecture developed by Ore Energy. The company also emphasizes that its technology relies on a fully European supply chain, thanks to the absence of numerous critical minerals typically used in conventional batteries.

"European electricity grids are already limiting clean energy on a large scale, wasting electricity generation that costs billions, while we remain dependent on fossil fuels to fill the gaps," stated Aytaç Yilmaz, co-founder and CEO of Ore Energy. "Short-duration batteries alone cannot solve the problem. They shift solar energy for a few hours, but European grids, heavily dependent on wind energy, require storage systems that operate on a daily, not hourly, basis."

For Budget Thuis, the investment also aims to reduce exposure to fluctuations in fossil fuel prices and provide a more predictable supply of electricity over time, based on renewable sources.

The agreement comes after two previous grid-connected installations made by Ore Energy. In February, the company announced the completion of a pilot project with EDF in France, described as the first European long-duration iron-air storage system connected to the grid, capable of providing up to four days of energy storage under real operating conditions. Previously, the company also installed a pilot plant in Delft, Netherlands, to test the integration of the technology with existing European electrical infrastructures.