A Scottish battery technology pioneer focused on renewable energy has secured £7.2 million of funding to pursue its expansion plans, including £6.6m from the Scottish National Investment Bank.
Aberdeen-based Verlume, which has developed technology that uses intelligent energy management to deliver a constant output of power from renewable sources, has identified offshore wind as a significant opportunity for growth.
The company’s technology enables the adoption of renewable technology within offshore oil and gas decarbonisation projects and minimises energy loss from electricity generated from offshore wind, the Scottish National Investment Bank (SNIB) noted.
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Verlume’s flagship product, Halo, is a multi-use, subsea battery storage system which reserves power generated from intermittent renewable energy sources such as wind power.
SNIB noted: “The cutting-edge energy storage and management technology significantly increases production efficiency by storing power and releasing it when required.”
As well as the £6.6m from SNIB, £600,000 was raised through an offer to existing Verlume investors in a process managed by Edinburgh-based venture capital firm Par Equity.
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Richard Knox, chief executive of Verlume, said: “This is an enormous step forward as it will provide the funds necessary to execute significantly larger projects, which will in turn, grow the strength and diversity of our team.
“In the year that we are celebrating 10 years in business, the support from the Scottish National Investment Bank will allow us to continue to invest in our people, our technology and operational capabilities to deliver on our vision of being a global company at the forefront of the energy transition.”
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SNIB noted that, as well as being able to increase overall energy output, Halo’s battery technology can also be used as a charging point for servicing vessels, sensor equipment and autonomous subsea vehicles, “to help further reduce carbon emissions associated with servicing and maintaining fixed and offshore floating wind farms”.
Robin Tayal, investment director at SNIB, said: “Verlume has been at the forefront of energy transition since the company’s inception in 2013. The bank’s backing will allow [it] to scale up and further transfer its considerable skills within the subsea sector into marine renewable energy.
“The investment further demonstrates our belief that the north-east of Scotland can become a global powerhouse in energy transition. Verlume will now be able to grow, attract new talent and play a crucial role in the Scottish, UK and international offshore wind supply chain.”
Mr Knox thanked existing investors Par Equity, Orchard Venture Capital and Scottish Enterprise for their “continued backing and support”.
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