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- Brenmiller to drive energy transformation for industrial customers, with a commitment to creating long-term value for shareholders<\/i><\/li>\n
- Brenmiller operates a state-of-the-art TES gigafactory, with capacity to produce up to 4 GWh of bGen\u2122 systems valued at up to $200 million<\/i><\/li>\n
- Brenmiller is currently developing 7 projects around the world and advancing its $440 million commercial pipeline, aiming to convert it into commercial opportunities for potentially 12 industries across 13 different countries<\/i><\/li>\n<\/ul>\n
TEL AVIV, Israel–(BUSINESS WIRE<\/a>)–
\nBrenmiller Energy Ltd. (“Brenmiller,” “Brenmiller Energy” or the “Company”) (Nasdaq: BNRG), a leading global provider of thermal energy storage (“TES”) solutions for industrial and utility customers, is proud to provide shareholders with a comprehensive overview for its end of 2024 activity. Chairman and Chief Executive Officer, Avi Brenmiller, reflects on the Company\u2019s achievements during 2024 and outlines the Company\u2019s exciting path forward, including insights into strategic initiatives, technological advancements, and how its unwavering commitment to sustainability and innovation can make 2025 a transformative year.<\/p>\nDear Valued Shareholders,<\/b><\/p>\n
\nWith 2024 in our rearview, it’s worth pausing to appreciate the journey we\u2019ve taken to get here\u2014a journey marked by pioneering innovation in TES, strategic partnerships with leading energy industry players, and an uncompromising commitment to redefining the way global industries think about and consume heat. Having successfully navigated this journey, I believe that Brenmiller Energy has become more than a company focused on creating shareholder value: we\u2019ve built a conduit for a resilient, reliable, and secure renewable energy future.<\/p>\n
\nThe strides we made in 2024 represent more than incremental improvements; we\u2019ve achieved critical milestones that we believe can position us to deliver transformative results in 2025. With a $440 million global pipeline of commercial opportunities and the ability to manufacture up to 4 GWh of bGen\u2122 TES systems from our factory, we are positioned better than ever to serve rapidly growing demand for clean and low-cost industrial heat.<\/p>\n
Transformation is in Progress<\/i><\/b><\/p>\n
\nOver fifty percent of our $440 million commercial pipeline originates in Europe, where demand for industrial decarbonization solutions is enormous. During 2024, we formed Brenmiller Europe S.L. (\u201cBrenmiller Europe\u201d)<\/a>, a joint venture with leading renewable energy developers Green Enesys and Viridi, to take advantage of the market\u2019s dynamics and convert our pipeline into revenue-generating projects. We believe that Brenmiller Europe will help grow our global sales and service infrastructure and accelerate our ability to deliver customers lower energy costs and a reduced carbon footprint.<\/p>\n
\nOne of our first European projects is a 12-year Heat as a Service (\u201cHaaS\u201d) agreement with Partner in Pet Food Hungaria KFT (\u201cPPF\u201d)<\/a>, one of Europe\u2019s leading private-label pet food producers. We\u2019re developing a 30 MWh bGen\u2122 ZERO system, which we will use to sell zero-emission electric steam to PPF at a fixed rate. Thanks to favorable energy market dynamics in Hungary, we believe we\u2019ll be able to further increase shareholder returns by offering grid balancing services to local transmission system operators.<\/p>\n
\nIn Germany, our partnership with Entelios AG<\/a> has opened the door to one of the world\u2019s largest and most advanced industrial energy markets. The country\u2019s robust regulatory environment and focus on increasing renewable integration create an ideal environment for our bGen\u2122 technology to thrive. Through our presence in Europe, we\u2019re well-positioned to capture a sizeable share of Germany\u2019s projected $2.9 billion market for TES solutions by 2028.<\/p>\n
\nBeyond Europe, our collaboration with Tempo, partially owned by Heineken International B.V., is experiencing great momentum. One of Israel\u2019s largest producers and distributors of beverages for renowned brands like Heineken and Pepsi, Tempo\u2019s decision to replace its fossil fuel boilers with our bGen\u2122 ZERO TES technology not only demonstrates trust in our cutting-edge solution but is also reflective of a rapidly growing paradigm shift across global industrial sectors: clean heat is a competitive advantage. Using off-peak electricity from the grid and solar PV, our bGen\u2122 system for Tempo is expected to mitigate over 6,200 tons of carbon emissions annually. We estimate Tempo will save approximately $7.5 million on energy costs over 15 years using TES. We recently completed manufacturing<\/a> the 32 MWh system\u2019s components from our gigawatt factory and are on track to begin on-site assembly in early 2025.<\/p>\n
\nAlso in Israel, we signed a definitive agreement with Wolfson Hospital to supply low-carbon electric heat over seven years. The $3.55 million project will replace Wolfson Hospital\u2019s diesel boilers with a 12 MWh bGen\u2122 ZERO system. The switch to electric heat<\/a> has the potential to save Wolfson Hospital up to $1.3 million annually and reduce its local carbon footprint by 3,900 tons per year.<\/p>\n
\nFinally, our recently announced collaboration with TUTCO Heating Solutions Group (\u201cTUTCO\u201d), a global leader in electric heating and part of a \u00a35.6 billion industrial technology company, has strengthened our manufacturing supply chain and expanded our production capacity, ensuring scalability and customer demand.<\/p>\n
\nThese deals validate our bGen\u2122 technology\u2019s maturity and reliability, advance our business goals, and reinforce growing global demand for cleaner, more affordable, and more resilient energy. We believe our approach to delivering clean heat uniquely positions us to address the industrial sector’s most pressing decarbonization challenges with competitive distinction.<\/p>\n
The Global Energy Market in 2025<\/i><\/b><\/p>\n
\nAccording to Bloomberg New Energy Finance, the energy storage market is projected to grow at a CAGR of 23% until 2030, fueled by increasing renewable generation and grid modernization efforts. This expansion presents a unique opportunity for Brenmiller Energy because, unlike other forms of energy storage, our TES solutions directly address challenges like intermittency, high costs, and scalability.<\/p>\n
\nGeopolitical and economic shifts are also working in our favor. A growing number of nations continue to recognize the near- and long-term value of decarbonization and energy independence, creating what we believe will be unprecedented demand for reliable, affordable, and highly scalable storage solutions, which our bGen\u2122 technology delivers. bGen\u2122 ability to integrate seamlessly with industrial and electrical market applications is a key competitive advantage, making Brenmiller Energy a vital and contributing partner in the global energy transition.<\/p>\n
A Forward-Looking Perspective\u2014Inflection Point in 2025<\/i><\/b><\/p>\n
\nBuilding on last year\u2019s significant milestones, we\u2019re confident that 2025 will be transformative for our Company for several reasons:<\/p>\n
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- Unprecedented Market Penetration
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The relationships we\u2019ve built throughout Europe and across North America and Asia, combined with our expanding production capacity, will enable us to serve more clients in more regions. This geographic diversification reduces risk while increasing revenue streams.<\/p>\n<\/li>\n- Commercialization at Scale
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The bGen\u2122 ZERO system\u2019s commercial rollout represents a tipping point. Our gigafactory has up to 4 GWh of manufacturing capacity, which translates into a potential $200 million worth of production. With growing interest from some of the world\u2019s largest producers of consumer goods, including Fortune 500s, seeking to decarbonize their operations, we anticipate strong adoption and a steady revenue ramp-up throughout 2025.<\/p>\n<\/li>\n- Innovation and Differentiation
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Brenmiller Energy doesn\u2019t just compete; we lead. Our focus on research and development ensures we remain ahead of the curve, aiming to offer solutions that are both technologically superior and economically viable.<\/p>\n<\/li>\n- Enhanced Revenue Streams
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We\u2019re meeting key project milestones on schedule and on budget, which can unlock critical performance-based revenues<\/a>. Additionally, collaborations like the one with Entelios are focused exclusively on creating additional revenue streams for clients and shareholders. By enrolling our bGen\u2122 systems in local energy market programs, we create an extraordinary win-win scenario\u2014for our Company, our clients, the grid, and the environment.<\/p>\n<\/li>\n- Global Environmental, Social and Governance (\u201cESG\u201d) Momentum
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As carbon regulations tighten and corporations increasingly realize the market value of cleaner and lower-cost energy technologies, our TES solutions offer a unique advantage. They comply with ESG criteria and can catalyze industrial sectors\u2019 decarbonization goals, creating a competitive advantage for our customers and a compelling value proposition for investors.<\/p>\n<\/li>\n- Strategic Capital Allocation
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Our private placement financing, which closed in December<\/a> at a premium to the market price for our share demonstrates trust and enthusiasm from this institutional shareholder. These funds are not just a vote of confidence\u2014they fuel our growth engine. Every dollar is strategically allocated to initiatives that maximize return on investment, from ramping production to expanding market penetration. Many of the large-scale projects, either in development or various stages of negotiation, are planned to benefit from non-dilutive project-based financing as well as government grants.<\/p>\n<\/li>\n- Our Unique Ability to Serve Demand
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<\/b>Valued shareholders, the current reality of what stands in front of us is clear\u2014the world needs better, more affordable, more sustainable, and less volatile energy solutions, and we need them now.<\/p>\n<\/li>\n<\/ol>\n\nWe believe our technology, partnerships, and market positioning will translate to our Company capturing a significant share of this burgeoning market, while others in the competitive landscape are still in the early stages of evaluating technology. Thus, your investment in Brenmiller Energy is one that can help shape the age of industrial electrification.<\/p>\n
\nAs we aim to redefine what’s possible in industrial decarbonization, together, I believe we can create a future that’s more than sustainable; it’s prosperous.<\/p>\n
\nSincerely,<\/p>\n
\nAvi Brenmiller
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CEO, Brenmiller Energy<\/p>\nAbout Brenmiller Energy Ltd.<\/b><\/p>\n
\nBrenmiller Energy helps energy-intensive industries and power producers end their reliance on fossil fuel boilers. Brenmiller\u2019s patented bGen\u2122 thermal battery is a modular and scalable energy storage system that turns renewable electricity into zero-emission heat. It charges using low-cost renewable electricity and discharges a continuous supply of heat on demand and according to its customers\u2019 needs. The most experienced thermal battery developer on the market, Brenmiller operates the world\u2019s only gigafactory for thermal battery production and is trusted by leading multinational energy companies. For more information visit the Company\u2019s website at https:\/\/bren-energy.com\/<\/a> and follow the Company on X<\/a> and LinkedIn<\/a>.<\/p>\n
Forward-Looking Statements<\/b><\/p>\n
\nThis press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. Statements that are not statements of historical fact may be deemed to be forward-looking statements. For example, the Company is using forward-looking statements in this press release when it discusses: the $63 billion TES market in 2025; the Company\u2019s ability to drive energy transformation for industrial customers; the Company\u2019s commitment to creating long-term value for shareholders; the Company\u2019s TES gigafactory capacity to produce up to 4 GWh of bGen\u2122 systems valued at up to $200 million; the Company\u2019s $440 million pipeline of commercial opportunities for potentially 12 industries across 13 different countries; that the Company is in a position to deliver transformative results in 2025; that Brenmiller Europe will grow the Company\u2019s global sales and service infrastructure and accelerate its ability to deliver customers lower energy costs and a reduced carbon footprint; that the Company will be able to further increase shareholder returns by offering grid balancing services to local transmission system operators; that the Company\u2019s presence in Europe positions it to capture a sizeable share of Germany\u2019s projected $2.9 billion market for TES solutions by 2028; the outcomes and benefits of the Company\u2019s current projects and collaboration; and the expectation that 2025 will be a transformative year for the Company. Without limiting the generality of the foregoing, words such as “plan,” “project,” “potential,” “seek,” “may,” “will,” “expect,” “believe,” “anticipate,” “intend,” “could,” “estimate” or “continue” are intended to identify forward-looking statements. Readers are cautioned that certain important factors may affect the Company\u2019s actual results and could cause such results to differ materially from any forward-looking statements that may be made in this press release. Factors that may affect the Company\u2019s results include, but are not limited to: the Company\u2019s planned level of revenues and capital expenditures; risks associated with the adequacy of existing cash resources; the demand for and market acceptance of our products; impact of competitive products and prices; product development, commercialization or technological difficulties; the success or failure of negotiations; trade, legal, social and economic risks; and political, economic and military instability in the Middle East, specifically in Israel. The forward-looking statements contained or implied in this press release are subject to other risks and uncertainties, many of which are beyond the control of the Company, including those set forth in the Risk Factors section of the Company\u2019s Annual Report on Form 20-F for the year ended December 31, 2023 filed with the SEC on March 18, 2024, which is available on the SEC\u2019s website, www.sec.gov<\/a>. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.<\/p>\n
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View source version on businesswire.com: <\/span>https:\/\/www.businesswire.com\/news\/home\/20250106799593\/en\/<\/a><\/span><\/p>\n
Media:
\n<\/b>
Tori Bentkover
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brenmillerenergy@antennagroup.com<\/a><\/p>\nKEYWORDS:<\/b> Israel Middle East<\/p>\n
INDUSTRY KEYWORDS:<\/b> Other Energy Utilities Environment Sustainability Alternative Energy Green Technology Energy<\/p>\n
- Commercialization at Scale
- Brenmiller operates a state-of-the-art TES gigafactory, with capacity to produce up to 4 GWh of bGen\u2122 systems valued at up to $200 million<\/i><\/li>\n
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