Hithium has launched a battery energy storage system (BESS) product suitable for use in desert conditions and plans to build a 5GWh production plant in Saudi Arabia.
The Chinese manufacturer and system integrator launched its desert BESS solution at an event in the Kingdom of Saudi Arabia this week, claiming that the product line is customised to meet the requirements of customers in the Middle East and Africa (MEA).
While details of the product range given in an announcement yesterday (16 October) were relatively few, Hithium said the solutions feature advanced sandstorm protection and are designed to be suitable for low-temperature and high-temperature environments.
In addition to the product unveiling, Hithium also announced the formation of a new joint venture (JV), through which it plans the construction of a BESS factory in Saudi Arabia with 5GWh annual production capacity.
The JV, Hithium MANAT, has been formed with engineering solutions company MANAT, which was founded and is owned by Nabilah Al-Tunisi, a former chief engineer at Saudi state-owned energy company Saudi Aramco. Al-Tunisi is the CEO of the new JV company.
"The development of one of the first advanced BESS manufacturing facilities in Saudi Arabia and the wider Middle East and North Africa (MENA) region underscores this commitment," Nabilah Al-Tunisi said.
"By establishing this subsidiary and investing in a local BESS factory, we are not only expanding our global footprint but also directly contributing to Saudi Arabia’s Vision 2030. ‘Local for Local’ is our promise to foster local energy storage growth," said Sean Sun, MEA regional general manager for Hithium.
Hithium, headquartered in Xiamen, China, manufactures battery cells including 280Ah and 314Ah prismatic lithium iron phosphate (LFP) cells, and battery storage cabinets and liquid-cooled containers that include 3.44MWh containerised solutions featuring the 280Ah cell and 5.015MWh units that use the larger cell.
The company is specialised in stationary battery storage and does not supply batteries for electric vehicles (EVs) or other applications and has reported 40GWh of cumulative BESS shipments to date worldwide.
It is among the Chinese manufacturers to be planning production plants in the US, announcing the development of a 10GWh annual production capacity factory in Texas which will make modules and complete systems. While a timeline for the construction of that plant was not given at the time of its announcement in July, Hithium said it would invest an initial US$100 million into its development and that it would create 141 manufacturing jobs at the site in the city of Mesquite "within five years."
Within the MENA region, in May, Hithium launched a cooperation with Turkish engineering company Kontek Enerji''s battery storage subsidiary Maxxen, through which the pair seek to promote energy storage systems and establish a production facility in the country.
Sungrow Power Supply, a Chinese photovoltaic inverter manufacturing giant recently announced to partner with Saudi Arabia''s Algihaz Holding for a massive energy storage project. In this project, Sungrow will build a 7.8 GW energy storage system to boost Saudi Arabia’s power grid stability and reliability. Media reports that this will be the largest off-grid energy storage project in the Middle East.
Saudi Arabia, the world’s largest crude oil exporter, is committed to expanding its renewable energy sector under Crown Prince Muhammad bin Salman bin Abdel Aziz Al Saud’s Vision 2030 plan proposed in 2016. By 2030, Saudi Arabia aims for solar and wind energy to make up 50% of its energy mix, totaling 58.7 GWh.
Sungrow has outlined the project timeline and many other significant attributes. It will span three sites in Najran, Madaya, and Khamis Mushait of Saudi Arabia comprising ~ 7.8 million battery cells.
Furthermore, the project is intended to last more than 15 years, with prominent challenges including climatic conditions, massive scale, critical logistics, and tight delivery schedules. Product delivery will start this year, with a full grid connection expected to be completed by next year.
Sungrow''s representative on addressing some leading media agencies noted that the company will deliver over 1,500 units of its latest Power Titan 2.0 liquid-cooled storage system. The integrated AC storage design and high energy density can reduce operation area by 55%. Furthermore, Sungrow''s preliminary technical and financial involvement will ensure on-time on-site installation and grid connection, meeting all deadlines.
For operations and maintenance, it will deploy an intelligent energy management system (EMS). This modern technology will monitor real-time levels and ensure safety and efficacy during production. However, neither of the parties disclosed the deal value.
They offer solutions for utility-scale, commercial, industrial, and residential applications, including floating PV plants, NEV driving solutions, EV charging, and renewable hydrogen production.
The power titan installed rooftop PV power stations with a total capacity of nearly 13 MW. This saved over 1,300 MWh of electricity annually and raised green electricity consumption to 55%. They reduced energy consumption per unit product by 6.8% compared to 2020. According to S&P Global, Sungrow tops the global position in PV inverter shipments for 2023.
Sungrow’s operating revenue surged by 79.5% in 2023, reaching $10.2 billion. Meanwhile, its net profit attributable to shareholders soared by 162.7% to $1.3 billion.
For 2023: The proportion of green electricity use reached 55% in 2023. Greenhouse gas emissions (scope 1 and scope 2) were reduced to 41,755 tons of CO equivalent, which is a decrease of 1,502 tons compared to 2022.
Like Sungrow, Algihaz is actively driving the energy transition as its commitment to Saudi Vision 2030. The company invests in innovative projects to deliver solutions across the Arab Kingdom and globally. Its partnership with Sungrow exemplifies this commitment.
Saudi Arabia is actively transitioning from fossil fuels to renewable energy as part of its Vision 2030 initiative. A few years back, Saudi Aramco’s collaboration with Huawei, focused on integrating advanced technologies to enhance the efficiency and sustainability of energy production. The news of Huawei constructing the world''s second-largest off-grid battery energy storage project in Saudi Arabia has made headlines recently. This project has now achieved an energy storage capacity of 1.3 GWh.
The Kingdom is investing heavily in renewable energy. The $500 billion NEOM city will run entirely on renewable energy. The Sakaka Solar Power Plant is another crucial project. It is the country''s first large-scale solar initiative, reducing reliance on oil.
Overall, the Middle East’s renewable energy landscape looks promising in the coming years, with global companies eager to invest. Furthermore, China’s leading PV inverter company, Sungrow exploring the Saudi market, which will open numerous opportunities for the future.
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