The Anonymous Widower

Mining Firms Turn To Renewables And Battery Storage In Bid To Ditch Diesel

The title of this post, is the same as that of this article from Reuters.

These four bullet points act as sub-headings.

  • Mining operations depend on diesel generators, far from electricity grids
  • Fortescue installs 250MWh BYD battery in West Australia to store energy from solar power
  • RheEnergise’s Devon plant supplying pumped hydro power to a kaolin mine
  • Sandvik offering miners a “battery-as-a-service” model to cut energy costs

These paragraphs introduce the article.

In Western Australia’s Pilbara region, a new feature is being added to an ancient landscape: rows of containerised batteries. Iron ore mining giant Fortescue took delivery of its first major battery energy storage system (BESS) from Chinese manufacturer BYD in December 2025. The 48 containers in this batch have a capacity of 250 megawatt hours (MWh). By 2030, the company plans to have up to 5 gigawatt hours (GWh) in place, the largest in Australia.

Fortescue says its plans for BESS may be vast in ambition, yet simple in execution.

“It’s literally dropping shipping containers on the ground and plugging them in,” says Dino Otranto, the company’s CEO ​for metals and operations. “There’s not much more complexity than that. You don’t have to build a billion-dollar power station, with all the complexity.”

Like the iron ore-rich Pilbara, major deposits of the world’s most important mineral resources lie in remote regions, far from national electricity ‌grids. That means mining companies typically rely on highly polluting and carbon-intensive diesel generators to power their operations.

It certainly seems, that Fortescue, who are one of the world’s largest mining groups,  are convinced of the value of batteries.

But another mining giant is involved in developing batteries. In UK Infrastructure Bank, Centrica & Partners Invest £300M in Highview Power Clean Energy Storage Programme To Boost UK’s Energy Security, this is said.

The £300 million funding round was led by the UK Infrastructure Bank (UKIB) and the British multinational energy and services company Centrica, alongside a syndicate of investors including Rio Tinto, Goldman Sachs, KIRKBI and Mosaic Capital.

Note.

  1. Highview Power’s CRYOBatteries use air in its liquid form as a storage medium. That surely must be very cool!
  2. Highview Power’s largest battery under development is 300 MW/3.2 GWh.
  3. KIRKBI is the private fund of the LEGO family.
  4. Goldman Sachs and Mosaic Capital must be good for a few quid.
  5. Rio Tinto is a UK-Listed mining company.

Out of curiosity, I asked Google AI, “Are Highview Power Developing Large Battery Applications For Mining?” and received this reply.

Yes, Highview Power is heavily investing in and developing large-scale, long-duration energy storage (LDES) solutions—which they refer to as “liquid air batteries” (CRYOBattery™)—that are designed to support heavy industries, including potential applications for mining and remote industrial operations.

While their primary focus has been on grid-scale, long-duration energy storage, these systems are suitable for industrial sites that require high-power,, high-capacity, and dependable, dispatchable energy that typical chemical batteries (like Lithium-ion) cannot provide over long durations.

Key Aspects of Highview Power’s Development:
Technology: Highview’s CRYOBattery™ is a Liquid Air Energy Storage (LAES) system that uses renewable energy to turn air into liquid at -196°C, storing it, and then expanding it back to gas to drive turbines.

Scale and Scope: They are developing projects with a capacity range of 50 megawatts to hundreds of megawatts, providing energy for 8 to 24 hours.

Projects and Investment:
UK Projects: A 300 MWh facility in Carrington, Manchester, is currently being built and is scheduled to be operational by 2026.

Major Expansion: A 2.5 GWh facility, which will be the world’s largest, is being developed at Hunterston, Scotland, with plans to build four such large-scale facilities in the UK.

Australia & Japan: They are developing base-load renewable power projects in Australia—specifically in Gladstone, Townsville, and the Northern Territory (Darwin-Katherine)—which often include mining and high-load industrial sites.

Mining Sector Connections: Highview Power’s funding rounds have been backed by major mining and resources companies, including Rio Tinto and Sumitomo.

Suitability for Remote Mining: The system can be located anywhere (unlike pumped hydro), is modular, and uses proven off-the-shelf components, making it ideal for the high energy requirements of the mining industry.

Highview’s technology is designed to store excess energy from wind and solar over long periods and release it on demand, which is critical for making renewable energy as flexible as traditional fossil fuels in industrial contexts.

I further asked Google AI, “Where Are Highview Power Going To Build Their First Four Big Batteries In the UK”, and received this reply.

Highview Power is developing a multi-billion pound, long-duration energy storage programme in the UK, utilizing Liquid Air Energy Storage (LAES) technology, which acts as a “big battery” by storing excess renewable energy as liquid air.

The company has identified over 16 potential sites, with the first four major projects planned for the following locations:

Carrington, Manchester (Trafford Energy Park): Currently under construction, this is the flagship 50MW/300MWh commercial-scale plant. It is scheduled to be operational by early 2026.

Hunterston, North Ayrshire (Scotland): This is the first of the “Millennium Series” plants, announced as the first in a new second phase of four projects. The 2.5 GWh facility is set to have its stability island operational by 2027.

Killingholme, Lincolnshire: Named as another site eligible for the UK government’s Cap and Floor support scheme, which aids in financing these large-scale projects.

Fourth Site (TBD): Highview Power’s second phase includes two in Scotland and two in England (likely including Killingholme), bringing 10 GWh of new capacity online by 2030.

Key Project Details
Total Investment: Backed by over £500m in funding from the UK Infrastructure Bank and Centrica.

Purpose: These plants store surplus wind and solar power for up to several weeks, addressing grid congestion and allowing for the closure of fossil fuel power stations.

Technology: Unlike lithium-ion, LAES uses liquified air, providing long-duration storage (6+ hours) with a 50+ year plant life.

The Hunterston project is expected to support 1,000 jobs during construction.

My project management experience would lead me to expect, that building each project would lead to a number of jobs being created, during the construction phase. That can’t be bad!

How is the Sumitomo/Highview Power CRYOBattery Performing At Hiroshima?

I will finish by talking about the Sumitomo/Highview Power CRYOBattery, which I talked about in Is Sumitomo Heavy Industries Highview Power Energy Storage System On Line At Hiroshima?

I asked Google AI, the question in the title  of this section and received this reply.

The Sumitomo Heavy Industries (SHI) and Highview Power Liquid Air Energy Storage (LAES) plant in Hiroshima is officially operational and performing as a key commercial demonstration of long-duration energy storage. The plant, located at the Hiroshima Gas Hatsukaichi LNG Terminal, began operations on December 1, 2025, with a inauguration ceremony held shortly after.

Here is a breakdown of its performance and status:
Operational Role: The plant is functioning as the world’s first commercial-scale LAES plant integrated with LNG cold energy, delivering zero-carbon energy and providing grid stability for Japan’s power system.

Capacity and Technology: It operates with a 5 MW output and 4-hour storage (approx. 4 MW charging), utilizing waste cold from the adjacent Hiroshima Gas LNG terminal to increase efficiency.

Performance Objectives: The facility is designed to prove that LAES technology is a viable, scalable, and emission-free solution for grid storage.
Development: The project was delivered through a collaboration between Sumitomo Heavy Industries, Sumitomo SHI FW (SFW), and Highview Power.

The plant is considered a significant step in Japan’s 2050 carbon neutrality strategy and confirms the potential of using cryogenic technology for long-duration energy storage.

Conclusion

Sumitomo, Highview Power and their partners now appear to be ready to go forth and multiply.

April 11, 2026 Posted by | Artificial Intelligence, Energy, Energy Storage | , , , , , , , , , , , , , , | Leave a comment

Are Goldman Sachs Stitching Together A Large Deal On Energy Storage?

In UK Infrastructure Bank, Centrica & Partners Invest £300M in Highview Power Clean Energy Storage Programme To Boost UK’s Energy Security, I talked about a deal to invest £300 million into energy storage company; Highview Power.

These three paragraphs  are from the Highview Power news item, on which I based my post.

Highview Power has secured the backing of the UK Infrastructure Bank and the energy industry leader Centrica with a £300 million investment for the first commercial-scale liquid air energy storage (LAES) plant in the UK.

The £300 million funding round was led by the UK Infrastructure Bank (UKIB) and the British multinational energy and services company Centrica, alongside a syndicate of investors including Rio Tinto, Goldman Sachs, KIRKBI and Mosaic Capital.

The investment will enable the construction of one of the world’s largest long duration energy storage (LDES) facilities in Carrington, Manchester, using Highview Power’s proprietary LAES technology. Once complete, it will have a storage capacity of 300 MWh and an output power of 50 MWs per hour for six hours. Construction will begin on the site immediately, with the facility operational in early 2026, supporting over 700 jobs in construction and the supply chain.

Note.

  1. The UK Infrastructure Bank is a is a British state-owned development bank.
  2. Centrica plc is an international energy and services company.
  3. Rio Tinto is a leading global mining group that focuses on finding, mining and processing the Earth’s mineral resources.
  4. The Goldman Sachs Group, Inc. is a leading global investment banking, securities and investment management firm.
  5. KIRKBI is the Kirk Kristiansen family’s private holding and investment company founded to build a sustainable future for the family ownership of the LEGO Group.
  6. Mosaic Capital are an American investment firm.

With six partners, that is just £50 million per partner.

As that sum is very much small change for the likes of these guys and the question of taking an equity stake is not mentioned in Highview Power’s news item, it looks like this deal could be a try-before-you-buy deal with some of the partners or a simple investment with others.

Consider.

  • Gresham House, Gore Street and others have proven that investing in lithium-ion batteries give a good return on investment.
  • The Carrington long duration energy storage facility will be located near to the 884 MW gas-fired Carrington power station. I suspect that Centrica and Rio Tinto will be interested to see how the hybrid power-station performs.
  • Could the Lego Group owners be looking at using solar power, wind power and a LDES to reduce the carbon footprint of their stores?

I would assume, that all the investors would get full details on the performance of the batteries.

Someone To Build The LDES

In Bilfinger Drives Highview Power’s Innovative Storage Project, Accelerating The Energy Transition, I describe how German company will build the Carrington LDES.

The Advantages Of An LDES over a BESS

This is only a short list, of the advantages I see.

  • An LDES is easily recyclable.
  • The LDES has less exotic materials.
  • An LDES can be built from zero-carbon steel.
  • Highview are claiming a 40-year life for their LDES.
  • Highview is already talking about 200MW/2.5GWh LDES systems.
  • Two 200MW/2.5GWh systems working together with a wind or solar farm, can replace a 400 MW gas- or coal-fired station.
  • I suspect one of Highview’s LDES systems could be placed offshore, if needed.

I also believe that Highview’s LDES systems could be incorporated into complex chemical plants to increase the efficiency.

Are Goldman Sachs Stitching Together A Large Deal On Energy Storage?

Everything now seems to be in place to build these LDES one after the other, to accelerate the energy transition.

With a good supply of orders and enough money to build each system, I cab see no reason, why several systems a month cannot be built and installed.

I have worked with companies like Goldman Sachs in the past, and I wouldn’t be surprised to find, that they have created the consortium, so that all members get the returns and recognition, they disserve.

Adding Lego Group To The Consortium Could Be A Masterstroke

The Lego Group has lots of stores and theme parks worldwide and a reputation for good design and environmental standards.

Last year, I wrote Bedford Depot’s Massive Solar Roof Helps Thameslink On Way To Net Zero. This was putting a solar roof on a rail depot, but surely buildings like this would be suitable for a Highview LDES.

June 23, 2024 Posted by | Energy, Energy Storage | , , , , , , , , , , , , , , , | Leave a comment