Hydrostor, a global long-duration energy storage (LDES) developer and operator, has secured a $200 million investment from the Canada Growth Fund (CGF), Goldman Sachs Alternatives, and Canada Pension Plan Investment Board (CPP Investments). The deal will support Hydrostor’s continued investment in Advanced Compressed Air Energy Storage (A-CAES) projects in Canada and worldwide.
This deal features a $150 million convertible note financing commitment from the above investors. CGF has also made available an additional $50 million convertible development expenditure loan facility to fund a portion of development costs for Hydrostor’s Canadian projects, such as the Quinte Energy Storage Centre project, a 500 MW/4,000 MWh A-CAES project to be developed in Lennox and Addington County, Ontario.
Hydrostor’s late-stage projects in New South Wales, Australia, and California, USA, are targeted to start construction this year. And its A-CAES technology represents a critical solution underpinning the future reliability of energy systems globally. It enables utilities to replace end-of-life fossil generation with zero-emission storage and accelerate the integration of intermittent renewables.
Osler, Hoskin & Harcourt advised CGF and Canada Growth Fund Investment Management regarding CGF’s investment.
KEY QUOTES:
“This investment is another vote of confidence in Hydrostor’s technology and our ability to bring our initial projects to market, as well as continue to build our robust project pipeline. I’m thrilled to bring Canada Growth Fund onboard as one of our major investors, and equally as excited by the continued support for our company and our technology from Goldman Sachs and CPP Investments.”
- Curtis VanWalleghem, Chief Executive Officer and Co-Founder of Hydrostor
“CGF has an ambitious mandate to support innovation and fiscally prudent economic development by attracting private investment in Canadian projects and technologies. Hydrostor is a Canadian-built success story, and our team is thrilled to promote their IP and accelerate their projects in Canada and globally.”
• ⁃ Yannick Beaudoin, President and CEO of Canada Growth Fund Investment Management
