RayGen secures $51 million for renewable energy expansion in Victoria

Renewable energy startup RayGen Resources has announced $51 million in Series D, led by SLB and Breakthrough Victoria. This investment is part of the state’s initiative to transition towards more renewable energy sources, aiming to reduce reliance on fossil fuels.

The funding is expected to bolster RayGen’s manufacturing and engineering capabilities in Victoria and assist its expansion efforts both domestically and internationally.

Breakthrough Victoria and SLB join a list of RayGen’s existing strategic investors such as Equinor Ventures, AGL Energy, Photon Energy Group, Chevron Technology Ventures, and the Australian Renewable Energy Agency (ARENA), who have supported the company’s growth in previous funding rounds.

The renewable energy startup is known for its development of solar PV and thermal storage technology. The company claims its technology achieves a 70% round-trip efficiency, which is notably higher than many other storage technologies currently available on the market.

RayGen’s system utilises concentrated photovoltaic solar modules along with a thermal water-based storage system, allowing for high efficiency and low-cost energy storage that can be accessed with other renewable energy isn’t available.

The company’s flagship project, operating out of Carwarp, Victoria, boasts the world’s largest operation of thermal-hydro long-duration storage. According to RayGen, it is able to deliver 17 hours of power to the grid in north-west Victoria.

In addition to the funding, RayGen has also signed a Strategic Deployment Agreement (SDA) with SLB to help with international expansion.

“RayGen is thrilled by SLB’s extensive and deep support of our vision to accelerate the energy transition with our innovative solar and storage technology,” RayGen CEO, Richard Payne, said.

“As a world leader in technology innovation and engineering, SLB will play an integral role in accelerating RayGen’s global impact.”

The funding from Breakthrough Victoria is intended to help RayGen not only expand its technology into more markets but also support its growth and manufacturing within Victoria. This investment aligns with Breakthrough Victoria’s goal of commercialising local innovations.

The investment also comes at a time when RayGen is advancing its manufacturing capabilities, with plans to commission a new 170MW per annum facility in Hawthorn East. This facility is expected to enhance the local manufacturing sector and create additional jobs.

“We’re supporting good ideas like RayGen’s energy storage solution – keeping our best and brightest minds and ideas on home soil and creating good jobs for Victorians,” Victorian Minister for Economic Growth, Tim Pallas, said.