Brenmiller Signs MOU with RSP Systems to Boost bGen™ ZERO Sales in the U.S.

Rhea-AI Summary

Brenmiller Energy Ltd. (BNRG) signs non-binding MOU with RSP Systems for exclusive distribution of bGen™ in U.S. Northeast. RSP Systems praises bGen™ as the best thermal energy storage system on the market. Brenmiller's gigawatt bGen™ manufacturing facility in Israel ready for large-scale production.

Energy Industry Analyst

The strategic partnership between Brenmiller Energy and RSP Systems represents a significant development in the thermal energy storage (TES) market. TES systems like bGen™ are critical for enhancing the efficiency of renewable energy sources by storing excess energy for later use, thereby addressing the intermittency issues associated with solar and wind power. The non-binding MOU signals industry confidence in the scalability of Brenmiller's technology, especially considering RSP Systems' commitment to exclusive distribution in the U.S. Northeast Region.

The proposed tax incentives for TES in the U.S. can potentially accelerate the adoption of such systems, creating a more favorable economic landscape for companies like Brenmiller. The tax incentives could reduce the capital expenditure burden on end-users, thereby increasing the market penetration of bGen™ systems. This development is poised to enhance Brenmiller's commercial footprint in the U.S. and could serve as a catalyst for growth in the TES sector.

Environmental Policy Expert

The partnership between Brenmiller Energy and RSP Systems aligns with global efforts to transition to low-carbon energy systems. The bGen™ system's ability to store and dispatch energy on-demand makes it a potential game-changer for industrial applications looking to reduce greenhouse gas (GHG) emissions. By integrating TES with existing energy generation systems, like the Capstone turbine project at SUNY Purchase, industries can significantly reduce their carbon footprint.

The environmental impact of such technology is magnified by the recent legislative developments in the U.S., where proposed tax incentives for TES are indicative of a broader policy shift towards supporting green technologies. These incentives could lead to increased investments in TES systems, thereby contributing to the nation's GHG emission reduction targets. For stakeholders, this underlines the importance of regulatory landscapes in shaping the viability and attractiveness of sustainable energy solutions.

Financial Analyst

From a financial perspective, the MOU between Brenmiller Energy and RSP Systems could be a precursor to a more stable revenue stream for Brenmiller, contingent upon the successful negotiation and execution of definitive agreements. The exclusivity clause suggests a strong commitment from RSP Systems, which could translate into higher sales volume and market share for Brenmiller in the U.S. Northeast. Furthermore, the reference to a gigawatt-scale manufacturing facility indicates Brenmiller's readiness for mass production, which is essential for meeting anticipated demand and achieving economies of scale.

The financial benefits of the proposed tax incentives should not be understated. These incentives may lower the total cost of ownership for end-users and potentially increase the demand for Brenmiller's bGen™ systems. Consequently, investors should monitor the progress of these legislative developments closely, as they could have a material impact on Brenmiller's market opportunity and financial performance in the U.S.

• New York-based RSP Systems, which provides customized on-site energy solutions for customers, would distribute bGen™ in the U.S. Northeast region
• Brenmiller’s U.S. commercial traction gains momentum following its first bGen™ system installation handover in New York and new proposed U.S. tax incentives for thermal energy storage

ROSH HA’AYIN, Israel--(BUSINESS WIRE)-- Brenmiller Energy Ltd. ("Brenmiller", "Brenmiller Energy” or the “Company”) (Nasdaq: BNRG), a global leader in thermal energy storage (“TES”), today announced it has signed a non-binding Memorandum of Understanding (MOU) with RSP Systems outlining the terms of a distribution agreement. Subject to negotiating and execution of definitive agreements, RSP Systems would be the exclusive distributor of bGen™ in the U.S. Northeast Region. RSP Systems has prior experience working with Brenmiller on its first project in the U.S., combining Brenmiller’s TES with a Capstone turbine to reduce GHG emissions and create monetary savings.

RSP Systems has been a leader in choosing and implementing award-winning energy generation systems since 2004 and recently began offering the bGen™ to augment customer solutions with essential thermal energy storage.

Cory Glick, RSP Systems’ President commented, “We worked closely with Brenmiller on the bGen™ installation at the State University of New York (SUNY) Purchase campus. Our first-hand experience with bGen™ has convinced us that this is the best thermal energy storage system on the market, and we look forward to being the exclusive distributor for the system in the Northeast U.S. All trends point to rising demand for more sustainable energy solutions, and we believe the recently proposed tax legislation in particular will give TES a boost.”

“We look forward to concluding a definitive distribution agreement with RSP Systems and making bGen™ more readily available in the U.S. Our gigawatt bGen™ manufacturing facility in Israel is ready for large-scale production to meet demand,” stated Brenmiller’s Chairman and CEO, Avi Brenmiller. “We’ve had a very productive working experience with the team at RSP Systems during the New York installation and look forward to many, many more.”

bGen™, Brenmiller’s thermal battery, converts electricity into heat to power sustainable industrial processes at a price that is competitive with natural gas. The bGen™ charges by capturing low-cost electricity from renewables or the grid and stores it in crushed rocks. It then discharges steam, hot water or hot air on demand according to customer requirements. The bGen™ also supports the development of utility-scale renewables by providing critical flexibility and grid-balancing capabilities. bGen™ was named among TIME’s Best Inventions of 2023 in the Green Energy category.

About Brenmiller Energy Ltd.
Brenmiller Energy delivers scalable thermal energy storage solutions and services that allow customers to cost-effectively decarbonize their operations. Its patented bGen™ thermal storage technology enables the use of renewable energy resources, as well as waste heat, to heat crushed rocks to very high temperatures. They can then store this heat for minutes, hours, or even days before using it for industrial and power generation processes. With bGen™, organizations have a way to use electricity, biomass and waste heat to generate the clean steam, hot water and hot air they need to mold plastic, process food and beverages, produce paper, manufacture chemicals and pharmaceuticals or drive steam turbines without burning fossil fuels. For more information visit the company’s website at https://bren-energy.com/ and follow the company on X (formerly Twitter) and LinkedIn.

Forward-Looking Statements
This 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 terms of a distribution agreement based on the signed non-binding MOU with RSP Systems, including the conclusion of a definitive distribution agreement with RSP Systems; that RSP Systems would be the exclusive distributor of bGen™ in Northeast U.S. making bGen™ more readily available in the U.S.; trends point to rising demand for more sustainable energy solutions; and that recent tax legislation will give TES a boost. 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’s 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’s results include, but are not limited to: the Company’s 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’s Annual Report on Form 20-F for the year ended December 31, 2022 filed with the SEC on March 21, 2023, which is available on the SEC’s website, www.sec.gov. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240111148027/en/

Media:

Tori Bentkover

brenmillerenergy@antennagroup.com

Source: Brenmiller Energy Ltd.

FAQ

What is the latest announcement from Brenmiller Energy Ltd. (BNRG)?

Brenmiller Energy Ltd. has signed a non-binding Memorandum of Understanding (MOU) with RSP Systems for the exclusive distribution of bGen™ in the U.S. Northeast Region.

What is bGen™ and how does it work?

bGen™ is Brenmiller's thermal battery that converts electricity into heat to power sustainable industrial processes at a competitive price with natural gas. It charges by capturing low-cost electricity from renewables or the grid and stores it in crushed rocks, then discharges steam, hot water, or hot air on demand.

What is the significance of the bGen™ system installation in New York?

The bGen™ system installation in New York marks Brenmiller's commercial traction gains momentum in the U.S. It is the first installation handover in the U.S. and signifies the growing demand for sustainable energy solutions.

What are the proposed U.S. tax incentives for thermal energy storage?

The proposed U.S. tax legislation is expected to give thermal energy storage (TES) a boost, reflecting the rising demand for more sustainable energy solutions.

What recognition has bGen™ received?

bGen™ was named among TIME’s Best Inventions of 2023 in the Green Energy category, indicating its innovative and impactful nature.