Insider Brief
- Hydrostor secured a $200 million USD investment from Canada Growth Fund (CGF), Goldman Sachs Alternatives, and CPP Investments to advance its Advanced Compressed Air Energy Storage (A-CAES) projects.
- The investment includes a $150 million USD convertible note financing commitment and a $50 million USD convertible loan facility from CGF for Canadian projects, including the Quinte Energy Storage Centre in Ontario.
- Hydrostor’s late-stage A-CAES projects in Australia and California are slated to begin construction in 2025, supporting the transition from fossil generation to zero-emission storage solutions.
PRESS RELEASE – Hydrostor, a global long-duration energy storage (LDES) developer and operator, has secured a $200 million USD investment from Canada Growth Fund Inc. (“CGF”), Goldman Sachs Alternatives (“Goldman Sachs”), and Canada Pension Plan Investment Board (“CPP Investments”). The transaction will support Hydrostor’s continued investment in Advanced Compressed Air Energy Storage (A-CAES) projects in Canada and around the world.
The transaction comprises a $150 million USD convertible note financing commitment from the above investors. In addition, CGF has made available an additional $50 million USD 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.
“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,” said 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,” said Yannick Beaudoin, President and CEO of Canada Growth Fund Investment Management Inc. (“CGFIM”). “Hydrostor is a Canadian-built success story, and our team is thrilled to promote their IP and accelerate their projects in Canada and globally.”
Hydrostor’s late-stage projects in New South Wales, Australia, and California, USA, are targeted to begin construction in 2025. Its A-CAES technology represents a critical solution underpinning the future reliability of energy systems globally, enabling utilities to replace end-of-life fossil generation with zero-emission storage and accelerate the integration of intermittent renewables.
About Hydrostor Inc.
Hydrostor is a leading developer and operator of long duration energy storage systems. Hydrostor leverages a proven technology solution for delivering long duration energy storage (eight hours or more) to power grids around the world. Hydrostor’s technology uses compressed air and water to store energy. This patented technology allows grid operators to draw on clean energy, even when there is no sun to fuel solar panels and no wind to generate energy from turbines.
Hydrostor has a successful utility scale facility commercially contracted to the Independent Electricity System Operator (IESO) located in Goderich, Ontario, and two advanced projects under development in Kern County, California and New South Wales, Australia. Hydrostor has an extensive pipeline of early-stage projects in North America, Australia, and Europe.
Founded in 2010 and with headquarters in Toronto, Canada and offices in Melbourne, Australia, and Denver, USA, Hydrostor is backed by Goldman Sachs Alternatives, CPP Investments, Canada Growth Fund and other forward-thinking institutional investors, providing financial security to commit to top-tier energy projects.
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To learn more, visit https://www.hydrostor.ca/.
