SOURCE: ZBB Energy Corporation

ZBB Energy Corporation

April 13, 2011 08:25 ET

ZBB Energy and Honam Petrochemical Form Joint Development Partnership to Deliver Lowest Cost Flow Battery

ZBB and Honam Align to Develop and Manufacture the Best Cost-Performance Flow Battery Available, Utilizing ZBB's Zinc-Bromide Technology

MILWAUKEE, WI--(Marketwire - Apr 13, 2011) - ZBB Energy Corporation (NYSE Amex: ZBB), the leading developer of intelligent, renewable energy power platforms, announced today a joint development agreement with Honam Petrochemical, a division of the Lotte Group, headquartered in Seoul, South Korea.

Honam Petrochemical Company, a billion dollar diversified producer of petrochemicals and advanced synthetic resins, has identified energy storage as a strategic priority business. Honam's due diligence in its search for a leader in the field of energy storage led them to ZBB Energy and their zinc-bromide flow battery technology, recognized as the leading commercially available flow battery.

Honam determined ZBB the ideal partner with which to align, as Honam ultimately desires to manufacture and sell ZBB's V3 Flow Battery within Korea. ZBB valued Honam's advanced materials capabilities, and recognized that leveraging its expertise in targeting ever higher performance and lower costs in the final development stages of ZBB's V3 technology would offer even greater cost and performance achievements to the V3 technology, which has been in development since January 2010 and is due to be released to manufacturing in September of this year.

Specifically, Honam and ZBB will work together to refine the materials and manufacturing process for the V3 battery in module sizes of 50kWh up to 500kWh. With Honam's position in the plastics supply chain and its strong research capability, it is expected that the two companies will quickly reach global scale production. The leading initiative for the joint development agreement calls for prototype systems to be shipped and tested at development labs in South Korea, with a Beta site then to be selected to demonstrate the V3 battery as a critical component of the Korean Smart Grid Project.

"Honam Petrochemical has identified energy storage as a priority business, so we looked to ZBB Energy to form a strategic partnership with as they are the leader in Zinc-Bromide flow battery technology. Together, we will be able to further the technical development of flow battery technology and offer the best energy storage solution for smart grid applications," said an official from Honam.

"Our collaboration with Honam will enable the global scale production and market penetration of the Zinc-Bromide flow battery by giving us access to critical supply chains, strong R&D, and a powerful channel partner," said Eric Apfelbach, CEO of ZBB Energy. "We look forward to deepening the relationship over the coming years as we grow the flow battery business in Asia. Honam and ZBB share the vision that energy storage is a 'Megatrend' opportunity as solar and wind energy reach grid parity and global scale."

Key terms of the agreement include that Honam will pay ZBB $3 million over a four-quarter period and gain non-exclusive rights to sell the V3 product in Japan, Thailand, Taiwan, Malaysia, Vietnam and Singapore. Honam will have exclusive rights to manufacture and sell the V3 within Korea. Honam will pay a royalty for jointly developed product sold outside of Korea.

About ZBB Energy Corporation
ZBB Energy Corporation (NYSE Amex: ZBB) provides advanced electrical power management platforms targeted at the growing global need for distributed renewable energy, energy efficiency, power quality, and grid modernization. ZBB and its power electronics subsidiary, Tier Electronics, LLC have developed a portfolio of intelligent power management platforms that directly integrate multiple renewable and conventional onsite generation sources with rechargeable Zinc-Bromide flow batteries and other storage technology. The company also offers advanced systems to directly connect wind and solar equipment to the grid and systems that can form various levels of micro-grids. Tier electronics participates in the energy efficiency markets through their hybrid vehicle control systems, and power quality markets with their line of regulation solutions. Together, these platforms solve a wide range of electrical system challenges in global markets for utility, governmental, commercial, industrial and residential end customers. A developer and manufacturer of its modular, scalable and environmentally friendly power systems ("ZESS POWR™"), ZBB Energy was founded in 1998 and is headquartered in Wisconsin, USA with offices also located in Perth, Western Australia. For more information visit

About Honam Petrochemical Company
Honam Petrochemical Company is a billion dollar chemical manufacturer headquartered in Seoul, South Korea. Honam manufactures a variety of petrochemical products including synthetic resins, synthetic industrial materials including ethylene glycol and ethylene oxide for making polyester, automobile antifreeze solutions, methyl methacrylate, benzene, propylene and ethylene. A subsidiary of Lotte, Honam is one of the largest industrial conglomerates in Korea, with operations throughout Asia. Lotte's business lines include hotels, tourism, department stores, heavy industry, distribution and electronics. For more information on Honam, visit

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Contact Information

  • Contact Information:
    Helen Brown
    Investor Relations
    ZBB Energy Corporation
    T: 262.253.9800
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