Kyoto Group announced that it has signed a term sheet for delivering a Heatcube to one of Germany's major paper and packaging manufacturers-Klingele. The designated site for installing a first Heatcube is at Klingele's facility in Werne, a corrugated board plant in Germany. Klingele Paper and Packaging Group, a global manufacturer with 13 corrugated board plants worldwide, 8 processing plants and 3 paper mills, aims to achieve a reduction of CO2 emissions by the year 2030.

At the plant in Werne a reduction of 55% of CO2 emissions is planned by 2030. This goal will be accomplished through the utilization of off-grid wind and solar energy, coupled with the replacement of the existing gas boilers for steam production. To address the intermittent nature of renewables, Klingele plans to install Kyoto Group's molten salt thermal energy storage solution, Heatcube.

This innovative system will capture electricity when available and supply steam as needed. The recently announced AI-powered back end of Heatcube will also ensure preventive and predictive maintenance for Klingele. The signed term sheet outlines the project pricing and payment terms for the engineering study that will commence in January 2024 as well as for the Heatcube purchase agreement which the parties aim to sign within April 2024.

The purchase agreement is conditional upon receiving public grants and the confirmation of reactivation of an existing windmill.