Oil and gas giant invests $180 million in battery technology

Equinor, a Norwegian oil-and-gas giant, announced on 3/26/2019 that it will invest $180 million in Volta Energy Technologies, a fund focused on battery technology. Batteries are often considered the bottleneck of widespread use of renewable energy. Wind, solar, and hydroelectric power cannot be generated continuously, so they must be stored in an economically sensible manner. This announcement quickly followed the Norwegian government recommendation that the country’s $1 trillion wealth fund, the world’s largest, sell its holdings in a group of companies that focus on finding and producing oil and gas. Although the timing may seem strategic on Equinor‘s part, the company has actually been negotiating with Volta long before the government’s announcement. This series of rapid changes notwithstanding, the global transition towards renewable and clean energy is clear. Interestingly, Volta does not have much investment in building a patent portfolio. Whether this investment will spark what could be a strategic investment remains to be seen.