Altech Banks $950K from Meckering Land Sale, Retains Mining Rights in Western Australia
Altech Batteries Ltd (ASX:ATC, OTC:ALTHF, FRA:A3Y) has closed the sale of its landholding in Meckering, Western Australia, generating gross proceeds of $950,000 that will bolster the group’s working capital. The land, held via wholly owned subsidiary Altech Meckering Pty Ltd, was identified by the board as non-core, and settlement has now been completed.
Importantly, Altech retained rights to mining lease M70/1334, ensuring continued exposure to the asset while freeing up capital from surplus land. As part of the transaction, the company entered into an Exploration, Mining, Access, Compensation and Option to Purchase Agreement with the new landowner. The agreement covers both the land and the mining lease, designed to preserve future mining access—allowing Altech or any future lease holder to operate under agreed terms.
The property had been subject to a mortgage held by major shareholder Deutsche Balaton AG. As part of the sale, Deutsche Balaton discharged the mortgage and received a bank guarantee from Altech over a specific bank account totaling $500,000. This guarantee provides Deutsche Balaton with additional security related to €2 million in bearer bonds issued by Altech, which are due for repayment on October 31, 2026.
Altech is also pursuing the sale of its land in Johor, Malaysia, to repay those bearer bonds. If the bonds remain unpaid by the due date, Deutsche Balaton has the right to call on the $500,000 guarantee as partial repayment. Conversely, if the bonds are fully repaid on time, the guarantee must be withdrawn and canceled.
The fundraising comes as Altech advances its next-generation energy storage ambitions. The company holds a joint venture agreement with Fraunhofer IKTS, a German government battery institute, to commercialize CERENERGY® Sodium Chloride Solid State battery technology. The venture plans to build a 120 MWh production facility on Altech’s land in Saxony, Germany, targeting grid storage applications with a product described as fire- and explosion-proof, lithium-free, cobalt-free, graphite-free and copper-free—a direct alternative to conventional lithium-ion batteries.
By shedding non-core real estate while preserving mining rights and pursuing further asset sales, Altech is positioning itself to focus capital on its core battery technology development and the Fraunhofer-backed commercialization pathway.