Elemental Energy was among the participants as the energy storage system developer raised a combination of equity, debt and project development financing.

Canada-based energy storage technology developer Hydrostor has completed a $37m financing round that included solar system designer and installer Elemental Energy.

Canoe Financial, ArcTern Ventures, Mars Catalyst Fund and Lorem Partners also participated in the round, which included equity funding, debt financing, cash commitments and project development capital.

Hydrostor is developing compressed-air energy storage systems designed to providea similar kind of long-term flexible storage capability to pumped hydro power, but with the flexibility required to work with utility-scale renewable energy installations.

The company is set to bring its first commercial system online in Canada next month and is working on a project pipeline of some 2 GW, or 16 GW-hours, of projects in Australia, the US, Canada and Chile.

The financing was announced in conjunction with a strategic partnership with infrastructure asset manager Meridiam that will involve Meridiam partner Elisabeth Hivon joining Hydrostor’s board of directors.

Hydrostor has also secured Baker Hughes as a partner and will source electric motor compressors and turbine generator technology for its projects from the company.

The latest round follows an undisclosed amount of funding from Mars Catalyst Fund in 2013 and a series B round of undisclosed size backed by Mars Catalyst Fund, Lorem Partners, Canoe Financial and ArcTern Ventures in 2016, the latter being identified at the time as an existing investor.

Photo courtesy of Hydrostor Inc.